Leading exploration and production (E&P) companies Oil & Gas Development Company Limited (OGDCL), Pak-Arab Refinery Limited (PARCO), Pakistan Petroleum Limited (PPL), Mari Petroleum Company Limited (MPCL), and Government Holdings Private Limited (GHPL) have signed a Memorandum of Understanding (MoU) to explore and pursue green hydrogen opportunities within and outside Pakistan.… Continue

Oil and Gas Development Company Limited (OGDCL) is the largest exploration & production company in Pakistan working across the nation. The company has an impressive track record of carrying out social work in areas where it operates for the welfare of local communities.… Continue

Gas & Oil Pakistan Ltd. (GO) sponsored a three-day educational and recreational trip for 20 children of Sweet Home, Burewala. Sweet Home is a project of Kauser Majeed Foundation, run under the leadership of Mr. Shehzad Mubeen, Director, GO. The trip was organized under the guidance of Col.… Continue

The Board of Directors of Shell Pakistan Limited (SPL) announced the company’s financial results for the year ended December 31st, 2022. The company posted a loss after tax of PKR 72 million for 2022 compared to the profit of PKR 4,467 million in 2021.… Continue

• Carrefour joins hands with Pink Ribbon to collect donations for the completion of Pakistan’s first dedicated breast cancer hospital
• Donation boxes to be placed at all Carrefour stores across Pakistan
• Carrefour colleagues to get free-of-cost breast ultrasounds and consultations throughout the year
• Carrefour and Pink Ribbon will run awareness on-ground and digital campaigns for both the employees and customers of Carrefour

Carrefour, owned and operated by Majid Al Futtaim in Pakistan, has signed a Memorandum of Understanding (MoU) with Pink Ribbon Pakistan, a non-government organisation dedicated to breast cancer awareness.… Continue

Pakistan oil sales in Feb-2023 decreased by 16% MoM to ~1.22mn tons mainly due to 1) seasonal trend of slowdown in February, 2) higher prices of MS, HSD and 3) lower demand of FO for power generation.

This is the lowest monthly sales number since first COVID lockdown period of Feb-Apr 2020.… Continue

Pakistan Oilfields Ltd (POL) reported its 2QFY23 earnings earlier today, wherein the company posted Profit After Tax (PAT) of PkR 5.95bn (EPS: PkR20.97) for the quarter, lower by 29%QoQ—lower than our estimate of PkR24.30/sh

·         Net sales clocked in at PkR14.02bn for the period, down by 12% on a QoQ basis, majorly on the back of declining oil prices (down 15%QoQ) during the period.… Continue

Pakistan Petroleum Limited (PPL) reported its 2QFY23 earnings earlier today, wherein the company posted Profit After Tax (PAT) of PkR 22.17bn (EPS: PkR8.15) for the quarter, lower by 16%QoQ and although higher by 55%YoY—largely in-line with our estimate of PkR8.41/sh.

· Company posted its highest ever half-yearly topline, clocking in at PkR138.2bn (up 53%YoY), majorly driven by an appreciating US$ dollar (↑31%YoY) alongside higher crude prices (↑28%YoY), which averaged at US$98/bbl during the period

· Exploration expenses clocked in at PkR7.79bn during the quarter (up 3.5x QoQ), however it is to be seen what these costs consist of.… Continue

Oil & Gas Development Company Limited (OGDC) announced its financial result today, posting a profit after tax of PKR 95,012mn (EPS: PKR 22.09) during 1HFY23 compared to PKR 68,883mn (EPS: PKR 16.02) in 1HFY22, showing a growth of 38% YoY. On a quarterly basis, earnings in 2QFY23 settled at PKR 41,709mn (EPS: PKR 9.70), up by 18% YoY.… Continue

The management of Pakistan Petroleum Limited (PPL) is expected to announce it 1HFY23 on 27th Feb’23. We forecast the company to post a bottom line of PKR 51,792mn (EPS: PKR 19.03) in 1HFY23 in contrast to PKR 31,709mn (EPS: PKR 11.65) in 1HFY22, depicting a jump of 63% YoY.… Continue

Total petroleum sales settled at 1.44mn tons in Jan’23, showing a fall of 20% YoY owed to i) a surge in petroleum prices, ii) economic slowdown, iii) a massive slump in automobile sales, and iv) lower FO-based power generation. MS depicted a decline of 13% YoY, to settle at 0.65mn tons in Jan’23.… Continue

Mubadala Energy, the Abu Dhabi-based international energy company, has announced the signing of a Memorandum of Understanding (MoU) with OMV Downstream GmbH (OMV) and Pak-Arab Refinery Limited (PARCO) to explore opportunities in sustainable fuels and feedstock production in Pakistan.

Under this agreement the companies will explore the possibility of pursuing projects in circular economy initiatives, including plastics production and recycling, sustainable fuels and feedstock as well as the development of synthetic oil and chemical products.… Continue

· Pakistan State Oil (PSO) is expected to announce its 2QFY23 financial result sometime in January, where we expect the company to post PAT of PkR2.4bn (EPS: PkR5.1)

· The said increase is majorly on the back of increased HSD offtakes (up 53%QoQ), owed to the sowing demand in the rabi season during Oct/Nov’22.… Continue

Mari Petroleum Company Limited (MPCL) has made a gas discovery at its exploratory well Mari Ghazij-1, located in Mari D&PL in Sindh Province.

MPCL is the Operator of Mari D&PL with 100% working interest.

According to MPCL notification to PSX today, the well was spud-in on November 24, 2022, and successfully drilled down to a depth of 1,015 meters.… Continue

The Managing Directors of Sui Southern Gas Company Limited (SSGC) and Fauji Fertilizer Bin Qasim Limited (FFBL) signed the Third Addendum to the Gas Supply Agreement (GSA) on January 4, 2023, at SSGC’s Head Office in Karachi. Mr Arif-ur-Rehman, MD, FFBL and Mr.… Continue

Pakistan oil sales in Dec-2022 decreased by 14% MoM to ~1.34mn tons mainly due to 1) a seasonal trend of slowdown in December, 2) lower demand of FO for power generation, and 3) an overall slowdown in the economy.

This is the lowest monthly sales number since the first COVID lockdown period of Feb-Apr 2020.… Continue

The bear dominated the stock market during the month, and the index registered a fall off 1,928ptsMoM to settle at 40,420pts levels. The declining trend was primarily attributed to political unrest, S&P lowered the long-term sovereign credit rating of Pakistan to ‘CCC+’ from ‘B-‘, and the short-term rating to ‘C’ from ‘B’ on the back of enduring external, economic, and fiscal risks.… Continue

·         Recent government estimates point towards the gas circular debt to have increased to ~PkR900bn by Nov’22, compared to ~PkR719bn as of Mar’22. The companies majorly affected by the circular debt include: OGDC, PPL, SNGP, SSGC, and PSO.

·         The stock of receivables on OGDC and PPL’s books has increased from a collective ~PkR306bn at the end of FY18 to ~PkR892bn at the end of the Sep’22 quarter.… Continue

Pakistan State Oil (PSO) wins ‘Silver’ at the prestigious South Asian Federation of Accountants (SAFA) for Best Presented Annual Report 2021 in the category of Public Sector Entities. The award was collected by Act., General Manager Compliance & Reporting, Mr. Tariq Hussain, on behalf of PSO at Nepal.… Continue

Shell, the leading global supplier of finished lubricants for 16 consecutive years, has collaborated through Shell Pakistan Limited with Hyundai Nishat Motor Private Limited (HNMPL) to launch co-branded lubricant products exclusively designed for Hyundai vehicles.

The collaboration will create the fully synthetic, next-generation co-branded lubricant 5W-30 AH, specially formulated and built to keep the Hyundai vehicle’s engine running at full performance.… Continue

Pakistan state-owned – Oil & Gas Development Company Limited (OGDCL) as Operator (100%), has discovered Oil and Gas from a development cum exploratory well, namely Chak-5 Dim South-3, located in District Sanghar, Sindh Province.

Notification of Company to PSX says that Chak-5 Dim South-3 was spudded in on June 26, 2022, as a development cum exploratory well by using OGDCL’s in-house expertise.… Continue

Staying true to its commitment of driving the energy sector forward, the leading energy company, Pakistan State Oil (PSO) has added yet another product to its extensive portfolio by introducing the latest technology around the world as per API standards – DEO MAX, the country’s first fully synthetic CK-4 graded diesel engine oil.… Continue

· We revisit our investment case for Attock Petroleum Limited (APL), revising Dec’23 target price to PkR390/sh from previous PkR370/sh, providing a total return of 48% from last close.

· The much awaited revision in OMC margin provides significant impetus to our valuation, subsequently we have incorporated uniform OMC margins of PkR6/liter for both MS & HSD from March 2023 onwards, up 61%/51% from current levels for MS/HSD

· The company plans to setup two more terminals in the northern region, namely Dera Ismail Khan and Tarrujabba with capacities of 17.5k and 22.9k, respectively, with an estimated capex of PkR2.5bn between FY23 and FY24.… Continue

·         POL product sales clocked in at 1.55mn tons for Nov’22, down by 12%/7% on YoY/MoM basis, compared to 1.75mn/1.66mn tons during Nov’21/Oct’22.

·         Incoming winter season has had its say on falling RFO volumes (down 22%/33% on YoY/MoM basis) as well, evident by falling power generation from the said fuel source, which was  down by 87.3%YoY

·         PSO’s market share for Nov’22 stood at 52.4% vs.… Continue

Total Petroleum sales clocked in at 1.55mn tons in Nov’22, displaying a decline of 12% YoY amid i) overall economic slowdown, ii) higher petroleum prices, and ii) lower FO-based power generation. MS depicted a fall of 3% YoY, to arrive at 0.67mn tons in Nov’22.… Continue