OGDCL launches first-ever commercial tight gas project

The Oil and Gas Development Company Limited (OGDCL), Pakistan's state-owned oil and gas explorer, has pioneered the commercial production of tight gas with the successful launch of Pakistan's first-ever Tight Gas project.

Previously, OGDCL led the charge in initiating oil and gas optimisation projects, using advanced technology to inject oil and gas into the national system by optimising existing resources. These efforts have proven successful, laying the groundwork for the company's current initiatives.

OGDCL's management has developed a comprehensive roadmap for the exploration and development of Tight Gas, which is now being implemented. This roadmap underscores the company's commitment to expanding energy resources, meeting national energy requirements, and promoting sustainable development across Pakistan. The initiative is expected to boost gas production and improve reservoir management.

According to sources, as part of its Business Plan for FY 2024-25, OGDCL aims to perform hydraulic fracturing on three additional wells within its concessions in Sindh, with an estimated reserve of 9 BSCF. This move is intended to enhance the company's ability to unlock gas resources in challenging reservoirs.

In alignment with the Tight Gas Exploration & Production Policy 2024, OGDCL has taken a leading role by fast-tracking the integration of the Nur West-1 well into the production stream. Sources in the Petroleum Division noted that while other exploration companies are still working toward implementing the new policy, OGDCL has already begun exploring tight gas for the first time in the country.

On Monday, the company announced the successful commencement of early commercial production from the Nur West Well-1, located in the Sujawal District of Sindh. The well is currently producing 1.5 Million Standard Cubic Feet per Day (MMSCFD) of gas with a wellhead flowing pressure of 1,050 PSI. The gas, sourced from the Lower Guru formation ('A' Sand), has been seamlessly integrated into the Sui Southern Gas Company Limited (SSGCL) network, bolstering the national gas supply infrastructure.

During drilling, initial conventional testing methods did not yield favourable results. Consequently, OGDCL employed hydraulic fracturing to achieve production viability, demonstrating its commitment to using advanced techniques to maximise resource potential.

Petroleum Division officials also revealed that a comprehensive study of the Indus Basin is in the pipeline. This study aims to understand the geological characteristics, identify potential tight gas reserves, and assess the economic feasibility of extracting these resources. Results are expected within 6 to 8 months after the contract is awarded, with execution of tight gas opportunities anticipated to begin in January 2026.