Oil and gas exploration deals inked

The government on Monday entered into petroleum concession agreements and awarded exploration licences to energy firms that would make a minimum investment of $65 million in the first three years of exploration activities to tap new oil and gas reserves. The move comes at a time when the country is facing oil and gas scarcity due to the Russia-Ukraine war. Pakistan is encountering a crisis-like situation with rising demand for liquefied natural gas (LNG) and petroleum products, especially diesel. It is heavily dependent on LNG and oil imports to meet domestic needs. In a statement, the Petroleum Division said that the government of Pakistan had struck petroleum concession agreements and granted exploration licences for Block 2,966-2 (Chah Bali). This field is a joint venture between Oil and Gas Development Company Limited (OGDCL), which has a 70% stake as an operator, and Pakistan Oilfields Limited (POL), having 30% shareholding.