Daily Times

ISLAMABAD: China has agreed to invest in oil and gas sector of Pakistan and has agreed to discover untapped shale gas reserves, Daily Times learnt on Tuesday.

Two Chinese oil and gas companies Poly-GCL and Sino-PEC are agreed to come to Pakistan in the sector and to invest billions in drilling and developing the gas reserves of the country.

Pakistan has been blessed with abundant oil and gas reserves particularly Shale gas reserves, but a lack of expertise and paucity of funds are main impediments from discovering these natural resources, the source said.

A five-member delegation headed by Oil and Gad Development Company Limited (OGDCL) Managing Director Zahid Mir visited China recently to woo Chinese companies to invest in Pakistan.

In Beijing the Pakistani delegation held fruitful discussions with the administration of the companies which are already busy in oil and gas sector of countries like Ethiopia and Middle East.

The source said Pakistan would offer onshore block situated in parts of Sindh and Balochistan which are rich with shale gas reserves.

He said the gas is latest phenomenon of the recent time but due to shortage of funds and lack of expertise Pakistan could not enter this field but now with the coming of Chinese companies untapped natural reserved could be drilled and developed.

On reciprocal basis, China has asked the OGDCL delegation to come to China and develop the natural reserves that had already been discovered because OGDCL has skilled manpower and expertise as well, the source said.

China has also told the delegation that Pakistan petrochemical engineers should come to here and to work or collaborate with china engineers in order to get benefits from their talents and skill on reciprocal basis.

Pakistan has also assured the companies that foolproof security would be provided to them.

OGDCL spokesman has confirmed to this scribe that OGDCL delegation has come back to country after holding a fruitful discussion with Chinese counterparts and hoped that China would soon start investing in oil and gas sector particularly in shale gas sector.

He said that shale gas reserves are abundant in Pakistan but shortage of funds are main hurdle to discover them.

He said Pakistan’s oil and gas sector has a potential to change the country’s future.

Zahir Mir has apprised the Petroleum Ministry about the discussions held with Chinese companies and their willingness to invest in Pakistan.