Good news from Zin block likely on November 4

0
152

The results of the Oil and Gas Development Company Limited (OGDCL), regarding the most ambitious exploratory well being drilled at one the most prospective Zin block in Balochistan, are positive. They are nearing the target depth of 2300 metres and the final result is expected to be out on 4th November, an official source said.
OGDCL is carrying out the drilling at the X-1 exploratory well which was spud in May this year in the country’s richest hydrocarbon district of Dera Bugti, Balochistan. “It is premature to give the reservoir estimate or its quality before the drilling is completed”, the source said adding that initial estimates project the size of hydrocarbon reserve of upto 10 trillion cubic feet (tcf).
With the precarious gas supply situation in the country, OGDCL had opted for drilling at one of the safest site, considering the law and order situation in the province, even though the state owned company had identified four other sites for drilling, which will be explored once the results of the first well are out.
OGDCL had obtained exploration license for Zin block in 1996. But due to the law and order situation in Balochistan, it has not been drilled for the last 14 years. In the official and industry circles, Zin block is considered the most prospective block as it is surrounded by major natural gas producing fields of Pirkoh, Loti, Sui and Uch. Work on the site started in 2010, when the government provided the required security to the company. If the drilling proves successful the gas from the field will start flowing within the next year, the source said. Terming the project as the most important for the country’s energy security, the source said a discovery in Zin block will force the government to provide security to companies for carrying out oil and gas exploration and production in the hydrocarbon rich province. Pakistan’s first major discovery of Sui gas field, also in Dera Bugti, was made in 1952. At the time of its discovery, it had recoverable gas reserves of around 12 tcf and still remains the highest natural gas producing field in Pakistan; producing around 550 mmcfd. It has estimated 2 tcf reserves left. Kohlu district yet unexplored, but termed as the most prospective for major hydrocarbon discoveries in future, is the ultimate target of OGDCL for exploration provided the security cover is present, he said. He also added that unofficial estimates project more than 22 tcf in the district. OGDCL has applied for security clearance for four licenses in the district including Kohlu, Jandran, Jandran West and Kalchas. The state owned OGDCL is the largest upstream company in the country with a portfolio of 77 fields, out of which 45 fields are 100 per cent owned and operated, and 32 are non-operated fields. As of December 2010, it holds 48 per cent of the country’s recoverable oil reserves, and 37 per cent of the country’s recoverable gas reserves. In terms of production, currently OGDCL delivers 56 per cent of Pakistan’s oil output, and 22 per cent of its gas production.