PM Abbasi says 100 percent gas replenishment ratio achieved

KANDHKOT: Prime Minister Shahid Khaqan Abbasi on Saturday said the present government has managed to attain over 100 percent gas replenishment ratio to ensure energy security in the country. 

“I take pride in informing that over 100 hydrocarbon discoveries were made during this tenure of the PML-N (Pakistan Muslim League-Nawaz),” the Prime Minister said after inaugurating a Pakistan Petroleum Limited (PPL) project that has significantly boosted the company’s production from its Kandhkot gas field. “More gas was discovered than used during this period.”

Currently, there are 36 development wells in the gas field which has a reservoir of 549 billion cubic feet gas. The PPL’s daily average production from the feild has increased from 187 mmscfd to 230 mmscfd within a period of 8 months, increasing the company’s total output to 1,050 mmscfd. 

After unveiling the plaque of the project accomplished in a record time through fast track drilling, the Prime Minister said it was a big achievement on part of the PPL and a prime example of a progressive public sector enterprise.

“The PML-N government has always encouraged merit-based approach and never interfered in the affairs of public sector companies such as PPL,” Abbasi added.

He said the objective of the project was to help generate another 450 Megawatt of electricity from Guddu Power Plant to fulfill the power needs during summer season. 

“The project involved drilling and compression besides the installation of a power plant in Guddu,” the PM said adding, “Consequent to the efforts of the PPL’s workers, all have been achieved.”

Abbasi said the project also had helped save $250 million to $300 million on gas import, which was the only option to fuel the power plant if the gas supply from Kandhkot would not have been enhanced. “The PPL should enhance the exploration activities in all four provinces as its main mandate,” he said directing the company.

The Prime Minister added that extension of Sui Gas Field was also underway that would benefit both the people of Balochistan as well as the PPL. “The PPL was playing a basic but invisible role to mitigate the power crisis as a fundamental step for country’s progress,” he said.

Dispelling the impression the country was bent on importing the commodity, Jam Kamal Khan, state minister for energy & petroleum, said the government was equally determined to explore and develop indigenous resources.

“As far as the the LNG import is concerned, it is only a backup arrangement so that country could have uninterrupted supply of fuels,” he emphasised.

Jam regretted that country's natural resources were not utilised appropriately in the past. “However, in the future we will realise the importance of natural resources and the same would be used for the betterment of economy and people,” the state minister observed.

Syed Wamiq Bokhari, managing director and chief executive officer PPL, said it was an exceptional achievement.

“Even big multinational E&Ps (exploration and production companies) can hardly achieve what PPL has accomplished”.

The PPL made a commitment to government of Pakistan to enhance production from Kandhkot up to 230 mmscfd by June 2017. This required drilling of additional wells, addition and revamping of compressors and debottlenecking of production facilities in a challenging time schedule of nine months.

The company carried out a surveillance campaign to identify opportunities for workovers and well interventions to enhance gas production. It fulfilled the commitment ahead of time by increasing gas sales up to 230 mmscfd through drilling of six development wells on a fast track basis in a challenging environment and finding sweet spots in a mature field already producing for 30 years.