ISLAMABAD, Oct 23: The government on Saturday awarded an exploration licence over Block No. 2367-4 (Indus Delta-A) to Government Holdings (Pvt) Limited and simultaneously signed a production sharing agreement with the Oil and Gas Development Company Limited (OGDCL) for undertaking exploration activities in the offshore block.

A press release said the total area of the block is 2,499 square kilometre and is located in shallow waters at the offshore edge of Thar platform. Minimum work commitment in the block entails with an estimated investment of $3.5 million.

The OGDCL is the operator of 16 exploration licences and 35 leases, besides interest in 30 non-operated leases. Currently it is producing 27,227 barrels of oil, 720 million cubic feet of gas, 123 tons of LPG and 65 tons of Sulphur per day.