Economy

PGNiG To Expand Its Oil And Gas Exploration To Rs100 Billion Every Year

PGNiG is a Polish oil and gas company which has been running operations in Pakistan since 1997. It has decided to expand its exploration and manufacturing processes and increase its business volume to Rs100 billion per year.

In a ceremony held to celebrate the 20th anniversary of the company. While addressing the ceremony, President PGNiG Management Board Piotr Wozniak said:

“We have the intention to take the company’s production to $100 million per year in the coming days”

Pakistan’s Polish ambassador Piotr Opalinski, Managing Director PGNiG Pakistan Branch Andrzej Kaczorowski and General Manager (Commercial) Shahid Karim also attended the ceremony.

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President PGNiG said that the company is planning to drill 14 more oil and gas resources in areas with hydrocarbon potential. Subsequently, these resources will play an important role in overcoming Pakistan’s increasing need of energy.

Discovered Concessions

The President also highlighted four other Concessions where the company explored resources before acquiring the current Kirthar Concession (Block 2667- 7). The Concessions have been named Khanpur West, Sabzal, Mekhtar and Sabzal South.

In 2009, the company discovered Rehman Gas Field in the Kirthar Block and started production in 2013. He further stated:

“This was the first- ever gas produced from a “Tight Gas” reservoir in Pakistan”

Piotr said that in 2015, the company discovered its second Tight Gas Field in Kirthar Block, named Rizq Gas Field. The company increased the processing capacity of Rehman Production Facility up to 40 million standard cubic feet of gas per day (mmscfd) gas. He claimed:

“PGNiG more than doubled its production from the Kirthar block when gas from Rizq Gas Field was added to the national grid in November 2016; which helped to reduce the increasing demand-supply gas for natural gas in the country”

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Future Development Programs

Piotr said that the company has planned two more exploration wells at the already operational Rehman Gas Field. An appraisal well has also been planned in the new Rizq Gas Field. To identify the potential aspect in the northern side of the block, the company has added an exploration well for it.

So far more than $125 million have been invested in Pakistan by the company, he said. Additionally, the recent daily production from the Rehman field stood at 24 mmscfd from four production wells. It is further expected to increase up to 90 mmscfd after the field is completely developed.

In order to increase the production, the company requires advanced technologies (horizontal wells, multiple transverse hydraulic fracturing, etc. For this purpose the company would invest an additional amount of $300 million. He also claimed:

“PGNiG is in active pursuit to increase its footprint in the Pakistani’s upstream oil and gas sector and is also interested to develop the shale gas deposits here”

Polish ambassador also addressed the audience on the occasion and shared various characteristics of mutual relation between Poland and Pakistan.

After the introduction which was done in English, the representative amazed the members with his conversation in Urdu language.

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Pakistan’s environment has become favorable for foreign investment in the past few years, he added. He also declared that the company looks forward to boost its oil and gas exploration activities here to fulfill Pakistan’s energy need.

 

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