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A Chinese oil company has been granted a developmental boon by gaining two petroleum exploration licenses from the Pakistani government as agreements signed yesterday outlined.

 

China Zhenhua Oil Co Ltd will pour over US$200 million in investment for both licenses. The money will cover their whole range of operations in Pakistan, including G&G studies, 2D seismic mapping into 500-km lines, 3D seismic mapping covering 100 sq km and the drilling of three exploration wells.

 

The licenses grant Zhenhua access to over 5,000 sq km of land to research. The Bahawalpur East area comprises the Bahawalpur, Multan and Lodhran districts of Punjab Province. The second, named the Baska block, covers ground across Punjab, North-West Frontier, and Balochistan provinces.

 

The ceremony commemorating the deal was attended by Federal Minister for Petroleum and Natural Resources, Aman Ullah Khan Jadoon, Minister of State for Petroleum and Natural Resources, Muhammad Naseer Mengal, Additional Secretary Shaukat Hayat Durrani, and Chinese Ambassador to Pakistan Luo Zhaohui.

 

Zhenhua Oil, a specialized international oil company, has significant experience in such projects due to its current oil exploration projects in Central Asian and Middle Eastern countries.    

 

(Xinhua News Agency March 30, 2007)