ISLAMABAD, Jan 18: The government on Friday granted a petroleum exploration licence to a joint venture of Scimitar Hydrocarbons Pakistan Limited and Mesa Petroleum for Safed Block of around 1213.74 km.

The Safed Koh block is located in Dera Ghazi Khan. Scimitar Hydrocarbons with 80 per cent shareholding would be the operator along with Mesa petroleum’s shares of 20 per cent.

The joint venture would make an investment of $550,000 in the initial two years. During the first year, geological and geophysical studies and well data will be carried out while in the second year sedimentological studies, acquisition of surface structure data as well as interpretation and reprocessing of existing seismic data will be done.

An exploration well will be drilled in the third year up to a depth of 2,200 meters or 100 meters in Chilton formation subject to delineation of a drillable prospect or a re-entry will be made into an existing well for drilling up to a depth of 2,200 meters in Chilton formation.