Daily Times

Federal government has announced to introduce a new gas pricing mechanism called WACOG (Wet Average Cost of Gas). This method will combine the prices of domestically produced natural gas and imported RLNG (Regasified Liquefied Natural Gas) to determine the final gas price.

While this new pricing model is expected to make gas more affordable for consumers in Punjab, it may lead to increased costs for industries in Khyber Pakhtunkhwa, Sindh, and Balochistan. In a significant development, Mari Petroleum Company has reported a major gas discovery in Sindh. According to the company spokesperson, a gas well has been successfully drilled in the Mari Gasaj Formation field. The well, located 1,483 meters deep, is expected to yield around 10.5 mmcfd of gas daily.

This discovery comes on the heels of similar findings by other oil and gas companies in the region. OGDCL recently announced a new gas reserve in Sajawal, Sindh, with an estimated 12.4 billion cubic meters of gas. This discovery, fully owned by OGDCL, is projected to bolster the country’s gas reserves significantly.

Pakistan Petroleum Limited (PPL) also made headlines earlier with its discovery of gas reserves in Shah Bandar at Jhum East One in District Sajawal, Sindh. PPL’s spokesperson stated that hydrocarbons were identified at a depth of 2,545 meters, marking another positive step towards addressing the nation’s energy crisis. In addition to these discoveries, Mari Petroleum has commenced gas production from its Gazij 2 well. Authorities have confirmed that 8 mmcfd of gas from Gazij 2 is now being supplied daily to Sui Northern, helping to bridge the gap between gas demand and supply.