The Oil and Gas Development Company Limited (OGDCL) announced on Friday the appraisal of existing discovered gas and condensate from the Lumshiwal Formation in the Bilitang-1- ST-1 exploratory well, located in the district Kohat, Khyber Pakhtunkhwa.

The listed E&P disclosed the development in its notice to the Pakistan Stock Exchange (PSX) today.

“The TAL Joint Venture, comprising Oil & Gas Development Company Limited (30% working interest), MOL Pakistan Oil & Gas Co. B.V. (Operator, 10%), Pakistan Petroleum Limited (30%), Pakistan Oilfields Limited (25%), and Government Holdings Private Limited (5%), worked together on the discovery,” the notice said.

It said that the well was spudded last year on August 10, sidetracked to chase better reservoir quality, and successfully drilled down to 4004 mTVD.

“Based on interpretation of LWD/Wireline logs data, Lumshiwal formation was tested successfully at a rate of around 26.5 Million Standard Cubic Feet per day (MMscfd) gas at 32/64” choke, against wellhead flowing pressure (WHFP) 4214 Pounds per Square Inch (Psi).

This appraisal of existing discovery has de-risked further exploration play in TAL Block, leading to new upside opportunities,” the bourse was informed.

The company said that the discovery will also help improve Pakistan’s energy security from indigenous resources and add to the hydrocarbon reserves base of MOL, its joint venture partners, and the country.

This discovery is expected to contribute approximately PKR 0.42/0.66/4.80 per share annually to OGDC/PPL/POL earnings, said Arif Habib Limited.