New findings: PPL on a roll, makes fourth discovery

Published: October 15, 2014
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The expected output from the (Kinza X-1) well will translate into approximately 2,100 barrels per day in oil equivalent and foreign exchange savings of $200,000 per day. PHOTO: KASHIF HUSSAIN/EXPRESS

The expected output from the (Kinza X-1) well will translate into approximately 2,100 barrels per day in oil equivalent and foreign exchange savings of $200,000 per day. PHOTO: KASHIF HUSSAIN/EXPRESS

KARACHI: 

Pakistan Petroleum Limited (PPL) has announced that it hit another petroleum reserve in the Gambat South Block, its fourth discovery in the particular lease, which is located in Sanghar district, Sindh.

The exploration well, Kinza X-1 was spud on July 28 this year and reached the final depth of 3,695 metres on September 13.

“Initial testing flowed 12 million cubic feet per day (mmcfd) of gas along with condensate, thereby confirming presence of commercial quantities,” the company said in a statement.

PPL is the operator of Gambat South block with 65% working interest along with its joint venture partners Government Holdings and Asia Resources Oil Limited, which holds 25% and 10% interest, respectively.

In the same block, it has already found three producing wells – Wafiq, Shahdad and Sharf.

“Based on wire line logs, potential hydrocarbon bearing zones were identified in the Massive Sand of Lower Goru Formation, which are under testing,” PPL said.

The expected output from the (Kinza X-1) well will translate into approximately 2,100 barrels per day in oil equivalent and foreign exchange savings of $200,000 per day, it said.

The well is being flowed at different choke sizes to measure gas flow rates and the actual flow potential will be determined after the completion of the test.

In August, the company announced discovering 42 mmcfd of gas in Gambat South, its third and biggest discovery in the block. At the time, PPL said it was expecting the production to go up to 60 mmcfd.

It made the first two discoveries in Gambat last year.

Last month, another producing well was discovered in the Hala block, located in Sanghar and Matiari districts, Sindh.

The company said the well could produce 18.6 mmcfd of gas and 31 bpd of condensate from exploratory well Adam West X-1.

Hala is a joint venture between PPL and Mari Petroleum Company Limited, with 65% and 35% working interest, respectively. It covers as area of about 395 square kilometres.

PPL currently produces 10 mmcfd of gas and 150 bpd of condensate from another well in the Hala block.

PPL, which has a portfolio of 47 exploration blocks, has been aggressively searching for new hydrocarbon finds since last year to compensate for the decrease in production from its established fields like Sui.

State-run PPL had earmarked Rs10 billion to be spent on exploration activities during the last fiscal year with most of the focus on Gambat South.

The company accounts for 22% of the country’s gas production. In the fiscal year 2013-14, PPL posted a profit of Rs51.41 billion, up 23% over the previous year.

It has been trying to cut the depletion rate of its fields by installing compressor plants and drilling more wells.

PPL’s six producing fields include Sui, Kandhkot, Adhi, Mazrani, Chachar and Hala, while it has working interest in eight partner-operated fields.

Published in The Express Tribune, October 15th, 2014.

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Reader Comments (17)

  • Blithe
    Oct 15, 2014 - 1:28AM

    Well done!

    Slap on the face of PTI trolls who don’t believe in law and order and progress

    Recommend

  • TightPatloon
    Oct 15, 2014 - 1:31AM

    I thought this was a million barrel a day (or equivalent in gas terms) discovery. This looks like a very small capacity plan. How is PPL on a roll? They have hardly made any discoveries in the last 5 years barring a few last month.

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  • Khan
    Oct 15, 2014 - 1:34AM

    Mashallah…..May Allah Bless you all and Bless Pakistan with even more resources.

    Recommend

  • Noman
    Oct 15, 2014 - 3:01AM

    MashaAllah

    Recommend

  • Azad
    Oct 15, 2014 - 3:06AM

    Masha-Allah…Our country is blessed in all respects BUT leadership. IK please rescue Pakistan.

    Recommend

  • Sazid Khan
    Oct 15, 2014 - 3:34AM

    Discovery of Oil reserve is Good for the Economy of Pakistan that would lower the suffering of their Peoples…Hope this money is used for the development of educational and medical sectors instead of weapons..God bless

    Recommend

  • salman
    Oct 15, 2014 - 4:23AM

    In the fiscal year 2013-14, PPL posted a profit of Rs51.41 billion, up 23% over the previous year.

    Nearly half a billion dollars ? hmm I am on my way to buy some PPL shares in KESC

    Recommend

  • Asif
    Oct 15, 2014 - 5:50AM

    Shabaash, rob the gas & oil from our land and leave us dry!! The same way you did with Baluchistan.

    So much gas but people of Sindh, just like the people of Baluchistan are deprived of it. Facing low gas pressure and gas load shedding even in summer months!!

    Recommend

  • AJ
    Oct 15, 2014 - 6:42AM

    All this happened because of leader Nawaz sharif!!

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  • Oct 15, 2014 - 7:08AM

    Congratulations. This is great news. Hope Pakistan finds more oil and get more prosperous.

    Recommend

  • Alladitta
    Oct 15, 2014 - 9:49AM

    there is not going to be any miracles, our hopes have been lifted with lies told and then shattered as facts emerged. Wake up people, smell the coffee, no knight is coming in shining armour to bless our land with resources or rescue us. We have to start working hard on education and employment.

    Recommend

  • shabib
    Oct 15, 2014 - 10:51AM

    Confusion… there should be appreciation or celebration on government level. Hope the news is true in actual

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  • ahmed
    Oct 15, 2014 - 10:52AM

    @TightPatloon, millions of barrels of oil per day production, i hope you know what you are talking about?

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  • Ibne Ismail
    Oct 15, 2014 - 11:19AM

    it is a very good news for energy starved Pakistan. Nawabshah has Sanghar district’s areas to its north-east where this discovery is made. Nawabshah has been jolted by three earthquakes since May this year. There is a widely beleived conjecture that these tremors were triggered by the extensive exploratory pursuits for oil and gas in neighbouring district. The fact of Nawabshah not being on a major fault line and very limited geographic impact mainly restricted to Nawabshah and its north-eastern adjoining areas lend credence to the speculation. I would request the Geophysists and Seismic Party heads of the PPL and OGDCL to give their word on the issue.

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  • salman
    Oct 15, 2014 - 7:33PM

    @Blithe:
    lol, you make it sound like Nawaz himself was digging these fields on his weekend. PPL would be doing its job no matter which political party is in power. Unless the political parties start making political appointments and ruin it, like they have with PIA.

    Recommend

  • Waseem
    Oct 16, 2014 - 1:13PM

    @Blithe:
    Yeah and the companies like PPl and OGDCL which are making these contributions in the national economy are being sold out by our current government to foreigners to make short term dollar gains which they are going to waste through higher imports due to rupee appreciation. Nice going by our federal government.

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  • Arjammand
    Oct 16, 2014 - 5:00PM

    Keep Looting Keep looting, in the name of pakistan…..fort of islam, make the people of sindh fool….
    people here will deny, but they even dont know what is pakistan taking from sindh, and in return, they even dont give jobs to local persons, the employees will be brought in from the Punjab and KPK. what a pity….
    People will comment “masha allah, subhaan allah, alhamdul lilah”, but will not say that you are earning from their you should pay attention to improve their life… earn much but spend little on them too.

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