Business Recorder
ISLAMABAD: The Oil and Gas Development Company Limited (OGDCL) has made Pakistan’s largest-ever oil and gas discovery from a single well at its Baragzai X-01 (Slant) exploratory well in the Nashpa Block, located in the Kohat district of Khyber Pakhtunkhwa. Baragzai X-01 is now the highest-producing well in OGDCL’s portfolio as well as in Pakistan’s history and contributes approximately 10 percent of Pakistan’s total crude oil production. The company successfully brought the well into production following the testing and completion phase. After Wednesday’s injection of 5,300 barrels of oil per day (BPD), 17 million standard cubic feet per day (MMSCFD) of gas, and 15 metric tons per day (MTD) of LPG, the cumulative production from the well has reached 15,000 barrels of oil per day and 45 million standard cubic feet per day of gas. The oil and gas production from the well is projected to reach 25,000 barrels of oil per day and 60 million standard cubic feet per day of gas in the near future. The oil and gas discovery was achieved from five different formations at the Baragzai X-01 (Slant) exploratory well. The project has been developed in one of the most challenging terrains in the country, where the OGDCL deployed advanced and latest technologies to ensure efficient and safe operations. In a significant operational achievement, an 8-kilometre pipeline was laid in record time, alongside critical modifications for gas processing and crude oil storage, and integration with Mela and Nashpa facilities. The project is expected to generate substantial economic benefits. The estimated daily revenue stands at Rs156 million, with monthly revenues projected at Rs4.7 billion and annual revenues at Rs57 billion. The development will also result in an annual foreign exchange substitution of approximately USD 329 million by reducing reliance on imported fuels. Federal Minister for Petroleum Ali Pervaiz Malik formally inaugurated the commencement of commercial production in a ceremony held at OGDC Headquarters in Islamabad. Federal Secretary Petroleum Division Hamid Yaqoob Sheikh, MD/CEO, OGDCL, Ahmed Hayat Lak, and senior officials of the company and other E&P and services companies were also present. Speaking on the occasion, Federal Minister for Petroleum Ali Pervaiz Malik congratulated OGDCL, its joint venture partners, and service providers on the achievement. He termed the discovery monumental and a significant contribution to the country’s energy security. He appreciated the efforts of Local E&P companies that have stepped up during these challenging times. He emphasised the need to further strengthen indigenous energy development and encouraged enhanced collaboration and knowledge sharing across the exploration and production sector. A commemorative shield was presented to the Federal Minister in recognition of his support for the energy sector. MD/CEO of OGDC, Ahmed Hayat Lak, appreciated the team and the unsung heroes for achieving this historic milestone. He lauded the team for delivering this success while working in one of the most challenging terrains of the country. He reaffirmed the company’s commitment to accelerating exploration activities and announced plans for further development to enhance production capacity. Copyright Business Recorder, 2026
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