KUFPEC deal to ensure energy security

Acquisition will lead to deeper Pak-Kuwait economic engagement

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ISLAMABAD:

Petroleum Exploration (Pvt) Limited (PEL) has acquired key energy assets from Kuwait Foreign Petroleum Exploration Company (Kufpec).

This strategic move not only solidifies PEL's position in the energy sector but also strengthens the country's energy security at a time when the petroleum sector is facing immense challenges.

The acquisition of assets from Kufpec – spanning some of the country's most energy-rich regions – marks a bold step forward in harnessing Pakistan's untapped energy potential.

The key assets included in the acquisition are located in Dadu, Kirthar, Tajjal, and Qadirpur concessions, with Bhit and Qadirpur leases standing out as some of Pakistan's cornerstone natural gas production fields.

Industry officials say the acquisition is more than a business transaction; it is a declaration of the commitment to addressing the nation's energy challenges.

The acquisition also serves as a testament to the growing economic collaboration between Pakistan and Kuwait. This deal is expected to pave the way for deeper economic engagement, not only in the energy sector but also across other fields of mutual interest.

Experts say the acquisition highlights the trust and cooperation that exists between Kuwait and Pakistan, particularly in the energy sector, which serves as a cornerstone for broader diplomatic and economic ties.

It also underscores the potential for future partnerships aimed at driving sustainable development and shared prosperity between the two countries. At a time of regional instability, the strengthening of energy cooperation between Kuwait and Pakistan provides a model for how countries can collaborate for mutual benefit.

With the added reserves and production capacity from the acquired assets, PEL is better equipped to meet the country's energy needs while helping to reduce reliance on costly energy imports like liquefied natural gas (LNG). In a statement, Kufpec emphasised that despite the divestment, it is working with the director general petroleum concessions and major exploration and production companies, and is preparing for the upcoming offshore bidding round.