Pakistan Oilfields

Pakistan Oilfields
Type

State sector
Public

Traded as

KSE: POL

Industry

Oil and gas industry

Genre

Oil and gas exploration

Successor

Ministry of Petroleum and Natural Resources

Founded

November 25, 1950

Founder

Ministry of Petroleum and Natural Resources

Headquarters

Rawalpindi

Area served

Worldwide nationwide

Key people

Shuaib A. Malik
(Chairman and CEO)
Khalid Nafeez Zaidi
(Chief Financial Officer)
Dr. Shoaid Naseer
(Chief Medical Officer)
Board of Governors
(Ministry of Petroleum and Natural Resources)

The Pakistan Oilfields Limited (KSE: POL; formerly known as Pakistan-Soviet Oil
Fields), is a global competitive oil exploration consortium and mega corporation, located
in Rawalpindi, Punjab Province of Pakistan.[1] The Pakistan Oilfields is a subsidiary of the
Attock Group of Companies, was incorporated on 25 November 25, 1950, with the financial
capital and technical cooperation of theSoviet Union.[2]

In 1978, Pakistan Oilfields took over the exploration and production business of Alishba Oil
Company. Since then, Pakistan Oilfields has been investing independently. Pakistan
Oilfields is a leading oil and gas exploration and production company listed on all the three
stock exchanges of Pakistan.

Corporate Overview
The Pakistan Oilfields was incorporated by the Ministry of Petroleum and Natural
Resources (MoPMR) on 25 November 1950, by the government of Prime Minister Liaquat
Ali Khan. In 1959, Minister of Energy Zulfikar Ali Bhutto officially proceeded with Nikita
Khrushchev on a bilateral cooperation agreement; the Soviet Union officially joined the
project as a joint-venture in 1960. The joint-venture was established as "Pakistan-Soviet
Oilfields", with Pakistan Petroleum also joined hands in this megaproject.[2] In 1961, with
technical advisers and financial capital provided by the Soviet Union, the oilfields and
Pakistan Petroleum began oil exploration and began drilling the extracted field with Soviet
help in 1961 and activity began in Toot during 1964. [3] It became part of the Attock Group of
Companies (AOC) which had most of its shares and control over the management. [4]
In 1978, the POL was horizontically integration and took over the exploration and production
business of AOC.[4] Since then, POL has been investing independently and in joint venture
with various exploration and production companies for the search of oil and gas in the
country.[4] In addition to exploration and production of oil and gas, POL also manufactures
LPG, Solvent Oil and Sulphur. POL markets LPG under its own brand named POLGAS as
well as through its subsidiary CAPGAS (Private) Limited. [4] POL also operates a network of
pipelines for transportation of its own as well as other companies' crude oil to Attock
Refinery Limited. In 2005, the Company acquired a 25% share in National Refinery Limited,
which is the only refining complex in the country producing fuel products as well as lube
base oils.[4]

References
1.

"Official site". Pakistan Oilfields. Retrieved 11 September 2012.

2.

Hussain, Nazir (2012). "USSR-Pakistan Relations: A historical

recount" (PDF). Journal of Political Studies (Journal of Political Studies) 19 (1): 7989 [83].
Retrieved 11 September2012.

3.

Editorships and authoriships. "Exploration History of Pakistan". Pakistan Association

of Petroleum Geoscientists. Retrieved 11 September 2012.

4.

b c d e

POL. "Overview". POL. Retrieved 11 September 2012.

Mari Petroleum Company Limited

Mari Petroleum Company Limited

Type

Public Limited

Traded as

KSE: MARI

Industry

Oil and Gas

Founded

December 1984

Headquar

Islamabad, Pakistan

ters
Key
people

Lt Gen Nadeem Ahmed, HI (M), SE, T Bt, (Retd)

(Managing Director / CEO)
executive profile

Products
Revenue
Website

Oil, Natural gas, Condensate, LPG

Pak Rs. 31.4 billion (2011)
www.mpcl.com.pk
corporate profile

Mari Petroleum Head Office, Islamabad

Mari Petroleum Company Limited (MPCL; formerly, Mari Gas Company Limited) is one
of Pakistans largest E&P (petroleum exploration and production) companies, operating the countrys
second largest gas reservoir at Mari Field, District Ghotki, Sindh. MPCL is primarily engaged in
exploration, development and production of hydrocarbon potentials (natural gas, crude
oil,condensate, and liquified petroleum gas).

History
In 1957, when MPCL was operating as Esso Eastern Inc.,[1]the Mari Gas Field was discovered
in Daharki, Sindh, Pakistan, with an original gas in place (GIIP) estimate of 2.38 TCF. Over the
years, with the phased development of the Field and subsequent reservoir evaluations, the GIIP of
the Field was enhanced to 10.751TCF, thus making Mari one of the largest gas fields in Pakistan in
terms of balance reserves.
In May 1983, the Fauji Foundation, a major Pakistani group, along with OGDCL (Oil and Gas
Development Company, Ltd.) and theGovernment of Pakistan acquired the entire business operation
of Esso Eastern Inc. in Pakistan, which included the Mari Gas Field.
During December 1984, the business was reorganized and incorporated as Mari Petroleum
Company Limited, and it acquired the assets, liabilities and operational control of the Mari Gas Field.
MPCL primarily operated as a production company until 1997, when it began the phased
development of the Habib Rahi Reservoir to supply gas for new fertilizer plants. The company also
simultaneously pursued appraisal activities within its Mari D&P Lease by drilling stepout wells to
determine the boundaries of the Habib Rahi Reservoir.
The hallmark of MPCLs growth and expansion is also represented by its entry into exploration
activities in 2001.

Distinctions

The Company has the highest well success ratio of any E&P company in Pakistan (1:1.44, or
69.23%) compared to other companies (which average 1:3.3, or 30.1%),[2] and is also the most costeffective. The companys operating expenses are 7-8% of its gross sales, while other companies
average operating expenses which comprise 21% of their gross sales.

Exploration
MPCL started extensive geological and geophysical exploration in 2001, often in partnerships with
local and international exploration and production companies to tap indigenous hydrocarbon
resources of the country. MPCLs success ratio in 2013-14 was 100 percent as MPCL drilled five
oil/gas wells and all were successful which resulted in the significant increase in the company's
oil/gas production. A few months ago, MPCL share prices were trading at around Rs 174 per share,
which now is trading at Rs 560 per share.
MPCL's success ratio is 1:1.4, which is high compared to other E&P companies which average 1:4;
internationally the ratio is 1:8. About 78% of MPCL's gas production is dedicated to fertiliser plants,
and the company is playing a very critical role in the growth of the agriculture sector. MPCL is
supplying 12& of its gas to power houses while the rest is being supplied to other sectors. Currently,
MPCL is working in 17 oil/gas blocks, of which 11 blocks are entirely being explored by MPCL while
in other 6 blocks MPCL is a joint partner.

MPCL Operated Blocks

Mari D&P Lease; MPCL has 100% working interest

Karak Block; MPCL has 60% working interest [3]

Sukkur Block; MPCL has 58.8% working interest

Ziarat Block; MPCL has 10% working interest

Hanna Block; MPCL has 100% working interest

Harnai Block; MPCL has 100% working interest

Sujawal Block; MPCL has 100% working interest

Ghauri Block; MPCL has 35% working interest [4]

Zarghun South D&P Lease; MPCL has 35% working interest

MPCL Non-operated Blocks

Hala Block; MPCL has 35% working interest

Kohat Block; MPCL has 20% working interest

Kalchas Block; MPCL has 20% working interest

Kohlu Block; MPCL has 30% working interest

Bannu West; MPCL has 10% working interest

Zindan Block; MPCL has 35% working interest

Oman Block 43-B; MPCL has 25% working interest

Production
Following is the average daily production from various fields:

Gas; 610+ MMSCF/day [5]

Oil; 500-1500 bbls/day

Condensate; 180+ bbls/day

LPG; 5 MT/day

Reserves
The remaining recoverable reserves of MPCL operated blocks stood more than 4.26 Trillion Cubic
Feet of gas as of February 29, 2012.

Research and Development

MPCL is the first Oil & Gas Company in Pakistan which has dedicated substantial funds for a
number of Research & Development activities in exploration, production, health, safety and
environment (HSE). Following are the projects initially undertaken for Research & Development:

Pakistan Basin Study Report

Improving Cementation in Deep Wells

Mitigation of Sweet Corrosion

Feasibility & Design Study for Tight & Shale Gas Exploration
through Fracturing Sembar Sandstone

Feasibility & Design Study for Fracturing Habib Rahi Limestone to produce from its Tight
Upper Zone

Industry Academia Collaboration

Environmental Protection

Listing
MPCL is listed in all three Pakistani Stock Exchanges, namely the Karachi Stock Exchange (KSE),
the Lahore Stock Exchange (LSE) and the Islamabad Stock Exchange (ISE).

Launch of international operations[edit]

MPCL is preparing to launch collaborative operations with international oil and gas exploration
companies,[6] and has increased local gas production by 61 Million Cubic Feet per Day (mmcfd),
taking it from 584 mmcfd in 2013 to 645 mmcfd in 2014. The company is also exploring opportunities
to work with Central Asian countries in collaboration with the Hungarian oil/gas
exploration/production company MOL Group, [7] and with the Malaysian oil and gas
company PETRONAS on a joint venture basis.

Notes
1.

"MPCL started as Esso Eastern Inc.".

2.

Pakistan Energy Yearbook 2010 (Ministry of P & NR - HDIP)

3.

Mari Gas makes major oil discovery in Mianwali

4.

MPCL discovers oil reserves near Jhelum

5.

Mari Gas supplying 44MMSCF gas to SNGPL

6.

"MPCL is set to launch international operations - Business Recorder reports".

7.

MOL to buy stake in Ghauri block

Pakistan Petroleum
Pakistan Petroleum

Type

State sector
Public limited company

Traded as

KSE: PPL

Industry

Energy

Genre

Oil and gas

Founded

June 5, 1950; 65 years ago

Founder

Government of Pakistan

Headquarters

Karachi, Sindh
Province,Pakistan

Number of
locations

Nationwide

Area served

Worldwide

Key people

Hidayatullah Pirzada[1]
(Chairman)
Asim Murtaza Khan[2]
(MD and CEO)
Ministry of Petroleum and
Natural resources

Products

Petroleum
Natural gas
Motor fuels
Aviation fuels

Services

Service stations

Revenue

Rs. 102.35 billion (2013)[3]

Operating
income

Rs. 50 billion (2013)[3]

Profit

Rs. 180, 45,620 (2012)[3]

Total assets

Rs. 39.838 million (2012)[3]

Total equity

Rs. 370,024 million (2012)[3]

Owner

Government of Pakistan

Number of
employees

2,700

Parent

BP

Subsidiaries

Bolan Mining Enterprises

Website

www.ppl.com.pk

Corporate staff only[4]

Pakistan Petroleum Limited (Reporting name: PPL or PP) is a multinational, global competitive
and one of the largest state-owned megacorporation of Pakistan. It was incorporated on June 5,

1950, when it inherited the assets and liabilities of the Burmah Oil Company Ltd. which initially holds
70% of the share with the rest mostly held by the government of Pakistan (GoP). As of June 2011,
GoP held 70.66% of the shares.
The company is headquartered in Karachi. It operates major oil and gas fields, including the Sui gas
field, has non-operating interests in other fields, and has an interest in an exploration portfolio
onshore and offshore. The company is now planning international exploration in partnership mode.

Global compact
PPL is a signatory of the United Nation Global Compact (UNGC), a voluntary charter set up in July
2000 by leading businesses to form platforms for business models and markets' promotion. The
charter binds member companies to follow ten basic principles focusing on human rights, working
conditions for employees, environmental conservation and transparency. PPL became a member of
UNGC in April 2006.

Recent events
Highlights for 2008
Sales Rs 45.7 billion, profit before tax Rs 30.4 billion, profit after tax Rs 19.7 billion, cash dividend of
55% plus 10% stock dividend.

Year 2010-2011
The company sale revenue increased by 31% to PKR 78.3 billion. PPL made a profit after tax of
PKR 31.4 billion showing and increase of 35% over the previous financial year. Rising international
prices and depreciation of the rupee against US dollar coupled with the positive oil-to-gas sales mix
attributed to this profitability to rise all-time high earning per share of PKR 26.21

Awards
PPl secured five major corporate awards in 2011:

Best corporate report award for annual report 2009

Corporate philanthropy award

KSE (Karachi Stock Exchange) top 25 companies award

MAP (Management Association of Pakistan) corporate association award

SAFA (South Asian Federation of Accountants) award for best annual report 2009

Operations
PPL is operator and shares 100% in two fields:

Kandhkot gas field was hit by flood in August, 2010 and one of the gas gathering mains
(GGM) submerged completely and two GGMs partly. There were 25 producing wells out of
which 15 were shut-in. Production from the field dropped to 70 MMscfd (million standard cubic
feet per day) from the peak of 195 MMscfd of gas. Eight wells were bought into operation by
September 2010. After repairs, production increased to 160 MMscfd. Two additional wells
brought into operation by mid October, 2010 adding 30 MMscfd of gas thereby increased
available production to 190 MMscfd. In December 2010, compression station began commercial
operation to maintain contractual delivery pressure and enhance recovery ratio.

Sui gas field is under depletion phase, gas sales during the financial year 2010-2011 was
170,805 MMscf against 177,574 MMscf in 2009-2010. Production commenced from two
development wells and a third well spud-in during the fiscal year 2010-2011. Drilling of well Sui92U was started in March 2010. The well was drilled up to the depth of 2,128 meters in the Pab
reservoir and was successfully completed as a single string producer from Sui upper limestone
(SUL) in December 2010. Drilling of well Sui-89M started in January 2011 and was completed in
February 2011. Sui-93M was drilled as a horizontal well using under-balanced drilling technology
in the reservoir for the first time in the country to optimize field production. Well drilling started in
March 2011 and completed in July 2011.

Partners operated producing fields

Block 2669-3 (Latif)

Block 2668-4 (Gambat)

Block-2768-3 (Block-22)

Block 3370-3 (Tal)

Manzalai field

Makori field

Mamikhel discovery

Maramzai discovery

Makori East discovery

Tolang discovery

Block 3370-10 (Nashpa)

Miano gas field

Qadirpur gas field

Sawan gas field

Bolan Mining Enterprises

Bolan Mining Enterprises is a joint venture on equal basis between Pakistan Petroleum and the
government of Baluchistan (GoB). A grinding mill having a capacity of 50,000 tonnes per year was
set up and has met almost 80% of the total barytes required by oil exportation companies operating
in Pakistan. Bolan barytes are produced in accordance with the American Petroleum Institute
specifications. BME has been authorized by API to use their 'official momogram' on BME barytes.
During the financial year 2010-2011, the sales of barytes was 41,316 tonnes and BME earned a pretax profit of PKR 138.864 million from barytes project Khuzdar as compared to PKR 148.800 million
earned in 2009-2010. A sum of PKR 27.440 million appropriated towards reserves for development
and expansion. The company's net 50% share of the profit was PKR 55.712 million during the
financial period 2010-2011.

References
1.

PPL. "Chairman of Pakistan Petroleum".

2.

PPL. "CEO and MD of PPL".

3.

b c d e
PPL, Government of Pakistan. "Annual financial report of Pakistan
Petroleum". Government of Pakistan. Pakistan Petroluem. Retrieved 18 July 2013.

4.

"Corporate Staff of PPL". Pakistan Petroleum Limited (PPL) employs around 2,700
staff stationed at various office and operational locations across the country.

Oil and Gas Development Company

Oil and Gas Development Corporation

Type

Public

Traded as

KSE: OGDC
LSE: OGDC

Industry

Oil and gas

Founded

April 4, 1961

Headquarters

Islamabad, Pakistan

Area served

Pakistan

Key people

Zahid Muzzafar
(Chairman)[1]

Products

Fuels, Natural gas

Revenue

US$ 2.12 billion (2013)[2]

Net income

US$ 1.50 billion (2013)[3]

Total assets

US$ 3.93 billion (2013)[3]

Total equity

US$ 3.07 Billion (2013)[3]

Number of employees

11,000 [4]

Website

OGDCL.com

Oil and Gas Development Company Limited commonly known as OGDCL is

a Pakistani multinational oil and gas company. It has primary listing on Karachi Stock Exchange, and
secondary listings on London, Lahore and Islamabad stock exchanges. Established in 1961 by
the Government of Pakistan, it was turned into a public listed company on 23 October 1997. Today it
is involved in exploring, drilling, refining and selling oil and gas in Pakistan. It is the market leader in
terms of reserves, production and acreage.[5]It is based on Jinnah Avenue, Blue Area in Islamabad,
with the Government of Pakistan holding 74% stake in the company. Rest are held by private
investors. In 2013, it has revenue of Rs. 223.365 billion and profit before tax soaring at Rs. 90.777
billion.[6]
It has repeatedly ranked among the Forbes Global 2000.[7]

Listing
On May 4, 2009, the government of Pakistan appointed a Citigroup-led consortium to advise the
state-run Privatisation Commissionon the sale of 10 to 15 per cent (or 430 to 645 million shares) of
the company. OGDCL is the second Pakistani company to have been listed at the London Stock
Exchange. The company is also listed in Pakistan at all the three exchanges of the country namely
Karachi Stock Exchange (KSE), Lahore Stock Exchange (LSE) and Islamabad Stock Exchange
(ISE).

Business challenges and risks

OGDCL is exposed to the following operational and non-operational risks that can unfavourably
affect its operations and financial performance.

Crude oil price

Environmental risks

Exploration and drilling risks

Exchange rate

Law and order

Legislation

Reserve Depletion

Under performance of oil and gas field

The company managed to drill more than one third of the total wells drilled in the country during
2010. The company managed to drill more than one third of the total wells drilled in the country

during 2010. In addition to that, OGDCL was also joint venture partner in sixteen wells drilled by
other operators.

Discoveries and exploration

During the fiscal year ended June 30, 2006 the Company made several oil and gas discoveries,
including at Nim-1, Dars Deep-1, Tando Allah Yar North-1, Kunnar Deep-1 and Bahu-1. OGDCL's
daily production, including share from joint ventures averaged 39,659 barrels (6,305.3 m3) of oil;
937 million cubic feet (26,500,000 m3) of gas, and 358 metric tons of liquefied petroleum gas. The
Company holds exploration acreage comprising 40 exploration licenses covering an area of 75,905
square kilometers, including 16 exploration licenses covering an area of 28,066 square kilometers
granted to OGDCL during fiscal 2006.[2] During 2009-2010, the company acquired four new
exploration blocks (Channi Pull, Jandran west, Lakhi Rud and Mari east), covering area of around
4,795 Square kilometers. Three exploration licenses namely Khiranwala, Thatta and Thatta east
were surrendered and operatorship of offshore Indus-S was transferred to BP Alpha.

Employees
The company has 11,000 employees on its payroll. OGDCL has some of the finest professionals but
due to the failure of top management the full potential of OGDCL was never utilized to the benefit of
Pakistan. Had these professionals been utilized wisely and on merit; today Pakistan would be selfsufficient in energy.

OIST
The OGDCL Institute of Science & Technology was established in 1979 in Islamabad. In 1986 the
OIST (formerly OGTI) relocated to the I-9 sector of Islamabad. The OIST has played an important
role in field training. In March, 2013 the OGTI under the name OGDCL Institute of Science and
Technology was allowed to award degrees.

Highlights
Financial 2014[8]

The company's sales revenue increased by 15.06% to PKR 257.01 billion (2012-13: PKR
223.37 billion)

Net realized prices of crude oil and gas averaged US$87.71/barrel and PKR 282.95/Mcf
respectively (2012-13: US$83.40/barrel and PKR 265.87/Mcf)

Profit of the company before taxation rose by 17.4% to PKR 172.35 billion (2012-13: PKR
146.81 billion)

After tax profit of the company rose by 35.76% to PKR 123.91 billion (2012-13: PKR 91.27
billion)

Earnings per share increased to PKR 28.81 (2012-13: PKR 21.22)

The company declared dividend of PKR 9.25 per share (2012-13: PKR 8.25 per share)

Total assets of the company increased to PKR 496.23 billion from PKR 413.93 billion

The company contributed PKR 132.26 billion to national exchequer (2008-09: PKR 129.62
billion).

Operational

The company made six oil, gas/condensate discoveries namely Reti-1A, Baloch-1, Dakhni11, Maru-1, Nashpa-1 and Shah-1
The company commenced production from Baloch-1 Nashpa-1, and Pakhro-1

Crude oil production of the company on working interest basis averaged 40,367 barrels
(6,417.8 m3) per day (2013-14)

Gas production of the company on working interest basis averaged 1,136.410 6 cu ft

(32,180,000 m3) per day (2013-14)

LPG product on working interest basis averaged 202 metric tons per day

During the year, the company acquired 2493 L. km of 2-D seismic data in Bagh South,
Bitrism, Dhakni, Guddu, Mari East, Mianwali, Nashpa, Nim, Thando Allah Yar, Thano Beg and
Thal concessions, 290 km of 3-D seismic data in Soghri concession and Toot Mining Lease by
running five seismic crews having latest technologies and equipped with quality control software
for on-site data processing during the surveys

Forty well locations were marked on ground and twenty six wells including thirteen
exploratory, two appraisal and eleven development were spudded by the company.

Market capitalization]
In early 2007, the company had a market capitalization of PKR 51.9 Billion in Karachi Stock
Exchange.

Non-operated joint ventures

Adhi field; OGDCL has 50% stake and Pakistan Petroleum Limited (PPL) is the operator of
the field

Badar field; OGDCL has 50% working interest and PEL (Pakistan Exploration private
Limited) is the operator

Badin-II, Badin-II revised and Badin-III fields; OGDCL has 49%, 24% and 15% stake
respectively. BP Pakistan (British Petroleum Pakistan) is the operator

Badhra, Bhit and Kadanwari fields; OGDCL has 20%, 20% and 50% working interest
respectively and ENI (Eni Pakistan Limited) is the operator

Bangali, Dhurnal and Ratana fields; OGDCL working interest is 50%, 20% and 25%
respectively and M/s OPII is the operator

Miano field; OGDCL has 52% stake and OMV (OMV Pakistan Exploration GmbH) is the
operator of the field. During 2009-10, three wells were put on production

Pindori field; OGDCL holds 50% working interest and POL (Pakistan Oilfields Limited) is the
operator

Sara and Suri fields; OGDCL has 40% stake in the fields and Tullow Pakistan is operating
these fields

TAL Block; OGDCL working interest is 27.76% and MOL Pakistan (MOL Pakistan Oil and
Gas BV) is the operator.

Reserves
The remaining recoverable reserves of OGDCL stood more than 142 million barrels (22,600,000 m3)
of oil and 9,997 billion cubic feet 9,997 billion cubic feet (283.1 km3) of gas as of June 30, 2010.

References
1.

"ODGCL - Board of Directors". http://www.brecorder.com/top-stories/0/1181256/.

Retrieved May 9, 2014.

2.

"Oil & Gas Development investor face sheet" (PDF). Forbes. June 30, 2013.

3.

b c

4.

"OGDCL 04-09-07 - 1.pdf" (PDF). Retrieved 2011-09-24.

5.

OGDCLs revenue increased to Rs 223.365 billion

6.

Oil & Gas Development

"Oil & Gas Development on the Forbes 2000 List". Forbes. April 1, 2012.

External links

Oil and Gas Development Company Limited

Forbes report on OGDC privatization

OGDCL Pakistan starts trading at London Stock Exchange