ISLAMABAD, Jan 21: The bidding for working interest of the government in nine oil and gas fields would take place on April 15, the Privatisation Commission announced here on Monday.

An opportunity is also being offered to additional companies to submit Expressions of interest (EOIs), latest by February 28, for acquiring concessions 11 per cent to 25 per cent in Potwar area with average production 1730 bpd (2001), 25 per cent to 40 per cent in Badin area with average production 18320 bpd (2001) and 12.5 per cent in Mazarani which is undeveloped. Companies which have already submitted an EOI need not apply again.

It is the first major oil & gas transaction after the sale of LPG businesses of Pakistan’s Public sector companies — Sui Southern Gas Company (SSGC) and Sui Northern Gas Pipeline Limited (SNGPL). It includes nine concessions in Adhi, Badin-I, Badin-II, Dhurnal, Mazarani, Minwal, Pariwal, Ratana and Turkwal fields, which produced an average of approximately 20,000 bpd net to the working interests as per 2001 figures.

The Exploration & Production (E & P) sector in Pakistan is active, with a total of 38 companies of various nationalities, including Pakistani firms. The combination of potentially significant growth in energy demand the continuing deregulation and recent large gas discoveries make Pakistan an attractive proposition for Exploration and Production companies. Pakistan’s historical drilling success is well above world average at better than 1 in 4.

The interested parties have been asked to submit their EOIs with a non-refundable processing fee of $500 or Rs30,000 and three copies of their EOIs including the name and address of the party, the date and place of incorporation and contact details, background of the applicant and (if different) ultimate parent company, audited financial background of the applicant and (if different) ultimate parent company, audited financial statements for the proceeding three years for the applicant and parent company and experience in the E & P sector including a three year track record.

Parties with relevant credentials which submit an EOI and satisfy the necessary financial and technical standards will be invited to sign a Confidentiality Agreement, following which a copy of the Information Memorandum will be provided, allowing a comprehensive assessment of the assets being offered. Qualified parties that wish to have access to the full data package for their own due diligence may do so on payment of further fee.

Gaffney, Cline & Associates and JP Morgan are providing the Financial Advisory Services for their transaction. This, invitation, Privatisation Commission said, is not intended to be, and should not be construed as any representation or warranty express or implied, with respect to any statement made herein and that the PC reserves the right to request any additional information from any party.