This report is a case Oil and Gas Industry which has
been prepared as a part of the course requirement for
Pakistani oil and Gas Industry The material compiled
and presented in this report is a result of
This report has proved to be a great experience. For
this, I would like to thank our course instructor
“Prof, Khurram Aziz Fani” for providing us with the
opportunity, as well as his guidance in the light of his
There is 7 oil refineries companies working in
1. Pakistan Refinery Limited
2. Pak-Arab Refinery
3. Attock Refinery
4. National Refinery
5. Indus Oil Refinery Ltd
6. Khalifa Coastal Refinery
7. Trans Asia Refinery
According to survey of the year the target of oil
production is 69000bl but the target has
exceeded to 74000bl Pd.
Major reason of exceeding of oil target is
Pakistan produce electricity with the oil. So
Pakistan import oil.
And Pakistan import oil 16 million tones.
Pakistan is one of the largest consumers of gas
in the region. The two gas distribution
companies plan to invest up to US $ 800 million
to increase the capacity of existing transmission
and distribution network.
Sui southern Gas Company (SSGC)
Sui Northern Gas pipeline (SNGP)
The target of Production of gas is 4200mmcfd
and it also exceed to 4791.
This entry is the total natural gas imported in
Pressure of the gas is counted in PSI
(pound square per inch)
And reason of exceeding of Gas target is UOG
The gas which is waste due to leaking and theft
is called a UFG.
The ratio of the UFG is set in whole world
is 2% but in Pakistan the ratio of the UFG is
4.5% and now it is exceeded to 7%.
and that's why our country is suffering from
Last government made a corruption 82 million.
We can produce a 4000 MW electricity by 750
million matric cubic feet per day (mmcfd) Gas
but we are produce a electricity with oil which
is a very costly method.
The price of the petroleum is set 12,000 billion
Rs under the budget.
The price of Gas is set 39,744 billion Rs under
Now the current Govt. has officially announced in
it's annual plan 2013-14 that it will implement
targeting the first flow of gas in December 2014.
Under the current budget PML-N set the cost $1.5
billion for the Iran gas pipeline even the last Govt.
was announced the cost $1.25 billion
the current Govt. reduce the cost $.20 billion for
Iran pipeline gas project.
Under the project Pakistan will import 750 mmcfd
of gas to generate 4000 MW of power to over come.
Current Government said that measures would
be taken on war footings to overcome the shortage
of oil and gas sectors in the country, The Minister
took serious notice of gas theft and unbearable line
losses, he said that ministry should work
independently and decision would be taken on
merit no pressure on influence would be
entertained. At present the presences of abundance
of problems in the ministry because of wrong
decision making made in the past.
While expressing priority of natural gas allocation
to the consumers and the they decide that the
commercial consumer are the first priority and the
power sector is on second priority and fertilizer
and industrial sector and the third and
compressed natural gas and cement sector are on
the last priority in the gas allocation.
TAPI is a project which is produce a Gas in Pakistan and the
name of these country is below which is agree for the production of the
TAPI Project Pipeline strength:
TAPI Gas Production:
3.2 billion cubic feet per day (BCFPD)
and recently Pakistan signs major deal to import a gas from Iran.
US ambassador Ms Anne W Patterson called
on the advisor to prime minister on petroleum
and natural recourses Dr Asim Hussain and
said that there is a huge option to make a
power energy because you have 185 billion
tones coal and coal can be converted in oil and
gas by using advance technology and we wants
to build a strong relationship between two
Pakistan will initiate talks with Qatar from
the import of 500 mcfgpd now this month but
finance minister ishaq dar reject this project
because of there is now money to invest and
foreign inverter are not interested in this
There were chances of oil reserves in some
areas of Azad Kashmir especially Mangla and
Mirpur because India was exploring oil and
gas from a occupied part of the territory, and
geologists from Pakistan should be allowed to
work. And Italian company with expertise in
the field is interested to work on the project.
And in Azad Kashmir has independent Govt.
and the federal Govt. could only make a
written request to them.
oil and gas discovery in sanghar, PPL has
successfully completed production testing at
it's exploration well Adam x-1, located in
district sanghar sindh. PPL has a 65% working
in the block.
The production of the Oil is in one side 144 b
pd and gas 16.8 mmcfd.
and second side 125 bpd 14.3 mmcfd.
According to media reports India is in talks to
export natural gas to Pakistan through a
pipeline from Punjab to help the country
overcome crippling energy shortage. 110-km
pipeline from Jalandhar to Wagah border via
Amritsar to supply natural gas to Pakistan
Govt. has take the attention to the investors by the
different oil and gas development project and the
investors invest in the Govt. for the development of
Oil and gas sectors, by the investment of the investor
Govt. gained 3% an average in two days.
when the Govt. cannot developed oil and gas sectors
investors wants clearance of circular debts then the
Govt held a meeting with the investors for the
settlement of receivables, According to a notice sent to
a Karachi Stock Exchange oil and gas development
company (OGDC) has subscribed to Pakistan
investment Bonds (PIB) worth Rs 50.7 billion, which
the government has issued to partially settle the
overdue receivables of the oil and gas companies.
OGDC will earn an annual coupon rate of 11.5% on
1. In the current situation of Pakistan due to shortage
of gas and other issues many industries are thinking to
leave Pakistan just like Niko resources company has
decided to pack up and quit Pakistan apparently.
Because of low wellhead gas price that make it
difficult to sustain operations. The government of
Pakistan has awarded the four blocks to NIKO in
March 2008 for off sure drilling.
2. A meeting of the sub-committee the chair to
discuss the issue of oil theft worth billions of rupees
from the combined pipelines of PSO and PARCO.
Committee on Petroleum and Natural Resources
issued arrest warrants of Pakistan State Oil (PSO) and
PARCO Managing Directors (MDs) for their alleged
involvement in oil theft -