Pakistan's state-owned Oil and Gas Development Company Ltd. (OGDCL) has initiated gas production from the Sahito-1 discovery well in the Khewari Exploration License area of Khairpur district, southern Sindh province, the company announced on Tuesday. The well is currently producing 6.0 million standard cubic feet per day (MMSCFD) of gas, with plans to ramp up output after expanding surface facilities.
Addressing Energy Security and Import Dependence
Pakistan faces declining output from mature gas fields and has increasingly relied on imported liquefied natural gas (LNG) to meet domestic demand. The government has prioritized boosting indigenous oil and gas production to enhance energy security, lower import costs, and ease pressure on foreign exchange reserves. OGDCL's latest move aligns with these national objectives.
Infrastructure and Processing Details
To bring Sahito-1 into production, OGDCL laid a six-inch, five-kilometer flowline connecting the well to the Suleman Gathering Facility. From there, gas is processed at the Sinjhoro plant and then injected into the network of Sui Southern Gas Company Ltd. (SSGC), the main gas distributor in southern Pakistan. The company stated, "The commencement of production from Sahito-1 reflects OGDCL’s continued efforts toward efficient development and monetization of indigenous hydrocarbon resources."
Production Targets and Recent Discoveries
OGDCL announced the Sahito-1 gas discovery in March. The company aims to increase natural gas production by 5 percent to 865 million cubic feet per day and crude oil output by 14 percent to 40,000 barrels per day, citing potential from new discoveries. In January, OGDCL reported an oil and gas find in Kohat district, Khyber Pakhtunkhwa, with test flows of 4,100 barrels of oil per day and 10.5 MMSCFD of gas. Other producers like Pakistan Petroleum Limited and Mari Energies have also reported discoveries over the past year.
Broader Impact on Pakistan's Energy Landscape
Successive governments have viewed higher domestic hydrocarbon production as key to reducing Pakistan's energy import bill and strengthening energy security. The start of production from Sahito-1 marks a step forward in leveraging local resources to mitigate import dependence and stabilize the energy supply.
