PPL clinches 11 exploration blocks

ISLAMABAD, March 10, 2013:Aligned with its aggressive exploration programme to optimize production and reserves replenishment of hydrocarbons, Pakistan Petroleum Limited (PPL) won provisional grant of 11 strategically fit exploration blocks offered in the latest bidding round held on March 10 at the Directorate General of Petroleum Concessions, Ministry of Petroleum and Natural Resources (MP&NR), Islamabad.

The blocks won by PPL are located variously in Sindh, Punjab and Balochistan.  The company has committed a total of 6,445 Work Units, which translate into a minimum financial obligation of US$ 64.45 million, though actual investment would be significantly higher on discharging the work commitment.

To engage a multinational Exploration and Production (E&P) company in the bidding round, PPL submitted two joint bids with OMV (Pakistan) Exploration GmbH. Notably, the Austrian E&P company will operate one of the two blocks, marking a first in recent years that a multinational E&P has ventured into the country as operator, a move likely to draw more multinationals to the local E&P sector. (PPL was instrumental in bringing OMV to Pakistan during the 1989 bid round and has since partnered with the company in successful ventures, including Sawan, Miano, Latif and Tajjal fields.)

MP&NR offered 58 exploration blocks in the latest bidding round.