Pakistan approved a new offshore exploration consortium on Tuesday, clearing Turkish Petroleum Overseas Company to take over operatorship of the Eastern Offshore Block-C as part of a push to revive drilling, the adviser to the finance ministry said.
Pakistan's Economic Coordination Committee approved Pakistan Petroleum Limited's PPL.PSX request to assign part of its interest in the block to TPOC, Mari Energies MARE.PSX and state-run Oil & Gas Development Co Ltd OGDC.PSX, leaving PPL with a 35% stake.
TPOC will hold 25% and will operate the block once a formal agreement is signed.
"This will bring valuable international offshore operating experience to Pakistan’s exploration landscape and this transition is expected to enhance technical capabilities, operational efficiency, and overall project delivery," Khurram Schehzad, the adviser to the finance ministry said on X.
He said the block contains a drill-ready prospect that the consortium will now pursue, a step he added could attract fresh foreign investment.
With the ECC's approval, the consortium is now set to advance preparations for drilling operations, he said.
In October, bids were awarded for 23 of 40 offshore blocks offered, covering around 53,500 square kilometers, in Pakistan's first offshore bidding round since 2007.
Pakistan's 300,000 square kilometer offshore zone, bordering energy-rich Oman, the United Arab Emirates and Iran, has seen just 18 wells drilled since independence in 1947, too few to fully assess its hydrocarbon potential.
(Reuters - Reporting by Ariba Shahid in Karachi; Editing by Alison Williams)