Pakistan Nets $175MM from Award of 41 Oil and Gas Blocks

Citing a senior government official, Dow Jones reports that Pakistan has awarded 41 of the country's oil and gas blocks to 11 companies, both local and international, with bids totaling $175 million.

"The total value of the bids is $175 million but the actual expenditures against this commitment will finally reach up to $500 million over the next three years," G.A Sabri, special secretary in the petroleum ministry, is quoted as saying.

Eni released an official press release today disclosing the award of an exploration license for the onshore Sukhpur block to its joint venture with Pakistan Petroleum and Shell. Other successful bidders include Oil & Gas Development Co. Ltd. and oil major BP, Dow Jones noted.

Additionally, the government offical reported that the winning companies would soon commence seismic surveys, probably within the next few months.