Sindh protests Hidan Block approval delay

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Sindh Chief Minister Murad Ali Shah meets Petroleum Minister Ali Pervaiz Malik.—APP
Sindh Chief Minister Murad Ali Shah meets Petroleum Minister Ali Pervaiz Malik.—APP

KARACHI: Sindh Chief Minister Syed Murad Ali Shah and Petroleum Minister Ali Pervaiz Malik held a comprehensive meeting on Friday to address key energy-sector issues affecting the province.

The chief minister underscored the need for timely federal decisions on several long-pending matters, stressing that Sindh’s energy resources must be leveraged effectively to support industrial growth, employment generation, energy security and economic development.

Topics discussed included the grant of the Hidan Block to Sindh Energy Holding Company Ltd (SEHCL), allocation of stranded and dormant gas fields, gas supply from the Soho and Kandhkot fields, and pending matters related to Sui Southern Gas Company (SSGC).

A major focus of the discussion was the Hidan Block (2767-3), for which SEHCL submitted an application in February 2025 under the Council of Common Interests (CCI) decisions and the Petroleum Exploration and Production Policy 2012.

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The chief minister pointed out that despite repeated correspondence from the Energy Department, the Chief Minister’s Office and the Directorate General Petroleum Concessions (DGPC), the matter remains pending.

Mr Shah said Sindh had fulfilled all procedural and legal requirements and was entitled to the block under the existing policy framework. “An early decision will enable the province to contribute more effectively to the national energy landscape and attract further investment in the sector,” he said.

Dormant gas fields

The chief minister also sought federal support for the allocation of stranded and dormant gas fields to Sindh for industrial utilisation.

He noted that the provincial government had repeatedly advocated the productive use of untapped gas reserves to strengthen industrial activity and improve energy availability for businesses.

Industries across Sindh are facing significant energy constraints. Bringing stranded and dormant gas reserves into the economic stream can provide immediate relief to industry, create jobs and stimulate economic growth, he said.

Gas supply

Mr Shah raised the issue of gas allocation from the Soho discovery in Sujawal Block and surplus gas available from the Kandhkot Gas Field.

Referring to Article 158 of the Constitution, he emphasised that provinces producing natural gas should receive priority in its utilisation.

Sindh is the country’s largest gas-producing province. Constitutional provisions regarding priority utilisation of gas by producing provinces must be implemented in both letter and spirit. Timely allocation from the Soho and Kandhkot fields will help address energy shortages and support industrial expansion, he said.

Ali Pervaiz Malik acknowledged the significance of the issues raised and appreciated the province’s proactive engagement on energy matters, a communique said.

The minister reiterated the federal government’s commitment to strengthening cooperation with provinces and ensuring the efficient utilisation of the country’s energy resources.

Meeting with refineries

Separately, in a meeting with all five refinery operators of the country, the minister said that refinery upgradation is essential for long-term sustainability of the country’s refining sector.

The minister reviewed progress towards implementation of the Brownfield Refinery Upgradation Policy, the financial and operational performance of the refineries, and measures to strengthen Pakistan’s energy security. “All the refineries are ready to sign modernisation agreements, involving a huge investment of $6 billion to kick-start local production of Euro 5-compliant fuel besides lowering the import bill of petrol and diesel,” the minister noted.

He said the planned upgrades would enable refineries to produce Euro 5-compliant fuel products. Local production of these products would reduce reliance on imported petrol and diesel and could also lower their prices relative to imported products.

The management of all five refineries reaffirmed their readiness to sign agreements under the Refinery Upgradation Policy, with the agreements expected to be signed early next month, says a press release.

Published in Dawn, August 29th, 2026

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