Pakistan Petroleum signs MoU for Sui Development and Production Lease

Pakistan Petroleum Limited (PPL) and the Government of Balochistan have signed a Memorandum of Agreement (MoA) towards the execution of the Petroleum Concession Agreement (PCA) for the Sui Development and Production Lease (D&PL).

The signing ceremony, held in Sui, District Dera Bugti, was attended by Chief Minister of Balochistan Mir Sarfraz Bugti, along with Federal Minister for Planning, Development & Special Initiatives Ahsan Iqbal, Senators Shahzaib Durrani and Danesh Kumar, as well as other government officials and stakeholders.

PPL's Managing Director & CEO, Imran Abbasy, and Secretary Energy Department, Government of Balochistan, Muhammad Dawood Bazai, signed the agreement on behalf of their respective entities.

Under the agreement, PPL will contribute approximately PKR 60 billion to the Government of Balochistan, including lease extension bonus, production bonus, and social welfare obligations.

The company presented the first tranche of PKR 36 billion to Chief Minister Bugti, with the remaining disbursements set for March and May 2025.

As part of its corporate social responsibility, PPL has invested around PKR 13.76 billion in Balochistan over the past decade, including PKR 2.72 billion in 2023-24 alone. These contributions support education, healthcare, infrastructure, free gas and water supply, and community development initiatives.

PPL has provided essential utilities free of charge, delivering gas worth PKR 7.4 billion and water worth PKR 1.7 billion over the past decade. The company currently supplies 4 MMscfd of gas and over 2 million gallons of water per day to Sui residents. Additionally, PPL has generated approximately 1,500 jobs in Sui, with nearly 1,200 positions filled by local residents.

Beyond gas and water provisions, PPL will extend educational scholarships to Dera Bugti students and facilitate technical and vocational training for engineers and diploma holders through Balochistan Technical and Vocational Training Authority (B-TEVTA). PPL will also engage in healthcare and educational infrastructure rehabilitation in collaboration with the Government of Balochistan.