ISLAMABAD: In a significant boost for Pakistan’s energy sector, a consortium of major Pakistani oil and gas exploration firms has signed a landmark Production Concession Agreement (PCA) with the Abu Dhabi National Oil Company (ADNOC) for offshore hydrocarbon development in the United Arab Emirates (UAE).
Mari Energies Limited (MARI) informed the Pakistan Stock Exchange (PSX) that the agreement pertains to Offshore Block 5, located 100 kilometres northeast of Abu Dhabi and spanning 6,223 square kilometres. The PCA was executed with the Supreme Council for Financial and Economic Affairs (SCFEA), ADNOC P.J.S.C, and Pakistan International Oil Limited (PIOL).
PIOL, a special-purpose vehicle, is jointly owned by Pakistan Petroleum Limited (PPL), Oil and Gas Development Company Limited (OGDCL), Mari Energies Limited, and Government Holdings (Private) Limited—each holding a 25% stake. Following the agreement, PIOL will hold a 40% participating interest in partnership with ADNOC.
Experts view the deal as a milestone, marking a successful entry of Pakistani firms into the global upstream energy market. PIOL had secured Block 5 in 2021 during Abu Dhabi’s second competitive exploration licensing round.
