Pakistan Prime Minister Shehbaz Sharif. Photo credit: Reuters
Pakistan is expected to receive $5 billion in investments from domestic and foreign companies over the next three years to explore and develop its oil and gas reserves, saving the cash-strapped country precious foreign exchange and providing relief to ordinary citizens hit hard by rising fuel prices.
The announcement was made at a meeting with a delegation of companies from the oil and gas exploration and production sector presided over by Prime Minister Shehbaz Sharif on Saturday.
The meeting was told that Pakistan will explore for oil and gas at around 240 sites over three years, with a budget of $5 billion, according to the state-run Associated Press news agency.
The meeting was informed that currently Pakistan’s domestic production stands at 70,998 barrels per day or 3,131 MMSCFD (million standard cubic feet) gas.
The Prime Minister called on oil and gas exploration and production companies to discover offshore reserves as well.
“Exploring oil and gas reserves at the local level inside Pakistan is our top priority,” Sharif said, adding that Pakistan spends billions of dollars every year on importing oil and gas.
“Production from domestic reserves will save Pakistan’s precious foreign exchange and fuel and gas will become affordable for common people,” he added, directing the authorities concerned to provide solutions to all problems in the sector on priority basis.
Currently, petrol price in Pakistan is Rs 265.61 per litre, high speed diesel is Rs 277.45 per litre and light speed diesel is Rs 166.86 per litre.
The prime minister set up a committee comprising experts, secretaries and concerned officials, headed by Deputy Chief Minister Ishaq Dar.
The committee, after consulting with industry representatives, will formulate proposals to formulate an attractive policy for exploration and development of Pakistan’s oil and gas reserves.
Sharif directed the authorities concerned to resolve all issues in this sector and submit policy suggestions on priority basis to the committee set up.
The delegation thanked the Prime Minister for making the oil and gas exploration and production sector part of the consultative process, listening to their problems and finding serious solutions.
