Sindh may claim Thar coal, Badin oil, gas royalty

23 Nov, 2004

A move is afoot that Sindh government should demand royalty on the coal taken from Thar and oil and natural gas from Badin. The amount of royalty has not been determined but the move is to be made, initially. Thereafter, the amount may be worked out accordingly. It is reported that about 35,000 barrels oil and 10 million cubic feet gas are produced daily from Badin wells.
It is learnt that oil from Badin is not refined in Pakistan, but crude is exported to middle East where it is refined and then exported.
According to official sources, Thar has 175.5 billion tons coal reserves. But its commercial use is yet to be started. Due to its high water content the coal is still not being put in commercial use.
However, the demand for royalty is engaging keen attention of the provincial government and it is likely that the Federal government would be approached soon in this connection.

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