Gambat South: PPL starts production from second processing facility

Company’s share price closed up following the announcement. PHOTO: FILE

Company’s share price closed up following the announcement. PHOTO: FILE

KARACHI: Pakistan Petroleum Limited (PPL) has started production from the second gas processing facility located in Sindh, which will produce significant amount of crude oil, pipelined gas and liquefied petroleum gas (LPG), according to a bourse filing Thursday.

“We would like to disclose start-up and commissioning of the Company’s second gas processing facility from well Sharf X-I, Shahdadpur field at Gambat South,” said PPL Company Secretary Shahana Ahmed Ali in a notification to Pakistan Stock Exchange (PSX).

The dissemination of the information at the Exchange invited equity investors towards the company’s share, as its price closed up against downturn in majority of other oil stocks.

The share price increased Rs1.92, or 1.21%, and closed at Rs160.42 with a turnover of 1.2 million shares at the PSX.

JS Research reported that the share rallied on back of the information. Otherwise, “the oil sector remained under pressure throughout the day on the back of declining global crude oil prices,” said the brokerage house in a post-market comment.

PPL notification added that the initial sale of 22 million standard cubic feet per day (mmscfd) of gas has commenced, which will gradually be increased to 33 mmscfd from 50 mmscfd of “raw gas” during the plant’s performance testing.

The plant after reaching its maximum design capacity is expected to produce 500 to 600 barrels per day of condensate and 10-12 metric tonnes per day of LPG in addition to 33 mmscfd of sales gas, it added.

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