Dar welcomes Mari Petroleum’s expansion

Additional supply would help meet growing need, says finance minister

ISLAMABAD: Finance Minister Ishaq Dar has welcomed Mari Petroleum Company Limited’s (MPCL) plans to beef up supply of natural gas that would help meet the growing need of power and fertiliser sectors in the country.

“The country is endowed with precious natural resources and it was imperative that we make full use of them,” said the minister, while speaking to a delegation of MPCL led by its Managing Director Lt Gen (R) Nadeem Ahmed.

Dar appreciated the company’s exploratory work. “Utilisation of indigenous resources was the way to preserve precious foreign exchange and boost economic development.”

He said the government had embarked on the path to growth and development and it was important that energy requirements for the development activities were catered to.

Earlier, MD Nadeem Ahmed briefed Dar about the company’s exploration, development and production efforts, with reference to post-dismantling of Mari Cost-Plus Gas Price Agreement (GPA). “The decision taken by the Economic Coordination Committee of the Cabinet (ECC) relevant to the gas sector has enabled Mari Gas to raise spending on exploration activities to $106 million this year compared to $32 million spent last year.”

The MPCL would add up to 200 mmcf gas per day to the system within a couple of months, which would result in an annual saving of $250 million to $300 million for the country, the minister was informed.

Ahmed also referred to the company’s application for conversion to 2012 policy, which would allow MPCL to bring on stream substantial new production (around 100-150 mmscf) by the end of 2016. “With an improvement in the security condition in Balochistan, a number of new opportunities are likely to open up,” he added.

The minister ensured that the exploration activities would continue all over the country in a safe and secure environment and all necessary measures would be taken to achieve the targets. 

Published in The Express Tribune, December 6^th, 2015.

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