ISLAMABAD, Sept 20: The Government of Pakistan on Tuesday granted two Petroleum Exploration Licences over Block No 2467-8 (Thatta) and Block No 2870-2 (Bagh-o-Bahar) in Zone-III, covering an area of 2438.85sq kms and 2499.13sq kms to Oil and Gas Development Company Limited (OGDCL).

According to a press release, Thatta Block fell in district Thatta of Sindh and Bagh-o-Bahar block in districts Rahim Yar Khan and Bahawalpur of Punjab.

A minimum firm investment of over $4.18 million and a contingent investment of $6.25 million would be made in the two blocks.

The statement said that during the phase-1 of the initial term of these licences, G&G Studies, purchase and reprocess of seismic data 2-D 800 line Km would be carried out.

OGDCL should acquire, process and interpret seismic data 2-D of 405 Line Km in Bagh-o-Bahar and 2D 300 Line Km in Thatta Block.

Contingent upon the results of aforesaid seismic work programme OGDCL would decide to drill an exploration well up to 3000 meters of Basal Sands of Lower Goru Formation in the third year in each of these blocks.

The statement said that the OGDCL was at present operator of 25 exploration licences and 39 leases besides interest in 32 non-operated leases. They were producing 31,350 barrels of oil, 856 million cubic feet of gas, 264 tons of liquefied petroleum gas (LPG) and 68 tons of sulphur per day.

The execution ceremony was held in presence of Federal Minister for Petroleum and Natural Resources, Amanullah Khan Jadoon and Minister of State for Petroleum and Natural Resources.

The licences and the petroleum concession agreements were signed by Secretary Ministry of Petroleum and Natural Resources, Ahmed Waqar and Managing Director OGDCL Mohammad Raziuddin.