ISLAMABAD: Pakistan on Wednesday launched commercial production from the largest-ever oil and gas discovery from a single well in its history, according to a statement, with the Baragzai X-01 well expected to generate around $329 million in annual foreign exchange savings by cutting reliance on imported fuels.
The country relies heavily on imported energy, with oil and gas forming the largest component of its import bill and exerting sustained pressure on foreign exchange reserves. Expanding domestic production has remained a key policy priority to ease external account stress and strengthen energy security.
The Baragzai X-01 well, located in the Nashpa Block in Kohat district of Khyber Pakhtunkhwa, is currently producing around 15,000 barrels of oil per day (bpd) and 45 million standard cubic feet per day (mmscfd) of gas, along with 15 metric tons per day of liquefied petroleum gas, following an initial injection of 5,300 bpd of oil and 17 mmscfd of gas.
Output is projected to rise to 25,000 bpd of oil and 60 mmscfd of gas in the near term, making it the highest-producing well in the country’s history.
“Baragzai X-01 is now the highest-producing well in OGDC’s portfolio as well as in Pakistan’s history and contributes approximately 10 percent of Pakistan’s total crude oil production,” the Oil and Gas Development Company (OGDC) said in a statement. “The company successfully brought the well into production following the testing and completion phase.”
