Pakistan oil and gas reserves up marginally

According to a report by Topline Securities, Pakistan’s gas reserves have increased by 2% and oil reserves have increased marginally by 1%. Remaining oil reserves of the country have fallen to 266 million barrels and remaining gas reserves have increased to 21.2 tcf in December 2020.

According to details country’s oil reserves (excluding Aminah, Ayesha and Zainab fields) have increased marginally by 1% (9 million barrels) in last six months due to induction of eight new fields. The increase is lower than the production of 13.5 million barrels during the same period.

The brokerage house has excluded Aminah, Ayesha and Zainab fields in reserves calculation as reserves of these three fields were initially recorded in June-2019 and now these have been revised down in December 2020.

Remaining oil reserves of the country have fallen to 266 million barrels in December 2020, from 271 million barrels in June 2019.

Reserves of top producing fields remained largely unchanged. Eight new fields have been added, these are: Mamikhel South, Baqa, Singhar, Togh, Saqib, Mari-Goru, Mari-Tipu, and Mangrio.

Pakistan’s gas reserves have increased by 2% or one tcf mainly due to upward revision in reserves of MARI’s HRL and Mari Deep by 7% and 8% respectively and induction of five new fields. The increase in reserves is higher than production of 0.64 tcf during the same period.

That said, remaining gas reserves of the country have increased from 20.9 tcf in June 2020 to 21.2 tcf in December 2020.

Five new fields that were added to production line are Baqa, Mangrio, Mamikhel South, Togh, and Umair.

In absolute terms, Mari’s (HRL+Deep) reserves have increased by 0.7 tcf, which will add US$120 million (Rs144/share) to Company’s valuation based on EV/boe of US$1.3.

Mamikhel South, operated by MOL Pakistan (8.4%), and joint stake held by OGDC (27.8%), PPL (27.8%) and POL (21.1%) had reported flows of 3,200 bpd and is expected to commence production over next couple of weeks. In December 2020, the field has reserves life of only 2.2 years, lower than average field life of 10-15 years.

Togh field, operated by OGDC (50%) and jointly held by MARI (33%) has reported reserves life of 0.4 million barrels that translates into life of 6 years.

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