OGDC discovers Oil and gas in Kunnar

Karachi: The Oil and Gas Development Company (OGDC) has announced an oil and gas discovery in Kunnar South 1, located in Tando Allah Yar block in Sindh. According to a notice issued at Karachi Stock Exchange, the OGDC owns 95 percent production stake in this block. The other 5 percent stake is owned by GHPL.

The well was drilled down to the depth of 3,355 meters and according to initial tests, oil and gas flow from the well stood at 200barrels per day of oil and 11mmcfd of gas. 'As per our analysis, this discovery would have an annualised impact of Re. 0.11 per share on OGDC's bottom line,' Umer Bin Ayaz, an analyst at JS Global Capital said. Production commencement from the well is expected in next 8 to 9 months.