OGDCL Collaborates with SLB to Develop Geothermal Energy

ISLAMABAD: Oil and Gas Development Company Limited (OGDCL), Pakistan’s largest oil and gas exploration firm, has embarked on a strategic partnership with SLB, a global technology company listed on the New York Stock Exchange, to advance oil and gas exploration and reduce carbon emissions in Pakistan.

The collaboration aims to leverage SLB’s cutting-edge technology to enhance the planning, exploration, and production of oil and gas deposits across the country. Additionally, the partnership focuses on reducing carbon footprints and combating climate change by developing technologies that enhance geothermal energy.

SLB will assist OGDCL in evaluating the geothermal potential of 25 pre-selected fields in Pakistan's North, South, and Central basins. This involves a comprehensive assessment of surface, subsurface, and well data to identify focus areas and estimate geothermal potential using regional models and well productivity calculations.

The initial scope of the pilot project includes screening, evaluating, and selecting nine fields for detailed analysis. This includes wellbore modeling and determining the next steps for harnessing geothermal energy. SLB highlighted the significance of this collaboration on their website, emphasizing their commitment to reducing emissions while meeting global energy demands.

Ahmed Hayat Lak, MD/CEO of OGDCL, expressed enthusiasm for the collaboration, stating, "OGDCL is committed to exploring innovative avenues for energy development in Pakistan. By leveraging SLB’s expertise and technology, we aim to not only evaluate the potential of geothermal resources but also contribute to sustainable energy solutions for the nation.”

Karim Badawi, MENA development director for SLB’s New Energy Business, remarked, “The geothermal pilot project study is an important first step in Pakistan’s journey to develop its geothermal resources, and we are excited to work with OGDCL on exploring renewable, lower-carbon energy sources.”

In the latest financial statement for the three quarters ending March 31, 2024, OGDCL reported the awarding of six exploration blocks, comprising four operated and two non-operated blocks. However, drilling activities faced delays due to shortages of spare parts and consumables for rig equipment, leading to the stacking of rig N-1 and delays in repair and maintenance work.

OGDCL drilled eight wells in the nine-month period, including three exploratory wells, and completed the drilling and testing of four wells from the previous fiscal year. Total drilling recorded during the period was 25,777 meters, compared to 23,959 meters in the same period last year. The exploration activities yielded four gas condensate discoveries with a combined daily production potential of 481 barrels of oil and 28 million cubic feet (MMcf) of gas.

OGDCL’s average daily net saleable production remained stable at 33,339 barrels of crude oil, 720 MMcf of gas, and 735 tons of LPG, contributing 46%, 28%, and 38% respectively to domestic production. This collaboration with SLB marks a significant step towards harnessing Pakistan's geothermal potential and advancing sustainable energy solutions.