Our Assets

Zarghun South – Development/Production

Working Interest 40%

Partners
Mari Petroleum Company Limited 35%
Government Holdings (Private) Limited 17.50%
PKP Exploration Limited 7.5%

The Zarghun South gas field is located in the Balochistan province of Pakistan, approximately 40 km east from the regional capital Quetta. The development and production lease (D&PL) lies in the Mastung, Dadhar, and Sibbi districts. The Zarghun South field consists of multiple gas accumulations in naturally fractured, low matrix porosity carbonate reservoirs of Chiltan, Mughalkot and Dunghan formations (the Dunghan under tight gas policy incentive is priced at ~$5.5/MMbtu). The gas sale from two wells commenced in August 2014 after commissioning of a 25 MMscf/d capacity processing plant and construction of a 12 inch 64km long sales gas pipeline from the field gate to the city of Quetta. The recently drilled 3rd development, deviated/ horizontal well completed in Dunghan formation has been tied into the facility. The current daily sale gas from Zarghun South field is ~16 MMscf/d.

Summary of Zarghun South Reserves * Reserves
Bcf
NPV 10%
US$ (millions)
Proved 9.49 10.23
Proved + Probable 22.16 29.27
Proved + Probable + Possible 30.97 39.41

*Reserve numbers (pre drilling of 3rd development well) are gross of royalty. NPV numbers are before taxes, based on forecast price and costs. All per Appraisal Report prepared by Degolyer & MacNaughton as at December 31, 2015.