Gas production down, oil output up in FY2021

KARACHI: Gas production was marginally down to 3.51 million metric cubic feet per day (mmcfd) during the last fiscal year compared to 3.58 mmcfd a year earlier while annual oil output increased 24 percent to 75,575 barrels per day, according to a brokerage report.

Overall, it declined two percent from 1.3 mmcf to 1.28 mmcf, a Topline Research report said on Friday. The biggest declined in production of 17 percent from Kandhkot, followed by 13 percent in Qadirpur, and 4 percent in Kunar Pasakhi Deep, the brokerage said, citing official data. Gas output from Mari, however, increased 7 percent and from Nashpa the growth was 8 percent.

Total oil production from top eight oil fields increased to 27.6 million barrels compared to 22.3 million barrels. The significant increase of 59 percent was recorded from Kunar Deep followed by 27 percent in Chanda. From Makori Deep, there was 37 percent decrease in production.

“Last year’s production was lower due to COVID-19 led lockdowns, which restricted overall throughput of oil and gas fields amidst lower demand. Two new oil fields Benari and Gagani, with cumulative production flows of 70-80 bpd were injected into during the quarter,” analyst Shankar Talreja said.

Oil production in 4QFY21 was down by 3 percent quarter-on-quarter to 74,700 bpd as decline was visible in nearly all major fields given below namely Nashpa, Adhi, Makori East, Maramzai, Chanda, Mardankhel and Makori Deep (to the tune of 2-17 percent).

Production from Tal Block fields like Makori East, Mardankhel and Makori Deep dropped due to annual turnaround in mid-April 2021. Production from KPD fields also declined due to annual turnaround at the end of June 2021.

Domestic gas production remained flattish QoQ to 3,509 mmcfd during the 4QFY21, despite gas shortages making headlines during last couple of weeks of June 2021. Increase in gas flows was witnessed from Uch field (+10 percent QoQ) and Mari field (+3 percent QoQ).