Islamabad, Feb 14: Pakistan Petroleum Limited (PPL) has announced the successful execution of the Sui Development and Production Lease (D&PL) and the Sui Petroleum Concession Agreement (PCA) with the Federal Government of Pakistan, ensuring the continued operations of the Sui Gas Field. The announcement, made through a notice to the Pakistan Stock Exchange (PSX) on Friday, highlights that the D&PL granted for the Sui Gas Field covers an area of 455.80 square kilometers, located in District Dera Bugti, Balochistan.
The lease, effective from June 1, 2015, to May 31, 2025, is set for an initial term of ten years, in accordance with Rule 30A of the Pakistan Onshore Petroleum (Exploration and Production) Rules, 2013. As per the rules, the D&PL is eligible for an extension beyond its initial term, allowing PPL the flexibility to continue operations.
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Further solidifying its commitment to the local community, PPL has also entered into a Memorandum of Agreement (MoA) with the Government of Balochistan. The formal signing ceremony was held at the Sui Field, where PPL agreed to implement several social welfare initiatives under its Corporate Social Responsibility (CSR) program. These initiatives, which align with the terms of the D&PL and PCA, aim to benefit the local population in the area.
As per the agreements, PPL is also bound by financial commitments, including payments for the Lease Extension Bonus, in addition to fulfilling other obligations outlined in the D&PL and PCA. The company stated that future arrangements for the period beyond May 31, 2025, will be mutually agreed upon within the validity period of the D&PL, in line with the established rules.
This development ensures the continuity of operations at one of Pakistan’s most crucial gas fields, reinforcing PPL’s role in the country’s energy sector while supporting community welfare initiatives in Balochistan.
