CCP clears PEL’s acquisition of stakes in PKP Group Companies

ISLAMABAD:The Competition Commission of Pakistan (CCP) has approved three separate merger applications filed by Petroleum Exploration (Private) Limited (PEL) for acquiring shareholdings in PKP Kirthar B.V., PKP Exploration II Limited, and PKP Kadanwari Limited from KUFPEC Pakistan Holdings B.V.

According to the CCP, the approvals followed a detailed Phase-I review conducted under Section 11 of the Competition Act, 2010, and the Competition (Merger Control) Regulations, 2016. The Commission concluded that the proposed transactions would not lead to the creation or strengthening of a dominant position in Pakistan’s upstream oil and gas exploration and production market.

The CCP’s analysis noted that the combined market share of PEL and the acquired entities remains minimal in oil and condensate production. It further observed that the deals primarily involve a change in shareholding structure without any major impact on the competitive landscape of the industry.

The Commission stated that the acquisition is likely to enhance operational efficiency, support resource development, and strengthen domestic energy production without distorting market competition.

Following its assessment, the CCP authorized all three transactions under Section 31(1)(d)(i) of the Competition Act, 2010.