Sindh has turned out as a real basin for oil and gas exploration as Oil and Gas Development Company (OGDC) struck Unar 1 field -in a row forth discovery in the province and fifth as a whole during the last three months.
Sources said that after successful testing of the new exploratory discovery at Unar 1 field, the OGDC has referred its technical data to the Petroleum Concessions (DGPC) Director General for his information and record.
The new discovery falls in Hyderabad and its initial tests have confirmed that Unar 1 will be a sizeable discovery having gas and condensate.
Earlier, OGDC's hit Besakhi and other two discoveries at its fields, and Mela in Kohat NWFP during the last three months. These discoveries have added considerable gas and oil to its production and helped the country save huge money that would have in other case incurred on import of that much quantity.
The government is following various major initiatives to increase domestic share in oil and gas production and through it save as much money as possible. For the same, it is offering lucrative incentives to the oil and gas exploration and production companies.
Gas produced from Unar 1 field will go the Sui Southern Gas Company (SSGC) for supply to the consumers and condensate to the nearest refinery for processing and later selling to the oil marketing companies to sell to the retailers at outlets.
Sources told Business Recorder that OGDC had successfully hit Unar 1 at Unar field and according to the initial test report, it can produce 17.5-mmcfd gas and sizeable condensate. Sources said Unar 1 was drilled to over 3,400 feet and its final test due in next couple of days, which will hopefully increase its oil and gas production.
As per rules, any exploration and production company is required to provide the DGPC data on the new discovery and seek permission for its formal announcement. Since the OGDC is a public sector company and also a major player of the stock market, its management takes extraordinary care in the procedure after hitting any discovery.