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psc - Kufpec

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Kadanwari Gas Field Facilities - Pakistan<br />

Zamzama Field<br />

(KUFPEC: 9.375%)<br />

Gas production in 2010 from the Zamzama field<br />

averaged 5,747 boepd. The production was low<br />

compared to 2009 due to operational problems<br />

related to the Phase II expansion project, and<br />

the shut-in wells due to heavy flooding in the<br />

area. Also the Zamzama-3 well was shut-in due<br />

to water loading. The Phase II project is still in<br />

the commissioning stage and currently processing<br />

90 mmscfpd. The Front End Compression<br />

project is progressing as per schedule and<br />

expected to produce first gas by July 2011.<br />

Zarghun South<br />

(KUFPEC: 3.75%)<br />

Gas delivery is currently pending on the execution<br />

of a Gas Purchase Agreement (GPA) by the<br />

Directorate General (Gas). The project became<br />

uneconomical due to escalation of the field<br />

development costs. To render the project economics,<br />

the operator is in discussions with the<br />

government to change the gas price mechanism.<br />

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