OGDCL makes oil discovery in Tando Allah Yar, Sindh

ISLAMABAD: Oil and Gas Development Company Limited (OGDCL) has announced an oil discovery at the Chakar-1 exploratory well located in the Tando Allah Yar district of Sindh.

According to a press release issued by the company on Friday, it made the oil discovery as the operator of the TAY Exploration License with a 95% working interest, along with its joint venture partner, Government Holdings (Private) Limited (GHPL), which holds a 5% carried interest.

The Chakar-1 well was spudded on June 2, 2025, as an exploratory well under the Tando Allah Yar Exploration License and drilled to a total depth of 1,926 meters into the Upper Shale of the Lower Goru Formation.

Based on the interpretation of wireline logs and Reservoir Evaluation Services (RES) log, a Drill Stem Test (DST) was conducted in the B-Sand, followed by testing with an Electrical Submersible Pump (ESP).

Pakistan expedites process to deport illegal Afghan nationals

The well produced 275 barrels of oil per day (BOPD) through a 32/64″ choke at a wellhead flowing pressure (WHFP) of 400 psi. Furthermore, during formation testing using RES, the Lower Ranikot formation also showed the presence of oil. A second DST/ESP is currently underway to further evaluate its hydrocarbon potential.

This marks the 13th oil discovery in the TAY Exploration License and underscores the joint venture’s continued efforts to assess and unlock the hydrocarbon potential of the block and developing the country’s energy resources.

It may be noted here that on Thursday, US President Donald Trump announced that the United States and Pakistan reached an agreement to collaborate on developing Pakistan’s oil reserves. “We are in the process of choosing the oil company that will lead this partnership,” he wrote in a post to his Truth Social account.

OGDCL said the positive results to date strengthen confidence in the geological prospectivity of the area and support ongoing exploration and appraisal efforts in the block to further delineate its resource base. “The compnay is committed to contributing to Pakistan’s energy security through sustained exploration and development efforts.”

Pakistan’s first-ever US crude oil cargo

Meanwhile, Reuters reported on Friday that Pakistan is set to receive its first-ever crude oil cargo from the United States.

Microsoft hits $4 trillion market valuation, second tech giant to do so after Nvidia

The country’s largest refiner, Cnergyico, finalised a purchase deal with global energy trader Vitol, which according to the company’s Vice Chairman Usama Qureshi, will now lead to one million-barrel shipment in October.