“Today, as never before, our world is faced with the daunting challenge of discovering new hydrocarbon reserves and optimizing production from existing ones. Soaring oil prices, which recently crossed US$ 140 a barrel, have intensified and further fueled the competition among Exploration & Production (E & P) companies. Major E & P companies are expanding their businesses to harness hydrocarbons even in the most hostile environments. This has resulted in an exponential rise in exploration and development costs. While the risk has remained the same or increased somewhat, the unprecedentedly high finding costs have multiplied the challenge.
 
To cope with these highly competitive market trends and sharply rising oil prices, PPL is endeavouring to revamp its strategic planning processes and adopt a multipronged business strategy of evaluating existing open areas in Pakistan, evaluating blocks applied by other companies, carving new exploration licenses in relatively less explored frontier areas of Pakistan, venturing into international exploration, albeit cautiously and on a selective basis, and participating in the upcoming bid rounds internationally as well as in Pakistan. The acquisition of discovered reserves, use of latest technology for production optimization from existing discoveries and fields and diversification into other energy-related business ventures are some of the other options available for the Company.”