ISLAMABAD: The Oil and Gas Development Company Limited (OGDCL) has injected eight new wells, producing 226,862 barrels crude oil and 3,288 million cubic feet gas, in its production gathering system during the first three quarters of the last fiscal year (FY19).
Injected wells include Khirun-1, Nandpur-1, Kunnar-12, Nim-1, Loti-5, Pasakhi NE-2 and Qadirpur-59 & 60, according to the nine-month report of the company.
During the period, OGDCL drilled 11 new wells, including six exploratory and five developmental, besides making two discoveries.
OGDCL’s endeavours to find new hydrocarbon reserves yielded two oil and gas discoveries, namely Chanda-1 and Mela-5, in Kohat, Khyber Pakhtunkwa, from where a cumulative daily production of 795bbl oil and 2.45mmcf gas was expected.
The company’s net sales increased to Rs192.047 billion as compared to Rs147.712 billion in the same period of 2017-18, while its net profit after taxation stood at Rs85.312 billion as against Rs56.821 billion in the first nine months of the corresponding year (FY18).
The company completed 707 line kilometres of 2D and 620 sq. km. of 3D seismic surveys during the period under review.
OGDCL’s net crude oil production stood at 40,952 barrels per day, net gas production at 1,010mmcfd, net LPG production at 819 metric tonnes per day and net Sulphur production at 63MT per day.
With a portfolio of 42 exploration licences, the company has the largest exploration acreage in Pakistan, covering 23 per cent of the total awarded acreage as of March 31, 2019.
Currently, all production volumes are being realised from onshore areas of Pakistan, however, the company also has working interests in offshore exploration blocks.
Despite a natural decline and short lifting of crude oil by refineries at Kunnar, KPD-TAY, Nashpa and TOC fields owing to the pile-up of furnace oil stock, OGDCL’s average net saleable crude oil production clocked at 40,952bpd.
Stable oil production is primarily due to an increase in production from Pasakhi, Bobi, Chanda and Mela fields coupled with a higher share in production from NJV fields and start-up of production at Chutto-1.
During the period under review, technical and financial evaluation for the hiring of engineers and procurement and construction contractors for Nashpa compression project has been completed.
Regarding Dhok Hussain development project, installation work with respect to gas processing facilities has been completed and supply of gas is subject to laying of gas pipeline by SNGPL.
Likewise, up-gradation of plant facilities at Mela field and laying of gas pipeline to Nashpa plant for LPG and Natural Gas Liquid extraction are in progress and Mela project is anticipated to be completed in December 2019.
OGDCL’s production strategy is aimed at intensifying field development activities, completion of ongoing development projects and utilization of the latest production techniques to maintain and optimize oil and gas output. The company, during the nine-month period, contributed around 45pc and 29pc to country’s total oil and gas production respectively.
