OGDCL, Baker Hughes sign pact to boost output from mature oil, gas fields

ISLAMABAD: Oil and Gas Development Company Ltd (OGDCL), Pakistan’s leading exploration and production company, has signed an agreement with US energy technology firm Baker Hughes to introduce mature asset solutions aimed at reviving ageing oil and gas wells and increasing domestic hydrocarbon production.

The agreement was signed at OGDCL’s headquarters in Islamabad at a ceremony attended by Petroleum Division Special Secretary Mirza Nasiruddin Mashood Ahmed and US Chargé d’Affaires Natalie A. Baker as chief guests.

OGDCL Managing Director and Chief Executive Officer Ahmed Hayat Lak, along with senior officials from OGDCL and Baker Hughes, were also present.

Under the agreement, Baker Hughes will use its technical expertise, advanced technologies and integrated capabilities to help OGDCL identify opportunities to enhance production from mature assets and address operational challenges.

Mature asset solutions are intended to help recover additional production from established oil and gas fields where output has naturally declined over time.

The partnership forms part of OGDCL’s broader production optimisation drive, which seeks to maximise output from the company’s existing producing assets.

OGDCL contributes approximately 49 per cent of Pakistan’s total oil production, 28pc of gas production and 34pc of LPG production. The company maintains an extensive network of producing fields across the country.

Its current production stands at around 40,000 barrels of crude oil per day, 815 million standard cubic feet of gas per day, 780 metric tonnes of LPG per day and 80 metric tonnes of sulphur per day.

Speaking at the ceremony, Mr Lak said the company was developing meaningful partnerships with global service providers to improve oil and gas production and strengthen Pakistan’s energy security.

He expressed confidence that the initiative would be implemented effectively and help increase production from OGDCL’s mature assets.

Special Secretary Petroleum Mirza Nasiruddin Mashood Ahmed said the partnership would contribute to efforts to maximise domestic oil and gas production and play an important role in strengthening the country’s energy security.

US Chargé d’Affaires Natalie A. Baker described the agreement as an important milestone in the Pakistan-US energy partnership.

“Energy is the foundation of economic security,” she said, adding that cooperation between OGDCL and Baker Hughes would advance the shared objective of strengthening Pakistan’s energy security.

Baker Hughes Global Director Mature Asset Solutions Tariq Abdul Fattah said the collaboration reflected shared objectives and would help explore new applications of advanced technology in Pakistan.

OGDCL has 18 major mature assets, comprising 12 oil fields and six gas/condensate fields. The company intends to use technology-driven interventions to maximise recovery from these established assets and offset the natural decline in production.

The partnership is expected to support efforts to increase domestic oil and gas output and reduce Pakistan’s reliance on imported energy.