PPL makes significant gas and condensate discovery in Sindh

KARACHI: Pakistan Petroleum Limited (PPL) has announced a major hydrocarbon discovery at its Pateji X-1 well, located in Sujawal district, Sindh. The discovery was confirmed in a notice to the Pakistan Stock Exchange (PSX) on Friday.

PPL, a key player in Pakistan’s oil and gas sector, revealed that its exploration team had identified an additional gas/condensate reservoir in the Upper Sand (C-Sand) formation of the well. This follows a previous discovery of the Upper Sand (D-Sand) reservoir earlier this month.The well, drilled and tested in the Shah Bandar block, flowed 12.4 million standard cubic feet per day (mmscfd) of gas and 196 barrels per day of condensate during testing. The testing was conducted at a wellhead flowing pressure (WHFP) of 2,551 psig, using a 32/64” choke. PPL operates the Shah Bandar block with a 63 per cent working interest, alongside joint venture partners Mari Petroleum Company Limited (32 per cent), Sindh Energy Holding Company Limited (2.5 per cent), and Government Holdings (Private) Limited (2.5 per cent).

The discovery, which was made after extensive geological and geophysical evaluation, is expected to contribute additional reserves to Pakistan’s energy sector, helping to ease the country’s ongoing energy crisis and reduce dependence on costly imports. The Pateji X-1 well, which spudded on October 11, 2024, was drilled to a depth of 2,475 meters to assess the hydrocarbon potential of the Lower Goru Formation’s Upper Sands. The discovery is seen as a significant step forward in bolstering the country’s indigenous hydrocarbon production.

This latest success follows PPL’s recent efforts to enhance production from its existing wells, a move that has already contributed to a rise in its hydrocarbon output.However, PPL’s latest financial results for the quarter ending September 30, 2024, showed a 24 per cent decline in profit-after-tax (PAT), which dropped to Rs22.69 billion.