The Oil and Gas Development Company Limited (OGDCL) has embarked on an ambitious exploration and production plan, emphasizing the development of 10 unconventional wells focusing on shale and tight gas.
The company also aims to boost exploration activities in conventional gas fields and accelerate operations in Balochistan, particularly the Zin block, which holds confirmed reserves of 840 billion cubic feet per day (bcfd).
A senior official disclosed that the pilot shale gas well, KUC-1, located in Hyderabad, Sindh, has shown promising indications of substantial shale gas reservoirs. To advance these efforts, OGDCL has signed an agreement with Schlumberger Pakistan to perform horizontal fracking at the site.
Additionally, tenders have been issued for international service providers to assist with shale gas extraction.
OGDCL has also collaborated with Chinese companies, particularly under the umbrella of China National Petroleum Corporation (CNPC), benefiting from China’s success in shale gas exploration. OGDCL experts, recently returned from China, are now preparing to initiate drilling for 10 additional wells targeting shale and tight gas.
In Sindh’s Sujawal district, OGDCL has commenced commercial production from its first tight gas discovery at the Nur West-1 well, developed under the Tight Gas Exploration & Production Policy 2024. This discovery was integrated into production on a fast-track basis.
Sember Shale, identified as a rich source rock with significant thickness, predominantly found in Pakistan’s lower and middle Indus basin, has become a primary focus for the company’s exploration activities.
Under the leadership of Acting Managing Director Ahmad Hayat Lak since 2023, OGDCL has implemented optimization measures for declining oil and gas fields. These efforts increased oil production by 4,000 barrels per day (BPD) to 35,000 BPD and added 20 million cubic feet per day (mmcfd) of gas.
Over the past 18 months, OGDCL achieved seven new oil and gas discoveries. A dormant well in the Khewari field, Khyber Pakhtunkhwa, inactive since 2012, was revived and monetized. Additionally, the Jhal Magsi project was completed on schedule, with monetization contingent upon SSGC’s completion of the pipeline installation.
OGDCL’s aggressive strategy reflects its commitment to enhancing energy security and exploring untapped potential across Pakistan’s oil and gas sector.