Tweet
Mari Gas Company Limited (MGCL) has discovered a big oil reservoir in Karak district of Khyber Pakhtunkhwa initially with a production capacity of 1,700 barrels per day. The Halini well was spud on January 07, 2011. The well has been drilled up to a depth of 5,350 meters. During the initial short duration tests, the well flowed at the average rate of 1,700 barrels per day crude oil of API gravity 26 at 32/64" choke size.
Managing Director MCGL General Raza Muhammad Khan (Retd) informed Dr Asim Hussain Federal Minister for Petroleum and Natural Resources in a meeting held here on Thursday. The minister directed the MD MGCL to supply 44 MMSCFD gas from Mari Deep Reservoir to Sui-Northern Gas Pipelines limited (SNGPL). The company has made a significant crude oil discovery with the additional potential of associated gas, during the drilling of Halini well (near the village Kamar Sar, Tehsil Essa Khel) in its Karak exploration block. The block is located at the boundaries of KP and Punjab provinces (between the districts of Karak and Mianwali).
An official of MGCL talking to Business Recorder said that gas exploration is also expected from the site and this is first discovery in the last two years. At present, Pakistan is producing only 15 percent ie 65,000 barrels per day of oil locally and the rest is imported from Gulf countries, the discovery would help reduce the import bill of Pakistan. The country is also facing severe shortage of natural gas up to 2200 MMFCD which would jump to 3200 MMCFD in upcoming winter and currently the government is managing it through gas load management plan and increase in gas price.
The discovery is estimated to have huge foreign exchange savings, which could range in billions of dollars at the current oil price trend and thus contribute towards the nation's endeavour to reduce dependence on imported energy, MD MGCL informed the minister.
The flow rates from the well are expected to increase with further testing and stimulation treatment, which is planned to be conducted, shortly. The prospect is expected to spread over a large area and the company is planning to drill additional wells to delineate the exact extent, size and reserves potential of this discovery.
The Karak block was granted to MGCL, as operator and 100 percent interest owner, on April 14, 2005. Subsequently, MOL Pakistan Oil & Gas Company B.V. (an E&P Company of Hungary) acquired 40 percent interest share in the block from MGCL.
MGCL has also made a gas/condensate discovery last year in its 100 percent operated Sujawal block in Sindh, which is being put on test production by installing early production facilities. MGCL is also proud of discovering the first ever oil in Balochistan when it's Ziarat well flowed crude oil which is currently being evaluated. Other recent discovery of gas by MGCL in its Sukkur block has also been put on test production for gas supply to SNGPL.
Copyright Business Recorder, 2011
Managing Director MCGL General Raza Muhammad Khan (Retd) informed Dr Asim Hussain Federal Minister for Petroleum and Natural Resources in a meeting held here on Thursday. The minister directed the MD MGCL to supply 44 MMSCFD gas from Mari Deep Reservoir to Sui-Northern Gas Pipelines limited (SNGPL). The company has made a significant crude oil discovery with the additional potential of associated gas, during the drilling of Halini well (near the village Kamar Sar, Tehsil Essa Khel) in its Karak exploration block. The block is located at the boundaries of KP and Punjab provinces (between the districts of Karak and Mianwali).
An official of MGCL talking to Business Recorder said that gas exploration is also expected from the site and this is first discovery in the last two years. At present, Pakistan is producing only 15 percent ie 65,000 barrels per day of oil locally and the rest is imported from Gulf countries, the discovery would help reduce the import bill of Pakistan. The country is also facing severe shortage of natural gas up to 2200 MMFCD which would jump to 3200 MMCFD in upcoming winter and currently the government is managing it through gas load management plan and increase in gas price.
The discovery is estimated to have huge foreign exchange savings, which could range in billions of dollars at the current oil price trend and thus contribute towards the nation's endeavour to reduce dependence on imported energy, MD MGCL informed the minister.
The flow rates from the well are expected to increase with further testing and stimulation treatment, which is planned to be conducted, shortly. The prospect is expected to spread over a large area and the company is planning to drill additional wells to delineate the exact extent, size and reserves potential of this discovery.
The Karak block was granted to MGCL, as operator and 100 percent interest owner, on April 14, 2005. Subsequently, MOL Pakistan Oil & Gas Company B.V. (an E&P Company of Hungary) acquired 40 percent interest share in the block from MGCL.
MGCL has also made a gas/condensate discovery last year in its 100 percent operated Sujawal block in Sindh, which is being put on test production by installing early production facilities. MGCL is also proud of discovering the first ever oil in Balochistan when it's Ziarat well flowed crude oil which is currently being evaluated. Other recent discovery of gas by MGCL in its Sukkur block has also been put on test production for gas supply to SNGPL.
Copyright Business Recorder, 2011