ISLAMABAD: Rejecting the claims of state-owned Oil and Gas Development Company Limited (OGDCL) that security is the main hurdle in the slow phase of oil and gas exploration and production activities in Balochistan, a parliamentary panel on Wednesday asked the ministry to initiate work on newly discovered sites to minimise gas crisis.

Senate Standing Committee on Petroleum met here under chairman Muhammad Abdul Qadir.

The officials of the OGDCL briefed the members’ committee on land acquisition process and extraction of oil and gas in Jhal Magsi Block which was discovered 10 years back.

The chairman committee did not accept the arguments of the OGDCL’s officials that security in Jhal Magsi particularly and in other districts of the province is only reason for delay in exploration activities in the province.

For the last two decades, the chairman said that the officials of OGDCL failed to come up with any tangible solution of the security while energy import of the country increased by 400 percent.

Senator Abdul Qadir maintained that the energy crisis is one of the biggest crises facing the country, resulting in a $32 billion import bill.

He further said, “ÖGDCL is sleeping over the issue as the company can hire private security if it requires”.

The Minister for Interior who is also a member of the committee and other Balochistan leaders assured the OGDCL to help arrange security if the company asked, he added.

A subcommittee on Petroleum and Natural Resources also formed and assigned the task to consult with local political and tribal leaders in Balochistan on the security issue to the personnel of OGDCL.

The committee took up the matters relating to the oil and gas exploration activities and the overall performance of the OGDCL. The committee noted that Balochistan has great potential reserves and there is a need to make the environment conducive for exploration.

The sub-committee will contact the political and tribal leaders in Bugti, Murree, Kharan, Ouch, Jhal Magsi, and certain other areas for providing security to the OGDCL. The OGDCL has failed to launch the projects and abandoned their exploration activities in troubled areas of the province due to security risks.

Managing Director Pakistan Petroleum Limited (PPL) Imran Abbasy apprised the committee that the four mega oil and gas companies had taken the matter with Defence Ministry and GHQ. The companies’ representatives held two meetings and would come up with fruitful solution.

Director General (DG) Gas Petroleum Division said that the local production has been depleting nine percent annually which reached to 3 bcf and 1 bcf being imported to meet the gas deficit.

Copyright Business Recorder, 2023