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Tuesday, September 2, 2025

Balochistan’s Jhal Magsi Gas Project Begins Supply to SSGCL

The Oil and Gas Development Company Limited (OGDCL), Pakistan’s largest exploration and production (E&P) firm, has announced the successful completion and commissioning of the Jhal Magsi Development Project in Balochistan. The project is now supplying gas to the Sui Southern Gas Company Limited (SSGCL) network.

The company disclosed the development on Monday through a notice sent to the Pakistan Stock Exchange (PSX). OGDCL said it was pleased to announce that the project, located in the remote Jhal Magsi district, had been completed and commissioned after months of accelerated work.

According to OGDCL, the project is currently delivering about 14 million standard cubic feet per day (MMSCFD) of pipeline-quality gas, along with 45 barrels per day (BPD) of condensate. The gas has been injected into the SSGCL distribution network through a 98-kilometer-long pipeline constructed by SSGCL, connecting the Jhal Magsi field to its tie-in point.

The company explained that development activities began in February 2024, following government approval of key incentives. These included amendments to the Marginal Field Gas Pricing Policy under the 1997 Petroleum Policy. Officials noted that the project had been declared of national importance to help meet Pakistan’s growing energy needs.

Despite technical and logistical challenges, OGDCL said it completed the project on a fast track. The scope of work included installation of an amine unit, a dehydration unit, a hot oil package, power generation facilities, and associated gear systems.

Jhal Magsi field consists of two wells. It is a joint venture project, with OGDCL acting as operator and holding a 56 percent working interest. Pakistan Oilfields Limited (POL) owns 24 percent, while Government Holdings Private Limited (GHPL) holds the remaining 20 percent.

In its statement, OGDCL said the successful commissioning of the Jhal Magsi Development Project reflects its commitment to the sustainable development of Pakistan’s hydrocarbon resources. The company added that it remains focused on securing national energy supplies through accelerated exploration and production.

OGDCL was incorporated on October 23, 1997, under the Companies Ordinance 1984 (now Companies Act 2017). It was established to take over the operations of the Oil and Gas Development Corporation, created in 1961, and continues to serve as the country’s leading oil and gas producer.

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