The Oil and Gas Development Company Limited (OGDC) in a statement on Wednesday said that installation of membrane technology at Qadirpur gas field was a well thought-out decision of the joint venture. The statement said that Qadirpur gas field, the third largest well, was discovered in 1990 and it is located in the central Indus basin, south of Kandhkot and Sui gas fields.
According to OGDC, 16 wells were producing 500 mmcfd gas at Qadirpur and drilling of 7 additional development wells is planned in the near future in order to maintain the field's deliverability.
Meanwhile, in addition to above, two wells are under drilling, out of which one well is an extended reach well. Installation of wellhead gas compression facilities are planned to be completed by end-2008 to maintain the production plateau.
The OGDC is operator of the project with 75 percent share. Other partners of the project are PKP 9.5 percent; KUFPEC 8.5 percent and PPL 7 percent
Qadirpur gas field has been developed in three phases. Phase I included drilling of 8 wells, installation of 25 km surface gathering facilities and gas treatment plant based on membrane technology with production capacity of 235 mmscfd sales gas, besides river training and flood protection works. The project was completed at a cost of $190.521 million in September 1995.
Raw gas from Qadirpur reservoir contains about 6 percent carbon dioxide. In order to meet the pipeline specifications, the CO content in the sales gas has to be brought down to a maximum of 2 percent. For Phase I development project ABB Global Engineering, UK, was engaged by the Qadirpur joint venture as engineering consultant for process selection and preparation of basic engineering design of the surface production facilities to be installed at Qadirpur.
Techno-economic feasibility study of various options was carried out by ABB Global Engineering, in order to select an optimum process scheme for removal of carbon dioxide and excessive water from raw gas. The Qadirpur joint venture in its operating committee meeting held on August 5 1992, decided to opt for membrane technology on the basis of presentation by ABB Global Engineering.
The gas up to 235 mmcfd started in September 1995. In October 1999 upon directive from GOP to enhance gas supplies from Qadirpur to overcome the gas loadshedding during winter season, supply of additional 100 mmcfd of H2S reduced dehydrated gas to SNGPL was started in December 1999 under interim arrangement till capacity enhancement project Phase-II is commissioned.
Additionally, on requested of SNGPL, Qadirpur JV has made arrangements for supply of 5 mmscfd raw gas for Liberty Power Limited from December 11, 2000.
The reservoir study update was carried out by PGS in September 2002, which has established 4.2 TCF proven recoverable gas reserves in Qadirpur field. Based on the reservoir potential, Phase-II and Phase-III expansion of the Qadirpur field was planned.
The Qadirpur joint venture considered comparative economics of various available options and in operating committee meeting held on November 28, 2000, decided in favour of UOP proposal based on the improved membrane technology being the most feasible on the basis of the overall project economics considering the capital cost and the long-term operating costs.
Major consideration was that when a membrane-based plant of 235 mmscfd capacity was already installed and running, whether it was advisable to opt for solvent based conventional process for additional 165 mmscfd gas.
The phase-II expansion was commissioned on January 23, this year, to produce 400 mmscfd sales gas.
Under this phase, pre-treatment guard unit and new membrane elements were installed and one will was drilled and completed. The cost incurred on development of Phase-II was $31.000 million. The Phase-II expansion was commissioned on March 20, 2004, by installation of two additional membrane skids. Due to this expansion in plant, the capacity of plant increased to produce up to 500 mmscfd sales gas. Under this phase, two wells have been drilled and completed. The cost incurred on development of Phase-II was $6.055 million.
While the phase-II and II expansions were under implementation, Najam K. Hyder took over as Managing Director, OGDC, on March 11, 2003. Under his guidance the project was expeditiously completed.
It is clarified that Najam K. Hyder, the present Managing Director, was neither involved in the decision-making process of using the membrane technology for Qadirpur gas processing in 1973 for Phase-I nor in 1999/2000 for Phase-II and Phase-III. His name in the news item was incorrect and baseless. The project was already under implementation when he took over as Managing Director, OGDC, and was expeditiously completed under his guidance. So, against him, no NAB case is under process, and news pertaining to this project published is incorrect and absolutely baseless.