ISLAMABAD, July 12: The government on Thursday granted petroleum exploration license to Oil and Gas Development Company (OGDCL) for Shaan (Block No. 3069-4). The Shaan block lies in Qila Saifullah, Zhob and Musa Khel districts in Balochistan (Zone II).

The OGDCL will invest an amount of $4.3 million during initial period of three years. The company will carry out geological and geophysical studies, geological field work of 350 line km, 2D seismic acquisition and processing of 200 line km and drilling of one exploratory well (contingent) during the initial term of three years.

The OGDCL is the largest public limited company engaged in exploration and production activities in the country for the last four decades. Presently, OGDCL is 100 per cent owner in twenty eight exploration licenses. In addition, it is the operator as well as working interest owner in 15 exploration blocks. It is partner in another six exploration blocks operated by other exploration and production companies.

The OGDCL is operating 40 mining and development and production leases and is partner in 32 non-operated mining and development and production leases.

The execution ceremony was witnessed by Amanullah Khan Jadoon, the minister for petroleum and natural resources, Mir Muhammad Naseer Mengal, the minister of state for petroleum and natural resources and Shaukat Hayat Durrani, the additional secretary petroleum and natural resources.

The licence and the petroleum concession agreements were signed by Ahmad Waqar, the secretary petroleum and natural resources, Mohamad Naeem Malik, the director general petroleum concessions, and Arshad Nasar, the chairman and managing director OGDCL.