New OGDCL Discovery Boosts Pakistan’s Domestic Energy Output

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Manama: Pakistan’s state-owned Oil and Gas Development Company Limited (OGDCL) has announced a fresh oil and gas discovery in Khyber Pakhtunkhwa province, signalling renewed momentum in the country’s domestic energy exploration drive.

In a filing to the Pakistan Stock Exchange, OGDCL said its exploratory well Baragzai X-01 (Slant) in Kohat district is producing around 3,100 barrels of crude oil per day and 8.15 million standard cubic feet per day (mmcfd) of natural gas.

The discovery was confirmed after a successful Cased Hole Drill Stem Test (CHDST-03) in the Samana Suk and Shinawari formations, with the well flowing through a 32/64-inch choke at a wellhead pressure of 3,010 pounds per square inch gauge (psig), according to the Associated Press of Pakistan.

OGDCL, the operator of the Nashpa Exploration Licence, said this marks the third discovery at the Baragzai X-01 well within a month. Earlier finds were reported from the Datta Formation earlier this month, while the initial discovery was announced last month.

“This discovery will contribute towards mitigating the energy supply-demand gap through indigenous resources and will add to the hydrocarbon reserves base of OGDCL, its joint venture partners and the country,” the company said.

The Baragzai discoveries are estimated to have added 9,480 barrels of oil per day, accounting for about 14.5% of Pakistan’s current domestic crude oil production, which stands at roughly 66,000 barrels per day.

The latest find comes as Pakistan steps up efforts to boost domestic oil and gas output and curb reliance on expensive energy imports amid economic pressures. Last year, the government signed five oil and gas exploration agreements covering three offshore and two onshore blocks with local and international companies.

Major firms involved include Mari Energies, OGDCL, Pakistan Petroleum Limited, Fatima Petroleum, Government Holdings Limited and Turkish Petroleum Overseas Company. In November, Pakistan also auctioned 40 offshore blocks, drawing 23 bids from four consortia, including Turkey’s state-owned energy company TPAO.

The consortia have committed $80 million for the exploration phase, with potential investments rising to $1 billion if commercial production is achieved.