PPL secures lease, agreement for sui gas field operations

February 07, 2025 (MLN): Pakistan Petroleum Limited (PSX: PPL) has disclosed the execution of the Sui Development and Production Lease (D&PL) and the Sui Petroleum Concession Agreement (PCA) with the Federal Government of Pakistan for the continued operations of the Sui Gas Field.

A D&PL has been granted for the Sui Gas Field, covering an area of 455.80 square kilometers in District Dera Bugti, Balochistan.

The lease has been granted for an initial term of ten years, effective from June 1, 2015, to May 31, 2025, under Rule 30A of the Pakistan Onshore Petroleum (Exploration and Production) Rules, 2013.

The D&PL is also eligible for an extension under these rules, according to the company's statement issued today.

Additionally, PPL, as the sole working interest owner of the Sui Gas Field, has executed a Memorandum of Agreement (MoA) with the Government of Balochistan at a formal signing ceremony held at the Sui Field on February 14, 2025.

Under this MoA, the company has committed to implementing various social welfare initiatives as part of its Corporate Social Responsibility (CSR) program, in line with the terms of the D&PL and PCA.

As per the executed agreements, PPL is obligated to make payments against the Lease Extension Bonus and fulfill other financial commitments under the D&PL and PCA.

Future arrangements beyond May 31, 2025, will be mutually agreed upon within the validity period of the D&PL, in accordance with the applicable rules.

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