To explore domestic oil and gas, the Pakistan government has drilled 89 exploratory wells during the last four years.
As a result of these exploration drilling activities, sources in the Ministry of Petroleum said on Saturday that 25 gas discoveries have been made. Of these, nine discoveries have already added 107.2 million cubic feet per day (MMCFD) gas to national distribution network and it is expected that 122.3 MMCFD gas will also be added from rest of the discoveries during 2012-13.
The government has also taken several additional measures to further enhance oil and gas development and production activities in the country, which will greatly help the country save foreign exchange earnings, an official of the ministry said.
Presently 132 exploration licences of oil and gas are operating in Pakistan and about 131 D and P leases are operating for the enhancement of production of oil and gas in the country and these fields are producing oil at the rate of about 72,000 barrels of oil per day and 4.4 billion cubic feet gas per day.
The sources further said that the government is concentrating on more exploration in deeper prospects and under explored geological frontiers to add new reserves.
In offshore 14 exploration licences are operating. Presently the Nikko Resources has planned to drill one offshore well in the Weather window, the success of the next well can prove a corridor for enhancement of exploration activities in the offshore area.
The Council of Common Interests (CCI) approved the Tight Gas (Exploration and Production) Policy, 2011 that offers 40 per cent higher price than the price announced in Exploration and Production Policy, 2009, with an incentive of additional 10 per cent price if the discoveries are made within a period of two years to attract exploration companies to invest in tight gas fields. Tight gas reserves are estimated at 24 TCF. Initially 100-150 MMCFD would be added depending on its success rate.
The sources further said that the Economic Coordination Committee (ECC) has approved Low BTU Gas Pricing Policy 2012 recently. Petroleum Policy 2009 is reviewed and Petroleum (Exploration and Production) Policy, 2012 is being promulgated shortly.