Pakistan’s leading Exploration and Production (E&P) companies—Pakistan Oilfields Ltd (POL), Oil & Gas Development Company Ltd (OGDC), and Pakistan Petroleum Ltd (PPL)—have announced promising test results from the newly discovered Razgir-1 exploratory well in the Kawagarh formation, located in the Kohat district of Khyber Pakhtunkhwa.
The companies shared this development in their respective notices to the Pakistan Stock Exchange (PSX) on Tuesday.
OGDC stated, “We are pleased to announce the discovery of gas condensate from Kawagarh-1 formation in Razgir-1 exploratory well, located in district Kohat, Khyber Pakhtunkhwa.”
The TAL joint venture, responsible for this discovery, includes OGDCL with a 30% working interest, MOL Pakistan Oil & Gas Co. B.V. (the Operator) with 10%, PPL with 30%, POL with 25%, and Government Holdings Private Limited (GHPL) with 5%. MOL Group, a multinational oil and gas company based in Budapest, Hungary, is the operator of the project.
According to the notice, the Razgir-1 well was spudded on January 9, 2024, and successfully drilled to a depth of 3,773.98 meters TVD. Testing of the Kawagarh-1 Formation showed promising results, with the well producing around 16.4 million standard cubic feet per day (MMSCFD) of gas and 159 barrels per day (BPD) of condensate at a choke size of 40/64″ and a wellhead flowing pressure of 1,874 pounds per square inch (PSI).
OGDCL noted that this discovery could pave the way for further exploration in the TAL Block, opening up new opportunities and enhancing the country’s indigenous hydrocarbon supply, as well as adding to its hydrocarbon reserves.
POL, in its own notice, mentioned that testing operations are ongoing to determine the well’s full potential. The company explained that a Drill Stem Test (DST) was conducted to measure pressure behavior at the drill stem, providing critical data on fluid sampling and the likelihood of commercial production. However, they cautioned that actual production figures might differ from the test results.
Arif Habib Limited (AHL), a brokerage firm, estimated that the discovery could have an annualized earnings impact of Rs2.40 per share for POL, Re0.33 per share for PPL, and Re0.21 per share for OGDC.
This announcement follows last month’s report from Pakistan Oilfields Limited (POL) regarding the discovery of hydrocarbon reserves at the Razgir-1 exploratory well.
