By an OGJ correspondent
KARACHI, Nov. 10 -- Pakistan Prime Minister Yousuf Raza Gilani has approved a plan to privatize Qadirpur gas field.
The decision, however, ignores strong opposition by trade unions, which have threatened to conduct protests against the sale of what they said amounted to "selling the family silver."
Some political circles also have criticized the plan to sell national assets at a time when it will be difficult to get a fair price.
The Cabinet Committee on Privatization, headed by the prime minister, approved the plan for the sale of 37% of shares of Oil & Gas Development Co. Ltd.'s (OGDCL's) Qadirpur gas field along with the transfer of operational control.
The committee added that Qadirpur field is a joint venture of OGDCL, Kuwait Foreign Petroleum Exploration Co., Pak Kuwait Petroleum Exploration Co., and Pakistan Petroleum Ltd. (PPL). OGDCL currently is the operator and holds a 75% share, while PPL holds 7% interest.
A total of 29 wells have been drilled in Qadirpur field, of which 24 are currently producing.
The field was developed in three phases, increasing its capacity to 500 MMscfd from an initial 235 MMscfd. A project currently is in progress, and scheduled for completion by December 2007, to enhance sales to 600 MMscfd from 500. Development drilling at Qadirpur is continuing to maintain the gas supply to Southern Natural Gas PL.
Average daily sales during third-quarter 2007 from the field was 495 MMscfd of purified gas, 35 MMscfd of raw gas, and 103 bbl of condensate.
