MPCL grants Rs 62.7 million bonus to Sujawal, Badin dist governments

26 Jul, 2016

Mari Petroleum Company Limited (MPCL) on Monday handed production bonus cheques of $600,000 or Rs 62.7 million to district governments of Sujawal and Badin. Lieutenant General Nadeem Ahmed, managing director of MPCL, said at a cheque distribution ceremony held here at Mari's Sujawal gas fields, the "obligatory" funds would be used by the respective local governments for social development of the two districts.
Also, the grant marks the start of commercial viability of the hydrocarbon being drilled from MPCL's concession block. "On commencement of commercial production at Sujawal X-1, MPCL is obligated to pay $0.6 million to district governments Sujawal and Badin," Ahmed told the audience. Among others, the ceremony was attended by DC Sujawal Aayo Khan Mari, ADC Badin Muhammad Hussain, MPCL's GM Exploration Tufail Ahmed, Colonel Adnan (Retd), Development Expert Major Aamir Bilal (Retd) and Community Engagement Specialist M Usman Aslam.
The two local government officials received from the managing director production bonus cheques worth $499,620 (Rs 52.2 million) and $100,380 (Rs 10.5 million), respectively. MD Ahmed said Sujawal block (2467-11), comprising 2416.43 square kilometers, was granted to MPCL with 100 percent working interest and operatorship in June 2006 under Petroleum Exploration Licence No 381/PAK/2006. This block is spread across three districts, ie Thatta (55.61%), Sujawal (43.65%), and Badin (0.74%), he said.
Subsequent to exploration activities performed, Ahmed said, MPCL drilled the first exploratory well (Sujawal X-1) in the concession block up to the depth of 3000m in June 2010. Well testing resulted in commercial hydrocarbon discovery (gas and condensate) from Lower Goru-Upper Sand A&B reservoir, he added. About the routine CSR activities of his firm, the MD said MPCL had since it's inception spent approx Rs 27 million in the area. Citing Education, Health and WASH as thematic areas for the fund's usage, major projects carried out under these areas included the rehabilitation of Government Boys High School Var, Ghorabari, Thatta and five primary schools at Sujawal at close proximity of the field.
Financial assistance to STEVTA for the establishment of Petroleum Technical Training Institute (PTTI) in Sujawal, rehabilitation of Rural Health Centre, Ghorabari, Thatta, fortnightly free medical camps being carried out at Rab Dino Maliah Village near ROW and donation made to Al-Shifa Eye Trust for free eye surgical camp at Sujawal. MPCL also had installed 50 hand pumps in different villages of Tehsil Jati District Sujawal, besides constructing Sweet Water Pond at Haji Mandhrio near field area. He said the cost of projects MPCL had completed stood at Rs 15.4 million while that of ongoing venture was Rs 11.9 million.
"So far having spent on Sajjal and Sujawal wells about $45 million, we would drill here 2-3 more wells as the 3D Seismic Study we have conducted gives us a lead about additional gas reserves here," the MD said. "The more wells we have the longer our stay would be here. We would use our CSR funds over and above what we allocate," Ahmed said.

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