Pakistan’s leading exploration and production firm, Oil & Gas Development Company Limited (OGDCL), on Friday announced an oil discovery in an exploration license in the southeastern province of Sindh.
OGDCL, the operator of the Tando Allah Yar (TAY) exploration license, found oil at exploratory well Chakar–1, where tests showed that the well flowed 275 barrels of oil per day.
A second drill stem test (DST) is now being conducted to further assess its hydrocarbon potential.
The discovery at Chakar–1 marks the 13th discovery in the TAY exploration license, and “reflects the joint venture’s sustained efforts to assess and unlock the hydrocarbon potential of the block,” OGDCL said in a statement.
The results to date reinforce confidence that the area has geological potential and support ongoing exploration and appraisal efforts to further delineate its resource base.
The new oil discovery comes as Pakistan is looking to develop its domestic resources to reduce dependence on imported oil and gas.
Earlier this year, Pakistan recorded the first substantial increase in its domestic oil reserves since 2020, with new discoveries and higher production leading to a 23% annual increase in reserves to 238 million barrels as of December 2024.
The key fields contributing to the increase include Pasakhi/Pasakhi North East, Rajian, Kunar, Sono, Thora, Jhandial, and Lashari Centre, according to a report by Arif Habib Limited cited by Pakistani media.
Natural gas reserves in Pakistan remained relatively flat last year compared to the gas reserve estimate for 2023.
In recent weeks, Pakistan has signed cooperation agreements with Turkey and the United States to develop its resources.
Turkish energy firms will explore for oil and gas offshore Pakistan under agreements with local companies, Turkish Foreign Minister Hakan Fidan said last month.
This week, the United States and Pakistan signed a trade deal that will involve the joint development of Pakistan’s oil resources.
By Tsvetana Paraskova for Oilprice.com
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