PPL Signs Agreements for Eight Offshore Exploration Blocks Under 2025 Bid Round -

Pakistan Petroleum Limited has signed Production Sharing Agreements (PSAs) and exploration licences for eight offshore exploration blocks awarded under the Pakistan Offshore Bid Round 2025, marking a major step toward reviving offshore hydrocarbon exploration in the country after nearly two decades.

According to information shared by the company with the Pakistan Stock Exchange (PSX), the agreements were signed on May 20, 2026, in the presence of the Federal Minister for Petroleum, following the provisional award of the offshore blocks announced in November 2025.

PPL stated that the newly awarded portfolio includes two operator blocks — Gharo Creek and Kochi Creek — while the company is also participating in six partner-operated offshore blocks, including Bin Qasim South, Keti Bandar, Behr, Zarrar, Offshore Deep D and Sapat Bandar.

The company said the offshore blocks are located in the Indus and Makran offshore basins adjacent to the coastal areas of Sindh and Balochistan, regions considered highly prospective for oil and gas exploration.

The signing of the agreements formally launches the next phase of offshore exploration activities under the Pakistan Offshore Bid Round 2025 and is being viewed as an important development for Pakistan’s energy sector at a time when the country is seeking to reduce dependence on imported energy and strengthen indigenous resource development.

In its filing, PPL described the development as a significant move toward unlocking Pakistan’s offshore hydrocarbon potential and reviving exploration activity in offshore basins that have remained largely dormant for almost twenty years.

Energy sector experts believe offshore exploration offers substantial long-term potential for Pakistan due to geological similarities between parts of the Indus Basin and other hydrocarbon-rich offshore regions of the world. However, they noted that offshore drilling remains technically complex and requires large-scale investment and advanced exploration technologies.

Pakistan’s offshore exploration sector has witnessed limited activity in recent years, with no major commercial offshore discoveries despite earlier drilling campaigns. The government has been attempting to attract fresh investment in the sector through new bidding rounds, policy incentives and regulatory support aimed at encouraging exploration companies to undertake offshore operations.

As one of Pakistan’s leading exploration and production companies, PPL is expected to work with local and international partners in evaluating the offshore acreage and carrying out exploration programmes under the newly executed agreements. – ER

READ MORE