Oil production during last quarter FY22 was down by 6 percent year-on-year versus 17 year-on-year jump in the same quarter of a year earlier
KARACHI: Country’s oil and gas output shrank 3 percent and 2 percent respectively during the last fiscal year, numbers showed on Wednesday, mainly owing to output squeeze at different fields and no expansion in the sector.
FY2021-22 remained a tough year for the country as far as oil and gas supplies are concerned because of rising prices of oil and gas in the global markets and problems compounded by a drop in the local oil and gas production.
During FY22, oil production in Pakistan declined by 3 percent year-on-year to 26.8 million barrels or 73.4k bpd (barrels per day). Oil production in the country during last quarter FY22 was down by 6 percent year-on-year versus 17 year-on-year jump in the same quarter of a year earlier.
“This is largely due to decline in production from Nashpa, Adhi, and Makori East oil fields, and no addition of any sizable oil field. On a quarter-on-qauarter basis, the decline in oil production was due to annual turnaround at Meyal, Jhandial, and Pariwali,” a topline research report stated.
During FY22, gas production fell 2 percent year-on-year to 3.38k mmcfd, which is largely in line with last 5-year average production decline.
Gas production in last quarter of FY22 contracted by 2 percent year-on-year due to their association with lower oil production, and lower offtake due to annual turnaround and maintenance.
During the fourth quarter of FY22, gas production was up by 1 percent quarter-on-quarter despite less offtake from MARI gas field due to annual turnaround of Foundation Power Company Daharki Limited (FPCDL) and Dakhni & Maramzai fields during the quarter.
As new block auctions were held last year, exploration activity in the new awarded blocks would likely to increase. Production flows in FY23 could also be higher due to sizeable discoveries in FY22.
In FY22, Geological and Geophysical (G&G) activities remained on a higher side where 3D seismic acquisition rose by 1.2x year-on-year to 1,913 sq-kms and 2D seismic activities decline by 22 percent year-on-year to 2,507 sq-kms.
During last quarter of FY22, geological and geophysical activities showed an increase, with 3D seismic acquisition increasing by 2.2x year-on-year and 1.4x quarter-on-quarter to 1,132 sq-kms, while 2D remained flat year-on-year and declined by 30 percent quarter-on-quarter to 577 sq-kms.
Moving forward, there are 7 seismic surveys of 2D & 3D, which are going to be conducted during 1QFY23.
In FY22, meterage drilling increased by 43 percent year-on-year as the numbers of well-spudded were 58 versus 50 in the same period last year.
Drilling activities (meterage) rose by 20 percent year-on-year and fell by 19 percent quarter-on-quarter to 44.5km during 4QFY22.
Overall, eight wells were abandoned in FY22 as against 6 in the same period last year. During 4QFY22, the oil & gas companies encountered 3 abandoned wells which were Exploratory
(Mian Miro Deep -1, Surghar X-1 and Bewato-1. There are three exploratory and 4 development wells planned for the first quarter of this fiscal.