ISLAMABAD: The government is taking solid measures to explore indigenous hydrocarbon resources for meeting the country's growing energy needs, spudding 73 wells and making 18 discoveries during current financial year.
Similarly, realizing that oil and gas reserves are dwindling, efforts have been accelerated and this year 50 petroleum exploration blocks were awarded to eight companies including local and foreign companies.
According to an official document said the country had exhausted more than half of the original domestic recoverable oil reserves, necessitating solid measures for exploring more oil and gas reserves to meet the growing energy needs.
The document reveals original recoverable reserves on June 30, 2013 were 1,102.6 million barrels with 731.5 million barrels (68 percent) cumulative production of oil and 371 million barrels (32 percent) balance recoverable reserves.
Similarly the worrisome factor is that gas reserves are depleting and if gas consumption grows annually even at moderate rates and the present recoverable reserves will largely be exhausted by 2025.
The document said when this limit approaches the marginal cost of gas supplies will rise.
The government spent $ 4.3 billion on import of petroleum crude from July-March 2014 compared to $4.0 billion in corresponding period last year, posting a growth of 6.2 percent.
It says the country's import of crude oil remained 44.9 million barrels during the same period compared to 40.9 million barrels in corresponding period last year, reflecting 11 percent growth.
However, the document said local crude extraction posted a growth of 12 percent as it stood at 23 million barrels in July-March 2014 compared to 20.5 million barrels in corresponding period last year.
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