Half of new E&P blocks to be auctioned in September

40 new blocks have been identified by the Ministry of Petroleum, out of which 20 would be put up for auction through international tenders

ISLAMABAD: The Petroleum Division (PD) is planning to auction twenty new Exploration & Production (E&P) blocks in September, aiming to step up oil and gas drilling activities in various areas of the country, Ministry of Petroleum said on Monday.

“As many as 40 new blocks have been identified, out of which 20 will be put up for auction in September through international tenders,” a senior official privy to petroleum sector developments said while speaking to the media.

He said that the country’s existing gas production stands at around 3.7 Billion Cubic Feet per Day (BCFD) compared to a demand of 6 BCFD, adding the gas reserves are depleting at the ratio of 9.5 percent per year.

He also said that the current government has made 26 discoveries from existing fields, and has added 240 million cubic feet gas and 7,000 barrel oil in the production gathering system. The country’s total sedimentary area is around 827,268 square kilometers, out of which 320,741 km or 39 percent is under exploration, he said. In September 2018, a bidding round of 10 onshore exploration blocks was conducted which was held after a gap of almost five years wherein eight blocks were awarded.

Monitoring Desk
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