6th Sep 2012 14:39
No. CS04-08(KSE/LSE/ISE)
September 6, 2012
1. | The General Manager Karachi Stock Exchange (G) Limited, Stock Exchange Building Stock Exchange Road Karachi Fax No: 021-111-573-329, 2437560. 2460923, 2415763 | 2. | The Secretary Lahore Stock Exchange (G) Limited, 19-Khayaban-e-Iqbal Lahore Fax. No. 042-111441441 |
3. | The Secretary Islamabad Stock Exchange (G) Ltd, 55-B, ISE Towers, Jinnah Avenue, Islamabad Fax No. 051-111473329 | 4. | London Stock Exchange Plc. 10 Paternoster Square, London EC4M 7LS Tel: (44) 20 7334 8907 |
SUBJECT: DISCOVERY OF OIL AND GAS AT NASHPA # 03
Dear Sir,
By the grace of Almighty Allah, Oil and Gas Development Company Limited (OGDCL), operator of Nashpa Exploration License, together with its Joint Venture partners Pakistan Petroleum Limited and Government Holdings Private Limited has discovered new hydrocarbon bearing horizons from its appraisal well Nashpa 03, located in District Karak, KPK. The structure of well Nashpa # 03 was delineated, evaluated, drilled and tested utilizing indigenous expertise.
2. Nashpa # 3 well was drilled down to the depth of 5250 M targeting to appraise the discoveries of Lockhart, Datta & Shinawari as well as to test the potential of Samanasuk, Lumshiwal & Hangu formations. Datta formation was not encountered down to depth of 5250 M due to anomalous increase in thickness of overlying Shinawari formation.
3. After DSTs in new horizons of Samanasuk, Lumshiwal & Hangu formations, significant reserves of hydrocarbons have been confirmed at well Nashpa # 03. Samanasuk formation has produced 150 barrels per day of crude oil and 0.6 MMCFD gas through 32/64" choke. Lumshiwal & Hangu formations (tested jointly) have produced 3015 barrels per day of crude oil and 14.35 MMCFD gas through 32/64" choke. The actual flow potential of the well would be determined after completion followed by stimulation.
4. This discovery will add to the hydrocarbon reserves' base of the company and joint venture partners, bringing significant savings to the country in term of oil import bill.
5. The above is being provided to you in compliance with the requirements of Clause No. (xx) of the Code of Corporate Governance.
Thanking you,
Yours sincerely,
(Ahmed Hayat Lak)
Company Secretary
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