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Business

The exploration company targets large fields

Islamabad:

Oil and Gas Development Company Limited (OGDCL), Pakistan’s largest hydrocarbon explorer, has targeted 20 major fields, mainly in the north and south, to boost production and help overcome the country’s energy crisis.

Due to increasing demand for natural gas, Pakistan is more reliant on imported liquefied natural gas (LNG), as its share has increased to 24% in the energy mix.

However, in many countries, the share of imported natural gas is only 6%, which serves as a stopgap arrangement. Pakistan’s increasing dependence on imported gas has come in the face of low exploration activity domestically.

Now, OGDCL has taken a giant step forward by embracing modern technologies to optimize oil and gas production. This strategy has proven successful.

In this context, according to industry officials, OGDCL is targeting its 20 major fields to increase hydrocarbon production. These include 14 oil fields namely Kunnar, Tando Alam, Pasakhi, Sono, Lashari Centre, Thora, Rajian, Kal Palli, Chak Naurang, Fim Kassar, Missa Keswal, Mela and Toot, and six gas and gas condensate fields namely Chanda, Nashpa, Qadirpur, Kunnar Pasakhi Deep – Tando Allah Yar, Sinjhoro and Bettani.

Under its ambitious plans, OGDCL envisages a significant increase in its current oil production from 34,000 barrels per day (bpd) to 50,000 bpd in the next three to four years through production optimization efforts. To achieve this goal, the company plans to transfer more than 15 oil wells to suitable artificial lift systems.

In addition, three to five wells will be drilled to maintain existing production and drain loft oil. Pressure maintenance projects have also been initiated and their execution will start from the financial year 2024-25.

Separately, OGDCL is ramping up efforts to see an increase of up to 1.4 billion cubic feet (bcf) in its crude gas production over the next five to six years, tapping low British thermal unit (BTU) reserves such as Zin and Sara West. and discoveries in high security risk areas such as Jandran, Laki Rud and Kalerishum.

It will also add to production through new exploration efforts during the given time frame, industry officials said.

Energy is the key to the development of the country. It drives industry, agriculture, transportation and is a basic requirement of every household. Power and energy deficit is one of the biggest national challenges that negatively affect the economic development of the country.

OGDCL, as the leading exploration and production (E&P) player, is exploring the possibilities of contributing to national development and energy security through exploration of more hydrocarbon reserves.

In recent years, OGDCL’s oil and gas production has declined. Hence, it is imperative to adopt and develop new cutting-edge technologies and techniques to arrest the downward trend and optimize production at a rapid pace.

Considering the current situation, the management of OGDCL has constituted a task force consisting of petroleum industry professionals to identify, evaluate, propose and implement new technologies, techniques and systems. Its main objective is to increase hydrocarbon production from brownfield projects and initiate new plans to sustain production.

Development and optimization strategies envisaged by OGDCL include pressure maintenance (with water and gas injection), enhanced oil recovery through organic media, polymer injection and downhole heating, infill drilling, well intervention, well stimulation with new chemicals, optimization of artificial lift and surface network optimization.

These technologies were already being used by E&P companies across the world, officials said, adding that some of them had already been adopted by OGDCL. Now, these are being modernized and installed on a rapid basis.

At present, all E&P companies in Pakistan face the challenge of discovering large oil and gas fields and adding sufficient new reserves to stop the natural depletion of existing fields.

OGDCL is increasingly focusing on long-term production enhancement through speedy completion of ongoing development projects, which will further enhance the country’s oil and gas production.

Published in The Express Tribune, May 3rd2024.

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