Pakistan has the second largest gas infrastructure in the world, with over 9,843 km of transmission pipelines and 104,449 km of distribution pipelines serving over 6 million domestic and 78,794 commercial consumers. The country produces around 4,176 million cubic feet of natural gas per day from various fields. State-owned companies produce around 30% and 25% of the country's natural gas, while foreign companies such as OMV produce around 17% of the total. New fields continue to be discovered, but natural gas production is expected to decline over the next 15-25 years while demand increases, making Pakistan reliant on gas imports through pipelines from Iran and Turkmenistan or liquefied natural gas.

1. Gas Infrastructure in PakistanSeptember 2011

2. Historical PerspectiveGas was discovered in Pakistan in the mid-1950sMISL started working with SNGPL & SSGC in mid-1950s by becoming a rep of DresserNow, Pakistan has the 2nd largest gas infrastructure in the worldThis sector attracts by far the highest level of foreign direct investments in the countrySui, the first gas field, has become the largest gas field for Pakistan © MISL 2011

3. Sector OverviewTransmission Network: 9,843 kmDistribution Network: 104,449 kmDomestic Consumers: 6 millionCommercial Consumers: 78,794Industrial Consumers: 10,519Production: 4,176 million cubic feet dayE&P Companies: 26 (16 foreign)© MISL 2011

4. Major Oil & Gas Fields© MISL 2011

5. Gas Reserves© MISL 2011

6. Gas Production© MISL 2011

7. Sector-wise Gas Consumption© MISL 2011

8. Sector Organization© MISL 2011State-owned PPL and OGDCL produce around 30 percent and 25 percent, respectively, of the country’s natural gas.The two companies are the country’s largest natural gas producers.OMV is the largest foreign natural gas producer (17 percent of total country’s production) in Pakistan. Additional foreign operators include BP, Eni, and BHP Billiton.

9. Exploration & Production© MISL 2011Pakistan’s largest natural gas production occurs at the Sui fieldPPL operates Sui field, with production averaging 655 Mmcf/d. Additional producing fields include Mari (446 Mmcf/d), Sawan (366 Mmcf/d), and Bhit (316 Mmcf/d). In 2005, BHP Billiton signed a Gas Sales and Purchase Agreement (GSPA), in which the company will supply an additional 150 million cubic feet per day (Mmcf/d) of natural gas from its Zamzama field.

10. Exploration & Production© MISL 2011Petronas brought its Rehmat field online in March 2005. The field produces an estimated 30 Mmcf/d, which is sold to consumers in Pakistan’s southern Sindh province. In the past few years, the country discovered seven new natural gas fields. The Pakistani government expects the development of these new fields to add an additional 1 Bcf/d to Pakistan's natural gas production.

11. Future Outlook for Gas Availability© MISL 2011Natural gas production is expected to decline over the next 15-25 year period, while natural gas demand is expected to increase. There continues aggressive exploration for indigenous oil & gas.Gas Import options – Transnational PipelinesIran Pakistan (IP)Turkmenistan Afghanistan Pakistan India (TAPI)LNG