PESHAWAR: The Khyber Pakhtunkhwa Oil and Gas Company Limited (KPOGCL) has successfully completed the bidding process for the exploration and production of the Miran Block, under which, 49% of the shares of the Miran Block have been sold out while 51% of the shares will remain with KPOGCL without any risk.
The project is expected to bring direct investment of Rs22 billion into the province. Furthermore, 100% cost of the exploration phase will be borne by the relevant consortium.
This was told in a meeting of the KPOGCL, held here the other day with Chief Minister Khyber Pakhtunkhwa, Ali Amin Khan Gandapur in the chair. Special Assistant to CM for Energy, Tariq Sadozai, Secretary Energy Nisar Khan, CEO KPOGCL, and other relevant officials attended the meeting.
The Chief Minister commended the performance of KPOGCL's management for successfully completing the bidding process of the Miran Block, adding that this milestone will not only further strengthen the company but also play a significant role in the region's development.
During the meeting, the Chief Minister was given a detailed briefing on the company's corporate business strategy, oil and gas potential in the province, recent discoveries, investments, and other related matters. It was highlighted in the meeting that Khyber Pakhtunkhwa plays a significant role in the country's oil and gas production. The province produces 30,000 barrels of oil per day, which constitutes 42% of the country's total production. Similarly, Khyber Pakhtunkhwa produces 410 MMCFD of gas, which accounts for 13% of the national output. The province also produces 800 tons of LPG daily, representing 40% of the national LPG production.
The meeting was also told that KPOGCL is also investing in multiple other oil and gas blocks. Four new high-impact recent discoveries have increased the province's daily gas production by 180 MMCF and oil production by 5,550 barrels. Similarly, it was informed that from 2013 to 2024, the company’s equity injection amounted to Rs4 billion.
While briefing on the KPOGCL's budget estimates, it was informed that the annual budget has been prepared in line with the investment plan approved by the provincial cabinet. For the exploration of new blocks, Rs3.00 billion has been allocated in the budget of current fiscal year.
On this occasion, the Chief Minister also directed the quarters concerned to expedite work on ongoing hydropower projects in the province and conduct surveys for the construction of small hydropower plants in the merged districts.
He also directed the early initiation of the project regarding solarization of Masajid and households in the province, emphasizing that the provincial government is taking concrete steps to resolve electricity-related issues faced by the public. The solarization of Masajid and households is an important step in this regard and must be completed in time, he concluded.
Copyright Business Recorder, 2024
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