ISLAMABAD, Jan 31: Canadian Frontier Holdings has entered into partnership with a local company Petroleum Exploration Limited (PEL) by acquiring working interests in seven concessions held by the PEL.

Canadian Frontier Holdings President Mr Nigel MeCue accompanied by PEL Chairman Zaheeruddin called on Federal Minister for Petroleum and Natural Resources Amanullah Khan here on Wednesday and briefed him about the joint venture investment plan of $200 million in oil and gas exploration and power sectors.

Mr Nigel informed the minister that the joint venture intended to setup a power plant of 60-120-mw at Sukkur based on the huge low BTU reserves of its Kandra gas field. He said that the development of Kandra field resources of 3.4 trillion cubic feet would be main source of gas supply to the power facility.

The joint venture has also planned drilling of development wells with a view to ensuring a sustained gas supply to power plant by investing $160 million, which is expected to be commissioned in 2009 involving further investment of $60 million, he added.

Mr Zaheeruddin said that the Canadian company would not only bring new technology to Pakistan but also utilise their expertise in drilling a number of exploration development wells during next three years in concessions blocks required by the joint venture.

The minister said that the government was taking concrete steps to exploit the untapped hydrocarbon resources in order to meet the growing energy needs of the country.

Mr Jadoon appreciated the PEL’s contribution for promoting the oil and gas exploration activities in the country and invited the joint venture to avail the investment opportunities in the upcoming projects for the mutual advantage.