LAHORE, Nov 10: The Supreme Court has been moved against privatisation of shares of Oil and Gas Development Company (OGDC) and Qadirpur Gas Field.

Watan Party Punjab president Hashim Shaukat Khan, through counsel Barrister Zafarullah Khan, challenged the privatisation through a petition filed at the Lahore Registry of the Supreme Court.

He said the government in a bid to overcome the deteriorating fiscal deficit had decided to sell off the field and the cabinet committee had allowed the sale of its 37 per cent stake. The lawyer added that the field had net reserves of 5.147 trillion cubic feet (TCF) which were second largest gas reserves in the country.

In the comparison, the balance reserves of Sui gas field was to the level of 9.625 TCF whereas Mari gas field had 4.006 TCF reserves, he said and added that Qadirpur gas field was a key portion of production and earnings of the OGDC i.e. 60 per cent, which was largest petroleum exploration and production company in Pakistan and held 32 per cent of country’s total gas reserves.

He said net earning of the OGDC during the year ending June 30, 2008, were to the tune of Rs125.45 billion, contributing Rs99.37 billion to the national exchequer in the form of royalty, dividend, corporate tax, excise duty and development surcharges. This earning would decline by at least 17 per cent with the sale of Qadirpur field.

He said a project of enhancement of its capacity by 20 per cent was currently in advanced stage which would complete in December this year. He said Pakistan was the most gas dependent economy of the world and under these circumstances the decision to sell off the gas field was not viable.

He said that keeping in view the state of economy and general economic recession in most advanced countries, it was time to buy and not to sell. He added the move would hold the country hostage to the policies of the International Monetary Fund (IMF).

The petitioner criticised the government for its spending on foreign trips and keeping large cabinets and asked it to adhere to austerity.

He said if President Asif Ali Zardari, who was declared the second richest man in Pakistan, and Nawaz Sharif could lend some of their wealth, they could pull the country out of present crisis.

He said the gas field was being privatised without accessing reservoirs in four wells — an act that would lower their price.

He prayed that privatisation of shares of the OGDC and Qadirpur gas field be stopped and cancelled forthwith, since it was against the interest of the people of Pakistan.