Major Oil and Gas Reserves Discovered in Pakistan's Territorial Waters

Pakistan has announced a groundbreaking discovery of substantial petroleum and natural gas reserves in its territorial waters, a find that could potentially transform the nation’s economic landscape, according to reports.

The revelation follows a comprehensive three-year survey conducted in partnership with an allied country to confirm the presence of these valuable resources.

As per reports, a senior security official disclosed this development on Friday, highlighting the potential impact of this discovery on Pakistan's economic future.

The geographical survey has pinpointed the exact locations of these reserves, with the relevant government departments now informed of the findings. The official described the discovery as a significant step towards leveraging what he termed the 'blue water economy'.

Proposals for bidding and exploration are currently under review, suggesting that actual exploration could commence soon. However, the process of drilling wells and extracting the oil could span several years.

Beyond oil and gas, the 'blue water economy' offers additional opportunities, with other valuable minerals and elements available for extraction from the ocean.

Some estimates place this discovery among the world's top four largest oil and gas reserves. Currently, Venezuela is the global leader in oil reserves with approximately 3.4 billion barrels, followed by the US with the most untapped shale oil reserves, and Saudi Arabia, Iran, Canada, and Iraq completing the top five.

Muhammad Arif, a former member of the Oil and Gas Regulatory Authority (Ogra), advised caution. He noted that while optimism is warranted, the certainty of these reserves meeting the country’s energy needs is contingent on the size and recovery rate of the reserves. He mentioned that if these reserves prove to be substantial, they could potentially replace LNG imports or substitute imported oil.

However, Arif also pointed out that the exploration phase alone requires a substantial investment, estimated at around USD 5 billion. The extraction process from an offshore location could take four to five years, with further investment needed for drilling infrastructure and production facilities.

This discovery marks a potentially transformative moment for Pakistan, with the possibility of significantly altering its energy landscape and economic fortunes in the years to come.

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