New oil & gas discoveries boost Pakistan’s energy reserves in 2025

Pakistan’s hydrocarbon outlook strengthened in 2025 following a series of new oil and gas discoveries, which have helped extend the country’s reserve life and partially offset the impact of ongoing production.

According to the data released by Arif Habib Limited, Pakistan’s overall hydrocarbon reserve life improved to 17 years as of December 2025, supported by a rise in both oil and gas reserves.

The gains were driven primarily by fresh discoveries and reserve additions across key fields, underscoring the potential of domestic exploration efforts to enhance energy security and reduce reliance on imported fuels amid persistent external account pressures.

“Gas reserve life increased to 18 years, while oil reserve life improved to 11 years,” said the brokerage house.

It shared that Pakistan’s oil reserves rose 6% YoY to 253 million barrels in December 2025, led by a major 21.01 million barrel addition from Baragzai and gains in Bettani and Shahdadpur.

Gas reserves increased 4% YoY to 18,854 Bcf, driven by additions from Mari Ghazij, Shahdadpur, Shewa, and Bettani, along with contributions from Baragzai, Spinwam, and Soho.

“The improvement in reserve life was largely discovery-led, with newly discovered fields including Spinwam, Baragzai, Bitrism East, Chakar, and Faakir collectively adding 23.8 million barrels to the country’s oil reserves and 367.2 Bcf to its gas reserves as of Dec’25,”it added.

Experts consider the increase a positive development, which comes amid the ongoing US-Iran conflict, which poses a significant risk to Pakistan’s economy, with the energy sector being the most vulnerable transmission channel.

The South Asian nation imports the bulk of its crude oil, petroleum products, and LNG requirements, much of which originates from Gulf countries and passes through the Strait of Hormuz—the world’s most important energy shipping lane.

Any disruption immediately affects energy-importing countries like Pakistan.