Private firm to court investors at Gastech 2026

UGDC to showcase opportunities as Pakistan opens gas market to private sector

ISLAMABAD:

As the government has opened the gas sector to the private sector, Universal Gas Distribution Company (Private) Limited (UGDC) is set to woo foreign investors to tap potential investment opportunities in Pakistan's gas sector at the upcoming Gastech 2026.

The conference will take place in Bangkok, Thailand, where foreign oil and gas companies are expected to participate.

UGDC is the first private entity in Pakistan already engaged in the sales, marketing and distribution of gas. It will represent the country at Gastech 2026, the world's leading platform for natural gas, LNG, hydrogen, climate technologies and energy innovation.

UGDC's participation will place Pakistan's private gas sector alongside leading international energy companies, investors, policymakers, technology providers and industry experts.

Previously, state-run gas utilities dominated the sector, and oil and gas exploration companies were bound to allocate gas to these entities. However, the present government, particularly the Special Investment Facilitation Council (SIFC), has opened the gas market to the private sector by increasing gas allocation from 10% to 35%.

At present, circular debt in the gas sector has ballooned to Rs3.8 trillion, including principal and late payment surcharges. This has stalled work on new oil and gas exploration projects.

Oil and gas exploration companies have backed the government's decision to increase the private sector's share, aiming to secure better gas prices and reduce circular debt.

"UGDC is an example of a private entity currently working in the gas sector. We will engage foreign companies to attract investment in Pakistan, particularly in gas exploration, in light of the enabling environment created by the government," said Ghyas Paracha, CEO of UGDC, in a statement.

At Gastech, UGDC will focus on attracting international investment into Pakistan's upstream and midstream gas sectors, including indigenous gas exploration and development, gas processing, LNG infrastructure, pipelines, storage, trading and related energy projects.

The company will also explore strategic partnerships, LNG supply opportunities, technology collaborations and investment avenues to strengthen Pakistan's energy landscape.

UGDC will highlight the role of Third-Party Access (TPA) and private-sector participation in creating a more competitive and transparent gas market. It believes that increased investment in indigenous gas sourcing and infrastructure can reduce reliance on costly imports, improve utilisation of existing infrastructure and help address circular debt.

UGDC's participation reflects its commitment to facilitating international collaboration, investment, market liberalisation and the development of a competitive and sustainable gas sector in Pakistan.