Pakistan receives bids for 15 out of 20 blocks

ISLAMABAD:

Pakistan has received a somewhat bad response within the 2nd circular of awarding exploration blocks for onshore exploration rights to oil and gas construction groups because it obtained bids for 15 out of a complete of 20 blocks.

Sources informed The express Tribune that the Director normal Petroleum Concession (DGPC) - a wing of the Petroleum Division - sought bids for 20 exploration blocks throughout the country in a bid to entice funding in the energy sector and increase exploration activities to raise oil and fuel creation.

although, oil and gas exploration groups submitted bids for 15 exploration blocks whereas the DGPC got no bids for 5 exploration blocks.

earlier, in its first round, all through the current executive of Pakistan Tehreek-e-Insaf (PTI), the Petroleum Division had sought bids for award of 10 exploration blocks to the exploration companies.

however the exploration and construction businesses did not give encouraging response.

therefore, the Petroleum Division decided to initiate the second round of bids. before offering the blocks, the Petroleum Division had chalked out a plan for extra participation of international organizations.

below the plan, officials of the Petroleum Division attended roadshows and power conferences in distinctive countries together with the UAE and Russia to encourage international agencies to take part within the bidding.

but despite all efforts, Pakistan changed into unable to entice international businesses. companies currently working in Pakistan participated within the bidding.

As many as nine companies took part in the method. State-run oil and gas explorer Oil and fuel construction enterprise constrained (OGDCL) had an enormous presence in the whole bidding system as it participated in bidding for 13 exploration blocks. other organizations protected Pakistan Petroleum restricted (PPL), Petroleum Exploration constrained (PEL), Pakistan Oilfields constrained (POL), Mari Petroleum, OPL, Zaver Petroleum, OGIL, Okta and Spud Eng.

in keeping with a press release issued by means of the Petroleum Division, DGPC publicly opened bids for 20 onshore blocks for the furnish of petroleum exploration rights on Friday at the Petroleum condominium, Islamabad.

The minimal investment to be made by way of the exploration and creation (E&P) corporations in these blocks should be over $seventy one million in three years.

aside from E&P activities, the successful groups will additionally spend over $1.three million in social welfare in areas of their respective blocks.

For blocks that have discoveries, a number of hundred million dollars can be invested by way of these groups in building work.

The public sale of latest oil and gas blocks is part of the govt's method to revive E&P actions in the country, which had been ignored earlier.

The latest govt additionally aims to cut back reliance on imports of oil and fuel with the aid of introducing ease of doing enterprise in the petroleum sector and transparency to ensure a stage taking part in box for all competitors. The onset of E&P actions will help to create job alternatives and cut back import invoice.