KARACHI: Mari Petroleum Company Limited has announced the discovery of significant deposits of crude oil in the exploratory well located in Kachhi district of Balochistan, according to a notification issued on Friday.
The joint venture of Ziarat Exploration Licence comprising Mari Petroleum as the operator (60%) together with Pakistan Petroleum Limited (PPL)-Europe has discovered oil in its exploratory well Bolan East-1 ST-1, which is located near Mach city in Kachhi district of Balochistan.
"The drill stem tests carried out in Chiltan Formation, which showed a flow of 810 barrels per day (bpd)…another drill stem test in Moro/Mughal Kot Formation tested 690 barrels per day of oil," Mari Petroleum Company Secretary Assad Rabbani said in a notice to the Pakistan Stock Exchange (PSX).
Mari's share price improved 0.33%, or Rs5.03, and closed at Rs1,521.14 with 840 shares changing hands at the PSX.
"It is expected that the oil flow rate from Moro/Mughal Kot Formation will increase after acid stimulation job. The discovery is being further evaluated from commercial perspective," he said.
"This is the first-ever oil discovery in Chiltan and Moro/Mughal Kot formations in Balochistan and a historic event since presently there is no oil being produced in Balochistan."
The well was drilled on May 22, 2018 with the objective to test the hydrocarbon potential of Dunghan, Moro/Mughal Kot and Chiltan formations. The well has been successfully drilled down to the depth of 1,500 metres.
"The discovery of Bolan East-1 ST-1 is the result of an aggressive exploration strategy adopted by the company. It has opened a new avenue and will add to the hydrocarbon reserves base of Mari Petroleum and of the country," he added.
Published in The Express Tribune, September 15th, 2018.
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