16 - 22, 2000
3 exploration accords signed
Pakistan on Monday signed three accords with oil and gas
companies for the development of three gas fields with the investment of $428m.
The memorandum of interest (MoI) were signed with joint
venture of LASMO, OMV, Premier, Shell, British Borneo and BHP for the supply of
gas to Sui Southern Gas Co from Zamzama gas field. The other accords were signed
for the development of Bhit and Sawan gas fields, on Monday at the Oil and Gas
The Zamzama gas field is a discovery in the Dadu concession
area with estimated reserves in excessive of two trillion cubic feet. The field
is estimated to have production potential of 400/500m cubic feet per day. The
field is operated by joint venture of BHP operator with 47.50% share, LASMO
23.75/ Premier 23.75% and Government Holding 5.00%.
The Zamzama gas field is expected to start supply from to Sui
Southern Gas Co (SSGC) and Wapda from March 2001. The MoU signed was for the
supply of 120MMCFD of Zamzama gas to SSGCL for onward transmission to Guddu
through IRBP system and Wapda Sui Guddu pipelines.
The MoI was signed by Philip Aiken of BHP, Peter Cockcraft of
Premier, Neil Booth of Lasmo, Khalid Naseem of Government Holding and Abdullah
Yousaf, secretary Petroleum.
The accord for the development of Bhit Gas field was signed
by Neil Booth of Lasmo, Peter Cockcroft and Mukhtar Ahmed of SSGC.
Heads of agreement for Sawan Gas field was signed with SW
Miano Joint Venture, led by Austrian company, OMV. The joint venture with the
investment of $160m in the next two years will bring on stream 179 MMCFD gas for
delivery to SSGC by late 2002.
The Sawan gas field was developed by OMV, the operator of the
SW Miano JV in Jan '98. Following extensive 3d seismic appraisal work and
drilling of successful appraisal well, the gas field was declared commercial by
the JV in December 1999.
Malaysia to discuss areas of cooperation
The second meeting of the Pakistan-Malaysia Joint Commission
(PMJC) commenced in Islamabad on Thursday, aimed at promoting bilateral
cooperation in trade, investment, science and information technology, a Press
release said on Thursday.
Among some of the other issues on the agenda relate to
technical cooperation, education, agriculture, science and technology, petroleum
and natural resources, water and power, population welfare, sports and culture.
Pakistan's Foreign Minister Abdul Sattar, who co-chaired the
meeting with his Malaysian counterpart, Syed Hamid Albar, said that Pakistan
would welcome investment from Malaysia in its privatisation programme.
He said Pakistan could provide a hospitable investment
environment for Malaysian manufacturers who were considering shifting labour-intensive
The Malaysian foreign minister, in his opening statement,
said that the convening of the second PMJC, the first in the new millennium, was
timely and opportunate.
Russian help in oil, gas sector discussed
The Ambassador of the Russian Federation to Pakistan, Edward
Shevchenko, met the Federal Minister for Petroleum & Natural Resources,
Usman Aminuddin, on Thursday and discussed with him matters of mutual interest
and bilateral cooperation.
Welcoming the Russian envoy Usman Aminuddin said that
Pakistan was giving top priority to the speedy development of oil and gas sector
and also briefed him about the various ongoing development activities, an
official statement said.
Both leaders also explored possibilities of Pak-Russia
cooperation in oil and gas sector which could be beneficial for the two
CPI rises by 4.82pc
Consumer Price Index inflation increased further by 4.82 per
cent during the first quarter of 2000-2001 over the corresponding period of last
year, according to the price data released by the Federal Bureau of Statistics
A reversal of price trend, manipulation of figures
notwithstanding, is evident from the data because in July-September, 1999, CPI
had registered a drop of 3.31% as compared to the same period of 1998 when the
CPI had gone up by 6.71 per cent. The data further indicate start of a new round
of price increases after a period of relative stability following the end of the
last round during which the CPI had surged deep into double digit.
Sindh opposes Thal canal
The Sindh government has opposed the construction of Greater
Thal canal saying it will cause serious irrigation water shortage in Sindh and
the provincial farmers will suffer as they did during kharif.
Underground economy expands to Rs1.25 trillion
The quantum of smuggling into Pakistan in recent years is
said to have shot up to Rs125 billion on an annual basis with the underground
economy expanding to as much as Rs1.25 trillion.
The size of the underground economy has jumped to over 55 per
cent of the GDP in the last 20 years and the level of annual tax evasion in the
meantime has been calculated to have gone up to Rs200 billion.
Surveys and research have established five main avenues of
smuggling in Pakistan which include Afghan transit trade facilities, baggage
facilities, duty free shops, diplomatic bonded warehouses and the long coastal
IDBP revives sick units
The Industrial Development Bank of Pakistan (IDBP) has
revived a number of sick and closed industrial units during last one year,
making them operational.
According to IDBP announcement, most of these units are
labour intensive and located in under developed areas of the country.
Recommencement of operation by these industrial units has
created thousands of fresh employment opportunities.
These include a textile mill consisting of 25,000 spindles
located near Multan. This mill was lying closed since 1993 and resumption of its
operations has created over 800 direct jobs.