OGDCL achieves highest crude oil production of 50157barrel per day - Pakistan Today

OGDCL achieves highest crude oil production of 50157barrel per day

By AHMAD AHMADANI

After a long time Oil and Gas Development Company Limited (OGDCL) has got security clearance to start exploration and production (E&P) activities in conflict-hit areas of Balochistan and Federally Administered Tribal Areas (FATA).

OGDCL Acting Managing Director, Zahid Mir further said that improvement in security situation of Balochistan and FATA has now made possible the company’s access to the big structures. He said OGDCL has speeded up the E&P activities in these areas.

Gas production from Kunnar Pasaki Deep (KPD) would start during the second week of December, he said.

“New discoveries of oil and gas reserves are result of improved security situation in Balochistan and FATA,” acting MD said, adding, that OGDCL could not start E&P activities in the conflict-hit areas due to abysmal security situation.

While addressing a press conference along with OGDCL Chairman Board of directors Zahid Muzaffar, Mir said that four seismic crews were working in frontier areas of Balochistan.  These include Pasni, Gwadar, Kharan, Zahob, Musa Khel and Lasbela. He said two crews were working hard in KPK while seismic activities in FATA (Federally Administered Tribal Areas) were also in full swing in Latambar Block; OGDCL is hopeful that ongoing exploration will lead to new discoveries and fortify its reserves portfolio besides meeting energy demands of the country, acting MD said.

He said that company was hoping better prospects of big discoveries in Balochistan and KPK, therefore major focus was these two provinces. Out of total crude oil production, the share of KPK is 26000-27000 barrels per day. “OGDCL has already embarked on the course of aggressive exploration,” Zahid Mir said.

Sharing good news regarding historic production of crude oil in the country, acting MD said that E & P Company (OGDCL) have achieved highest ever crude oil production of 50157 barrels per day. He said surpassing psychological barriers of 50,000 bpd (barrel per day) was part of company’s business plan and strategy. The company was all set to inject 100 million cubic feet of gas per day in the system during the ongoing winter season besides 400 metric tons of LPG (liquefied petroleum gas) and 4000 barrels of crude oil, Zahid Mir said.

Earlier, the crude oil production of country’s largest oil and gas explorer has been ranging between 35000-45000 barrels per day. Crude oil production stood at 41000 barrels per day at time of closing last year.

Mir while responding to a question regarding OGDCL development work so far initiated in Balochistan said that OGDCL has fulfilled all contractual commitments as per petroleum policy of the government. He, however, deplored over less use of royalty for the development of oil and gas rich areas of the province. He said royalty was supposed to spend in districts of gas producing but it did not happen so. “Even fifty percent use of billion rupees worth royalty can change the fate of under developed Balochistan,” he said.

Responding to another question regarding Nashpa project, he said that contractors had refused to work on the project during long march. However, the initial inquiry had been held which pointed out that the company did not encash the bid bond which had been expired. He said that initial inquiry had identified involvement of some officials.

He said that OGDCL had acquired 4000 acres of land in Balochistan and agreement was inked during time of Akbar Bugti. He said that FC had encircled the huge area for security reason and OGDCL had written a letter to the FC inquiring whether it could reduce that area. He said that the company management had conducted a study and surrendered the huge area.

Zahid Muzaffar chairman board of director said that dip in oil prices had provided an opportunity to the company to enhance drilling activities. This was the reason that crude oil production had jumped.



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