) encountered a gas deposit in a probe drilled at its Lundali
prospect, onshore Pakistan.
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Located in the Sukhpur Block in the Kirthar Foldbelt, 270
kilometers north of Karachi in the Sindh Province, the Lundali-1
NFW exploratory well was drilled to reach a depth of 2,660
meters. The additional yield at Lundali will facilitate the
development of the existing infrastructure of Eni including the
Bhit gas processing facility situated 30 kilometers to the west
of the Block.
The well struck gas bearing sands in the Paleocene sequence that
flowed gas at a rate of 33 million cubic feet per day in a
production test. The production test emphasized on the
reservoir's superior capacity and signifies a new achievement in
Eni's near-field exploration strategy in the country.
The outcome also validates the considerable exploration prospects
of the Sukhpur Block. The joint venture proposes to spud another
exploration well in the Sukhpur Block within a year.
In an effort to speed up the Time to Market, Eni is likely to
commercialize the find through an early production scheme, which
will lead to initial gas within three years from the award of the
Block in Feb 2010.
Eni Pakistan Limited, a subsidiary of Eni, operates the Sukhpur
Block with a working interest of 45%. The other partners in the
joint venture are PPL and KUFPEC with a holding of 30% and 25%,
Eni, the largest oil and gas producer among the foreign
companies, has been operating in Pakistan since 2000. The
company's average daily hydrocarbon equity yield was around
57,000 barrels of oil equivalent in 2012.
Eni holds a Zacks Rank #4 (Sell). However, there are other stocks
in the oil and gas sector -
EPL Oil & Gas, Inc.
) - which hold a Zacks Rank #1 (Strong Buy) and are expected to