OGDCL Partners with Schlumberger to Unlock Tight Gas Resources in Sindh
Oil and Gas Development Company Limited (OGDCL), Pakistan’s largest oil and gas exploration and production company, is making significant strides in the development of the country’s unconventional hydrocarbon resources. In alignment with the government of Pakistan’s new Tight Gas Policy 2024, OGDCL is focusing on unlocking the potential of tight gas resources, especially in the Lower Indus Basin of Sindh. This collaboration with Schlumberger, a global leader in technology and services for the energy industry, marks a major milestone in Pakistan’s efforts to explore and exploit its tight gas resources efficiently and sustainably.
OGDCL’s Progress in Tight Gas Development
OGDCL has already made notable progress in the tight gas sector. The company’s first successful tight gas well, Nur West-1, is a key achievement, showcasing its ability to tap into tight gas reservoirs. This well, along with several others to be fracked using in-house expertise, forms the foundation of OGDCL’s expanding tight gas operations. The successful completion of Nur West-1 represents not only a technical breakthrough but also demonstrates OGDCL’s growing capabilities in the unconventional hydrocarbon sector.
Key Developments in Tight Gas Exploration
OGDCL has launched an extensive study to assess the tight gas prospectivity in key areas of the Lower Indus Basin, which covers the rich hydrocarbon regions in Sindh. This initiative is a part of the company’s strategy to unlock the full potential of the region’s tight gas reserves, which have largely remained untapped due to the technical challenges associated with extracting gas from dense rock formations.
To further this initiative, OGDCL issued an international tender on March 7, 2024, for an Integrated Study of Tight Gas Prospectivity Evaluation. This study is set to identify the most promising tight gas regions and wells across Sindh. With the tender process now complete, Schlumberger has been selected as the preferred contractor after a rigorous two-stage evaluation. Schlumberger’s vast experience and advanced technologies will play a crucial role in guiding OGDCL’s tight gas exploration efforts.
The Role of Schlumberger in Tight Gas Exploration
Schlumberger brings a wealth of expertise and cutting-edge technology to the partnership. As one of the world’s leading energy services providers, Schlumberger specializes in integrated technologies for oil and gas exploration, including hydraulic fracturing (fracking) and reservoir management. The company’s knowledge and experience are expected to significantly enhance OGDCL’s capabilities in unlocking gas from tight reservoirs, which is a key challenge in Pakistan’s energy sector.
What the Study Will Achieve
The Tight Gas Prospectivity Evaluation Study will play a crucial role in shaping OGDCL’s future drilling and production strategies. Upon completion, the study will:
- Identify Optimal Locations for New Wells: The study will pinpoint the most promising sites for new well developments in the Lower Indus Basin, enabling OGDCL to expand its exploration activities strategically.
- Highlight Re-entry Opportunities for Existing Wells: In addition to identifying new drilling locations, the study will also focus on existing wells that can be re-entered for hydraulic fracturing, which will help in accessing tight gas reserves that were previously considered difficult to exploit.
- Support Fracking Operations: The study’s results will guide the planning and execution of hydraulic fracturing (fracking) at selected wells, a technique that will help unlock gas from tight reservoirs that are difficult to produce through conventional methods.
The Importance of Fracking for Tight Gas
Hydraulic fracturing, or fracking, is a key technology used in tight gas extraction. The process involves injecting a high-pressure fluid into a wellbore to create fractures in dense rock formations, allowing the gas to flow more freely. This technique is essential for accessing tight gas reserves, which are typically found in low-permeability rock formations.
In Pakistan, the potential for fracking is particularly high in the Lower Indus Basin, where vast untapped reserves of tight gas exist. By utilizing Schlumberger’s advanced fracking technologies, OGDCL aims to significantly increase the production of tight gas, contributing to the country’s energy security.
OGDCL’s Tight Gas Production Plans
OGDCL has set ambitious targets for its tight gas development program. The company plans to execute 25 wells over the next five years, with an initial production potential of 60-75 Million Standard Cubic Feet per Day (MMSCFD). The estimated reserve from these wells is projected to be between 75 and 90 Billion Cubic Feet (BCF). These targets align with the company’s commitment to increasing natural gas production and supporting Pakistan’s growing energy needs.
Tight Gas Potential in Pakistan
According to regional studies and preliminary data, Pakistan’s total prospective tight gas resource is estimated to be approximately 25.2 Trillion Cubic Feet (TCF). This vast potential positions Pakistan as one of the key players in the region for tight gas production. However, unlocking these resources requires sophisticated technologies and extensive exploration efforts. Through its partnership with Schlumberger, OGDCL is well-positioned to tap into this abundant resource and help meet the country’s growing demand for natural gas.
The Future of Tight Gas in Pakistan
The development of tight gas resources is a critical element of Pakistan’s energy strategy. Tight gas plays a significant role in diversifying the country’s energy mix and reducing its reliance on imported energy sources. With the successful execution of this project, OGDCL and Schlumberger aim to set a benchmark for future tight gas development projects in Pakistan.
The Impact on Pakistan’s Energy Landscape
The successful commercialization of tight gas resources will have a transformative impact on Pakistan’s energy sector. The increased supply of domestic gas will reduce the country’s dependence on imported LNG and other fossil fuels. Moreover, the production of tight gas will contribute to the creation of new jobs, enhance industrial growth, and improve energy security.
Frequently Asked Questions (FAQs)
1. What is the purpose of the partnership between OGDCL and Schlumberger?
OGDCL has partnered with Schlumberger to explore and develop Pakistan’s tight gas resources in the Lower Indus Basin. This collaboration will help the country unlock its vast tight gas reserves using advanced technologies like hydraulic fracturing.
2. What is hydraulic fracturing, and why is it important for tight gas production?
Hydraulic fracturing, or fracking, involves injecting high-pressure fluid into rock formations to create fractures that allow gas to flow more easily. It is crucial for accessing tight gas reserves, which are typically found in dense, low-permeability rocks.
3. What is the estimated potential of Pakistan’s tight gas reserves?
Pakistan’s total prospective tight gas resource is estimated to be 25.2 Trillion Cubic Feet (TCF), which presents a significant opportunity for the country’s energy sector.
4. How many wells does OGDCL plan to develop in the next five years?
OGDCL plans to execute 25 wells over the next five years, with an initial production potential of 60-75 MMSCFD and estimated reserves of 75-90 BCF.
5. What impact will this project have on Pakistan’s energy security?
The development of tight gas resources will reduce Pakistan’s reliance on imported energy, enhance domestic gas supply, and contribute to improved energy security and economic growth.
Conclusion
OGDCL’s partnership with Schlumberger is a significant step toward unlocking Pakistan’s tight gas resources and boosting the country’s energy production. Through this collaboration, OGDCL aims to harness the vast potential of the Lower Indus Basin, driving the future of Pakistan’s energy landscape. As the project moves forward, it is expected to play a crucial role in meeting the country’s growing energy needs while contributing to the sustainable development of its hydrocarbon sector
