Sunday, August 12, 2018

The Article 370




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The Article 370
The Article 370 is a temporary and interim arrangement in light of Instrument of conditional Accession. With respect to J&K, the India’s strength and weaknesses are based in “Instrument of conditional Accession” and Article 370 is the reflection of the same. The relationship of Jammu & Kashmir with Indian Union is based on the “Instrument of conditional Accession” proposed and signed by the Maharaja on 26th of Oct. 1947 and letter of acceptance Dated 27th Oct 1947 of Lord Mountbatten Governor General of India. The conditional Accession has two most important features.
1.    The letter of acceptance as a collateral document forms an indispensible part of Accession and it reveals that the Accession was termed as subject of “dispute” making its acceptance “provisional” subject to ratification by “Reference to the people”
2.    . 2. Maharaja Hari Singh in accordance with the proposed terms of Accession, agreed to be part of Union of India, allowing it to make laws for this state only with respect to Defense, External Affairs and Communication.

 The Accession also vide clause 7 made it categorically clear that “Nothing in this instrument shall be deemed to commit mean any way too acceptance of any future constitution of India or to fetter any discretion to enter into arrangements with Govt. of India under any such future constitution”. Thus at the time of Accession Jammu & Kashmir was the only state to declare its intention to have its own constitution, to be drafted by its own Constituent Assembly.

The terms of Accession of Kashmir with Union of India were maintained till the Constituent Assembly of India was charged with tasks of framing a constitution. Earlier to this the political leader ship of Kashmir and Government of India had agreed that “in view of the special problems arising in respect of this state and the fact that the Government of India have assured its people that they would themselves finally through a “plebiscite” determine their political future” and till then for running day to day affairs a temporary special position should be accorded to Jammu & Kashmir in the future constitution so that a limited field of the Union over the State is ensured. Four representatives were nominated from the Jammu & Kashmir State to represent in Constituent Assembly of India. It was at this stage that the constitutional position of the State was made temporary as defined “Article 370” in the Constitution of India. It was made clear that, till the right of ‘self determination’ is exercised by the people, the state shall be governed temporarily through Article 370 and the Autonomy of the state with regards all other subjects outside the ambit of the Instrument of Accession should be preserved. 
Thus Article 370 mentioned as temporary provision in the Constitution of India, thus does not mean that is it capable of being abrogated, modified or replaced unilaterally. In actual effect, temporary mater of this article arises merely from the fact that the power to finalize constitutional relationship between the state and the Union of India was specifically vested in the Jammu & Kashmir Constituent Assembly. It followed that whatever modification’s, amendments or exceptions that may become necessary either to Article 370 or any other article in the Constitution of India in their application to the Jammu & Kashmir State shall be subject to the decisions of this constituent body only. Thus with the dissolution of constituent assembly on 25th of Jan 1956 in terms of its resolution dated 17 Jan the constitutional relations between union of India and Jammu & Kashmir stands sealed and were final.
The powers of the president to extend other provisions of the Indian constitution to Jammu & Kashmir also stands seized as the Jammu & Kashmir Constituent Assembly vested with concurrence powers is non-existent. But unfortunately till date through various Presidents orders, which are unconstitutional and illegal, as many 94 of the 97 entries in the union list were extended to Jammu & Kashmir as were 260 of the 395 articles of the constitution, thus rendering the Article - 370 in present form as lifeless. 

 Kashmiri political leadership of all shades should demand in one voice conducting of “One time Special Election” not for governance, but for creation of the Jammu & Kashmir Constituent Assembly once again to debate the “temporary nature of Article – 370 in light of Conditional Accession”. This body shall provide an opportunity to one and all, to put forth their perception and possible solution of Kashmir issue be it Azadi, Autonomy or Self-Rule
Article 370 of the Indian constitution is an article that gives autonomous status to the state of Jammu and Kashmir. The article is drafted in Part XXI of the Constitution: Temporary, Transitional and Special Provisions. The Constituent Assembly of Jammu and Kashmir, after its establishment, was empowered to recommend the articles of the Indian constitution that should be applied to the state or to abrogate the Article 370 altogether. After the J&K Constituent Assembly later created the state's constitution and dissolved itself without recommending the abrogation of Article 370, the article was deemed to have become a permanent feature of the Indian Constitution.[
Text: Temporary provisions with respect to the State of Jammu and Kashmir
(1) Notwithstanding anything contained in this Constitution,—
(a) the provisions of article 238 shall not apply now in relation to the state of Jammu and Kashmir;[a]
(b) the power of Parliament to make laws for the said state shall be limited to—
(i) those matters in the Union List and the Concurrent List which, in consultation with the Government of the State, are declared by the President to correspond to matters specified in the Instrument of Accession governing the accession of the State to the Dominion of India as the matters with respect to which the Dominion Legislature may make laws for that State; and
(ii) such other matters in the said Lists as, with the concurrence of the Government of the State, the President may by order specify.

Article 35A of the Indian Constitution is an article that empowers the Jammu and Kashmir state's legislature to define “permanent residents” of the state and provide special rights and privileges to those permanent residents. It was added to the Constitution through a Presidential Order, i.e., The Constitution (Application to Jammu and Kashmir) Order, 1954 - issued by the President of India on 14 May 1954, exercising the powers conferred by the clause (1) of the Article 370 of the Indian Constitution, and with the concurrence of the Government of the State of Jammu and Kashmir
Text: Saving of laws with respect to permanent residents and their rights. — Notwithstanding anything contained in this Constitution, no existing law in force in the State of Jammu and Kashmir, and no law hereafter enacted by the Legislature of the State
(a) defining the classes of persons who are, or shall be, permanent residents of the State of Jammu and Kashmir; or


(b) conferring on such permanent residents any special rights and privileges or imposing upon other persons any restrictions as respects—
(i) employment under the State Government;
(ii) acquisition of immovable property in the State;
(iii) settlement in the State; or
(iv) right to scholarships and such other forms of aid as the State Government may provide,
shall be void on the ground that it is inconsistent with or takes away or abridges any rights conferred on the other citizens of India by any provision of this part."












Saturday, August 11, 2018

Amount of Variable Renewable Energy (Solar and Wind) that can be connected to the Pakistani Grid System

Amount of Variable Renewable Energy (Solar and Wind) that can be connected to the Pakistani Grid System

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RE (Renewable energy)or VRE ( Variable RE)  interconnection requires that the grid must add reactive loads; both capacitive and inductive loads are required to provide voltage stability in over and under voltage conditions. SVCs or FACT devices are required to provide speedy in time insertion of these inductive loads to prevent voltage and system collapse.  The other factor related to solar is that there is need for a large geographic area, with possibly multiple time zones, so that day light hours are stretched. The wind turbine in itself presents technical problems but by far the greatest matter of concern is the supply variability of both wind and solar , this necessitates that the grid have suitable spinning reserves, flexible base load plants and inductive loads coupled to FACT  or SVC devices to inset reactive load in abnormal conditions .
Pakistan’s grid network has suffered frequent voltage and system collapse during the last 15 years. These have been at times system wide and at times have been restricted of the Southern Network. Quetta-Baluchistan network also suffers for instability and voltage collapse.( SVC has not been installed in Quetta , instead NTDC has proposed to add  220kV Sibi-Mastung-Quetta, Loralai double circuit transmission lines   it is not clear if this will address the instability in Quetta system  NTDC in a submission to NEPRA stated that voltage profile as low as 180kV and 170kV instead of the nominal voltage of 220kV at Sibbi and Quetta Grid stations , respectively. 170 kV represents 0.77 pu. voltage which translates to 0.6 pu. capacitance , SVC would add capacitance in time to avert system   and voltage collapse . NTDC has also decided to include in their investment program, construction of the new 220kV, Guddu-Sibbi single circuit transmission line, for improvement of power supply system in southern areas at a total cost of Rs8.36bn, it does not seem that the steps proposed by NTDC will rectify the deficiency in the transmission system, although these step will mitigate the issue somewhat).  A SVC at Lahore has been installed to maintain the stability of the primary system, another one planned at Quetta has not materialized. The causes of this instability are, many and include in the last 10 years the lack of any spinning reserves and the fact that the system was operated in violation of the frequency requirements set by the Gird code.  Some incidents were caused due to equipment and relaying failures. A fully functional grid system is absolutely necessary for VRE capacity to be connected to a large integrated grid system. VRE addition requires serious upgrades in the grid, establishing communication protocols and deploying control and protection systems that cater to this rise in VRE capacity,
RE presents a challenge in so far as:  properties of wind and solar include the constraints imposed by the weather conditions, VRE plants are smaller in size as compared to conventional generators and connects in a more dispersed manner and VRE uses equipments that connects to the grid using power conventional technologies which are different to conventional generators and therefore present a challenge to grid integration. VRE present less of a challenge in systems where there is a good match between demand and VRE supply, further systems that are perkier and cater to varying supplies over the year are better placed to absorb VRE. Our system with a large hydroelectric supply and large power flows from either the North or South to the Central load centers should have the ability to cater to integration of a reasonable amount of VRE capacity It should also be mentioned that geographic location of a wind plant will affect the benefit it has for the system, at different location wind plants will have widely varying benefits to the system. Additional system costs (other than “normal” interconnection costs) needed to integrate VRE to the grid system adds about US$400/kW to the cost of a typical wind plant, this translates to an additional 1.45 c/kWh to the cost of generation.

GOPA study presents an analysis of the Pakistan Grid with reference to RE interconnection. The conclusions reached are:
1.       2224 MW wind and solar capacity can be added, with the following grid additions: 25 MVAr capacitors at Bhan Saedabad grid station; 120 MVAr Thyristor controlled reactor (TCR) inductive 200 MVAr MSC Capacitive SVC at Lal Suhanra.; Power system stabilizers (PSS) at two synchronous generators at Hub and Jamshoro. ; And operation of some renewable generators in voltage droop control mode would be beneficial.
2.       In the next phase major additional reinforcements are required these would allow the full 4067 (phase I) of renewable generation to be added but it will also facilitate addition totally 9332 MW (including the 4067 MW capacity discussed earlier) of renewable energy to be added. Improvements required are :  Lal Suhanra region requires reinforcement of 220kV system where a new collection substation is to be installed  and two radial 220kV lines are closed to form a ring  This requires addition of 80 km double circuit 220kV transmission lines , 5 km single circuit 220kV transmission line and 5 additional 220/132 kV power transformers including transformer bays . Reinforcements of the Southern wind corridor requires a new 500kV Jhampir grid station , 90 km 220kV and 500kV transmission lines , a 200MVAr capacitor at Jhampir and 100 MVAr shunt capacitors at Gharo are required .  600MVAr SVC (600MVAr TCR and 300MVAr TSC) at Shikarpur are also required.
3.       Spinning reserve requirements will increase to 1500 MW 500MW more than required by the system in 2018, Thus RE will need an additional 500 MW spinning reserves.
4.       Dispatch will, require to: re-execute wind and OV prediction at 1-4 hours ahead; and shorten the dispatch cycle from 30 min to 15 min.
5.       Wind and PV generators need to have provisions for operation in defined conditions. (Modern VRE plants connect to the grid using electronic power converters or inverters; these can be programmed to allow the way in which a VRE power plant behaves on the power grid to be controlled.) 
6.       Addition of specified levels of RE generation results in a higher NPV as compared to the one without RE capacity.
There is consensus on the fact that addition of up to 30% RE capacity is possible with needed inductive loads and SVCs but higher than that capacity will require new approaches on operating and extending grids. Variability of RE due to weather Introduces uncertainty in generation output .These could affect 70% of solar capacity due to cloud cover and 100% of wind capacity due to still days. This requires base load capacity that can follow load to be interconnected, these are costs. To reduce reserves and spinning reserve costs it is recommended that: there needs to be improvement in weather and wind forecast accuracy; forecasts should be for shorter periods than a day
  Features of VRE that pose challenges to grid managers:
1)      Variability: This is the biggest and most vexing  
Power plants that run on fuel (along with some hydro and geothermal plants) can be ramped up and down on command. They are, in the jargon, "dispatch able." But VRE plants produce power only when the wind is blowing or the sun is shining. Grid operators don't control VRE; they accommodate it, which requires some agility. The figure above  shows one week of electricity supply and demand (details and location not particularly important). The green at the bottom is power coming in from wind. The yellow at the top is total demand. The orange in the middle is the gap between the two, the amount that has to be supplied by conventional power plants.
Another way of looking at it: from the perspective of the grid operator, who has control over a set amount of dispatch able power, VRE energy supply is functionally equivalent to reduction in demand — large, rapidly rising and falling fluctuations in demand for dispatch able power.
On the chart above, "shorter peaks" refers to times when conventional plants are supplying the day's "peak load," which is when power is most valuable. VRE reduces or "shaves" the peak, thus screwing with the economics of conventional plants. "Steeper ramps" refers to times when conventional plants have to increase or decrease their output quickly in response to fluctuations in VRE — often more quickly than they are designed or regulated for. And "lower turn-down" means that in times of high VRE supply, conventional plants will have to run at the lowest output they are capable of, i.e., "minimum load." All these effects of variability pose challenges to the rules and economics that govern existing power infrastructure.
2) Uncertainty: The output of VRE plants cannot be predicted with perfect accuracy in day-ahead and day-of forecasts, so grid operators have to keep excess reserve running just in case.
3) Location-specificity: Sun and wind are stronger (and thus more economical) in some places than in others  and not always in places that have the necessary transmission infrastructure to get the power to where it's needed.
4) Non synchronous generation: Conventional generators provide voltage support and frequency control to the grid. VRE generators can too, potentially, but it's an additional capital investment.
5) Low capacity factor: VRE plants only run when sun or wind cooperates. The average capacity factor — production relative to potential — for utility-scale solar PV was around 28 percent; for wind, 34 percent. (By way of comparison, the average capacity factor of   nuclear power was 92 percent; those plants are almost always producing power.) Because of the low capacity factor of VRE, conventional plants are needed to take up the slack, but because of the high output of VRE in peak hours, conventional plants sometimes don't get to run as often as needed to recover costs.
The challenges to integrating high levels of VRE into the grid are technically solvable:
Regional grid integration studies conducted to date have indicated that there is nearly always a technological fix that can be adopted at some cost (e.g., a change in operation or piece of hardware that can be added to the grid). So, simply deploying extremely large amounts of transmission and storage (or some other set of technologies), and modifying the RE generation to maintain system operational parameters could enable 100% penetration of wind and solar. So the VRE carrying capacity of a grid is technically 100 percent, if cost is no issue. But cost tends to be an issue. So NREL posits a difference kind of carrying capacity:
The limit to RE penetration is primarily economic, driven by factors that include transmission availability and operational flexibility, which is the ability of the power grid to balance supply and demand. This limit can be expressed as economic carrying capacity, or the level of variable RE generation at which that generation is no longer economically competitive or desirable to the system or society.
This notion of "economic carrying capacity" clarifies our original question. Technically speaking, we can integrate as much VRE as we want, as long as we're willing to keep spending more money on grid-integration solutions. The question is, at what point is it cheaper, from a total cost-benefit perspective, to resort to low-carbon alternatives to VRE? And wherever that point is, will it still be there when we actually reach it?

Solutions for integrating solar and wind into the grid...
Improved planning and coordination: This is the first step, making sure that VRE is matched up with appropriately flexible dispatch able plants and transmission access so that energy can be shared more fluidly within and between grid regions.
Flexible demand and storage: To some extent, demand can be managed like supply. "Demand response" programs aggregate customers willing to let their load be ramped up and down or shifted in time. The result is equivalent, from the grid operator's perspective, to dispatch able supply. There's a whole range of demand-management tools available and more coming online all the time.
Similarly, energy storage, by absorbing excess VRE at times when it's cheap and sharing it when it's more valuable, can help even out VRE's variable supply. It can even make VRE dispatch able, within limits. (For example, some concentrated solar plants have molten-salt storage, which makes their power available 24 hours a day.)
Flexible conventional generation: Though older coal and nuclear plants are fairly inflexible, with extended shut-down, cool-off, and ramp-up times, lots of newer and retrofitted conventional plants are more nimble — and can be made more so by a combination of technology and improved practices. Grid planners can favor more flexible non-VRE options like natural gas and small-scale combined heat and power (CHP) plants.
Cycling conventional plants up and down more often does come with a cost, but the cost is typically smaller than the fuel savings from increased VRE.
Flexible VRE: New technology enables wind turbines to "provide the full spectrum of balancing services (synthetic inertial control, primary frequency control, and automatic generation control)," and both wind turbines and solar panels can now offer voltage control. 
Interconnected transmission networks:   Wind and solar resources become less variable if aggregated across a broader region. The bigger the geographical area linked up by power lines, the more likely it is that the sun is shining or the wind is blowing somewhere within that area.
Power system planning. Power system planning needs to shift from a conventional methodology where base load, intermediate load and peak load capacity is added to fit the demand curve. A new approach necessitates that capacity be added firstly through VRE sources and then base load, intermediate load and peak load capacity be added, demand shift is also factored into the planning regime.  
Conclusions and Recommendations
Pakistani grid could absorb about 10000 MWs of RE capacity( excluding roof tops, net metering  and isolated grids using  wind or solar) in the next 10 years, but to do that there is need to carry out improvements in the grid system including placing inductive loads that can be switched on by FACT or SVC devices. There is also need to modify the specifications of the wind turbine permitted to be added to the system.  Development of the grid system is the key to enhanced absorption of VRE into the energy mix. Solutions for adding sizeable VRE capacity include: use smart inverters with advanced functionality; mimic synchronous generators; and provide active power, reactive power, voltage, and frequency control.   
 Wind capacity in the Gharo-Jampir wind corridor will depend upon the transmission transfer capacity between the South and North. Wind capacity should also be added in the three other wind zones (In Baluchistan and KP). Solar can and should be added all over the country, perhaps instead of aiming at economy of scale (cost reduction due to size)  more dispersed , smaller plants be installed all over the solar  zone in all Provinces( smaller plants will add to operational issues though, especially under abnormal conditions) ..    

Friday, August 10, 2018

My Dearest Enemy By Javed Rashid


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My Dearest Enemy
By Javed Rashid

My life underwent a drastic upheaval on his arrival. Abu Bakar 's arrival changed my life all together , before his arrival I was the star , life was one great fun . Parents and uncles and grandparents seem to have no other task then to entertain me. My wish was their command. Life was trips to parks, zoos, fun lands and nice foods. There were toys galore, all kind of toys was with me and people seem to have lots of time for me. Those sure were the days. 
My excellent suggestion to my maternal grandfather to leave Abu Bakar at the hospital was sadly ignored. My grandfather wanted to know what we should do with the new baby , and I told him that this tiny little, wining and sleeping thing should be deposited in the garbage can . This excellent suggestion received laughter. Even now this is narrated to all and sundry and never fails to receive lots of laughter; I to this day fail to see the humor in this. Had my grandfather acted on my brilliant advice my life would have been much better than it is now
The first thing that Abu Bakar did was to hog mum's time, she was busy almost the whole day in feeding him or burping home or cleaning him. He seemed very anti social to me , slept most of the times , but got up after a short sleep , drank milk and was dirty so had to be cleaned and then he went back to sleep . He cried a lot , in all this mother had very little time for me , my needs were sadly ignored , when I got up in  the morning there was no body to look after my needs , sometimes that made my cry , but was fully justified of course  . Father and uncles and grandparents also had that much less time for me , they seem to enjoy the silly things that Abu Bakar did ,  his  first smile or non sense baby talk  received  oodles of ooh's and aha's from all , I could not see what was so likable in the disgusting things that the baby did , but grownups are funny have no understanding of what is beautiful and what is gross . I could say whole sentences but this no longer was found so exciting.  
I  increasing got into trouble on account of Abu Bakar, mother and others would  remind  me ' Bilal do not hit your brother he is so little and would be hurt ', I was only practicing my cricket and if my bat accidentally hit him on the head it should not have been such a big deal , instead mother got angry and yelled at me and everyone else was also not please with me . He is so stupid that he cannot evade the ball that I hurl at him and immediately starts to weep when hit, attracting the wrath of my parents and more sanctions. These days I seem to get into trouble all the time, every insignificant scratch that Abu Bakar gets because he is unable to anticipate the path of my cycle or bat or ball results in more punishment for me. People seem to think that I do this deliberately, but it happens and when it does happen it does not seem so bad to me though.

Oddly for all these troubles that he has caused me I get angry when someone else hurts him or calls him names. The  barber who cut my  hair was praising me when he said that Abu Bakar is a sissy little boy , since Abu Bakar ,as was usual with him , was crying at the slightest pretext , I on the other hand did not weep at all , did I did not like and told this barber guy that my little brother was not stupid or sissy , he is just a baby . Someone reminded me that I also wept when I was little, when my hairs were cut, some people have long memories and remember useless details and also do not know when to keep quiet and when to speak. Grownups have no sense of proportion and propriety at all.  
My other problem with Abu Bakar has been that he is never interested in the activities that I am , if I play cricket , he is fond of foot ball , if I like cars he prefers aero planes . Seems he is interested in things that I do not like. Toys that should have been mine are given to him, this I control by not allowing him to play with any toy mine or his , he in any case destroys toys and has no sense of how to use these toys , therefore I keep all these to myself, sometimes I am forced by mother to share these toys so I give him a few of the toys to play but I get these back as soon as mother is off to do something else . 


Thursday, August 9, 2018

Inadequate exploration of oil and gas and Off Shore oil and gas potential of Pakistan -Off Shore Hydrocarbon Potential of Pakistan


 


 Inadequate exploration of oil and gas  and Off Shore oil and gas potential of Pakistan
THE upstream oil and gas exploration sector in Pakistan is significantly off the radar for oil majors. Oil majors are not playing any significant role in the country despite its impressive geology and prospectively. In fact, over the decades,   companies such as Exxon and BP selling off assets and pulling out of Pakistan.
Considering the nature of hydrocarbon exploration, and the mettle of oil and gas executives worldwide, the argument that companies are leaving Pakistan because of the security situation does not make sense, given that oil majors continue to operate in countries like Nigeria (Boko Haram), Iraq (ISIS), Mexico (drug cartels) and central Asian states.
If it were so, one also would not see oil majors making a beeline for frontier oil provinces such as Papua New Guinea and much smaller West African states. Frontier provinces, volatile security and political environments have not tended to deter oil and gas majors from pursuing hydrocarbon reservoirs and riches. However, the bitter truth is that despite amazing geology, Pakistan has pretty much failed to market its upstream sector and is seriously short of both oil and gas while seeking imported oil, natural gas and LNG to satisfy domestic demand.

Key reason for lack of adequate exploration is the fact that half of the natural gas production in Pakistan is undertaken by the two large public sector corporations, OGDCL (Oil & Gas Development Corporation Limited) and PPL (Pakistan Petroleum Limited). These two companies also hold the majority of the exploration leases. Unfortunately, neither OGDCL nor PPL has the project management and technology expertise to rapidly exploit and develop its leases. In this regard, the government should advertise the sale of 26 percent of PPLs equity to an overseas company boasting the management expertise and technological know-how to explore and rapidly develop Pakistans tight and shale gas and oil resources. A strategic investor with 26 percent shareholding in, and management control over, PPL would have the incentive to rapidly increase PPLs hydrocarbon production. PPL is a “compact” company originally owned by the multinational Burmah group of the United Kingdom, and for this reason it is easier to take over in a privatization move. If the divestment experience of PPL is successful, then the government should consider a similar strategic divestment of the larger public sector company, OGDCL,

Exploration Issues
Reasons for decrease in production of oil and gas
1.       Absence if large discoveries
2.       97BCF  average discoveries between 1992 to 2014
3.       Only 12 discoveries of larger than 1 TCF
4.       Crude average 3,4 MMBBL
5.       5 reservoirs of 10 MMBBL or more
6.       Higher finding and developing cost per barrel of oil , these have grown approximately 74% in 2010-14 against 2005-09 due to decline in average discovery size
7.       Concentration of exploration in Potwar and Lower / Middle Sindh. KP and Baluchistan are ignored due to security concerns

8.        inappropriate wellhead pricing structure of indigenous gas
9.       Law and order situation hampering the exploration activities
10.   Shortage of drilling rigs Causing low exploration and development possibilities  and prospect generation,  whereas lack of economies of scale make the international bidder non-competitive
11.   Non-development of dormant gas reserves  because of slow evaluation and appraisal process, litigation , low BTU gas of marginal reserves
12.   Lack of proper monitoring system to review the progress on blocks already awarded for exploration
13.   Highly volatile process if the international market
14.   Inefficient and obsolete refining operation and sub standard oil products
15.   Slow exploration activates in off-shore areas due to high cost , present  off shore density is one well per 1000 sq. km compared to world, average of 9.5 wells per 1000 sq km






Sedimentary basins cover 827, 000km2 including both onshore and offshore, which to date remain under-explored, especially the offshore basins. According to Pakistan Basin Study of 2009, the country has six onshore and two offshore basins; offshore basins being the Indus basin and the Makran basin.  Almost the entire land mass and the offshore areas can possibly have high potential hydrocarbon plays, especially the Abyssal Fan system of the Indus offshore basin.
Abyssal or submarine fan systems constitute underwater structures having huge sedimentary deposition systems over geologic time and are a result of sediment transportation and deposition from continental shelf down on to continental slopes. They are also referred to as turbidity currents and their effects can be amplified through tectonic activity. Abyssal fans are the largest systems through which organic matter, rocks, minerals gets transported from land to sea and possess huge potential for hydrocarbon and gold exploration. Given this context, the Indus offshore basin, primarily a rift basin, is the second largest submarine fan system in the world after the Bay of Bengal and ought to contain various high probability hydrocarbon plays based on analogues. Tthe oil producing Mississippi fan (Gulf of Mexico), Amazon fan (offshore Brazil), Niger fan (offshore West Africa), Congo fan (offshore Angola) among others are prolific producers and analogous to offshore Pakistan being primarily Abyssal or Submarine fan systems, though much smaller in size.
The total recoverable reserves of natural gas as per brochure on Ministry of Petroleum website are given at 53.354TCF (trillion cubic feet), while remaining reserves are stated as 23.18TCF. The Economic Survey 2013-14 and Economic Survey 2014-15 state current gas reserves at 492bn cubic meters translating in to gas reserves of 17.3TCF (excluding shale).
As a contrast, the potential of submarine fan systems can be gauged from the fact that in place resource at the deepwater block in Bengal fan that contains the Dhirubhai discoveries initially stood at 25 TCF, essentially indicating that one find in the largest submarine fan in the world (Bengal) has a resource base greater than all remaining conventional gas reserves of Pakistan. This should get some bells ringing both at regulatory and commercial levels. The potential for hydrocarbon exploration and discoveries in the Indus offshore basin is huge, however, given the huge size of the basin itself, this will require intensive evaluation and commitment of capital. The 12 or so odd wells that have been drilled so far in Indus basin do not do justice to the hydrocarbon potential within this frontier basin. From a technical perspective, we should also be open to encountering high pressure, high temperature formations.
The Makran Offshore basin has a different geology than the Indus with both separated by the Murray ridge. Makran offshore is an oceanic and continental crust subduction zone with deepwater trenches and volcanic activity. The basin comprises oceanic crust and periodic emergence of temporary mud islands along the coast is strong evidence of huge hydrocarbon deposits. These temporary islands may imply improper sealing mechanisms but do ask for exploration laterally and of adjacent areas.
Makran basin is also a frontier basin with negligible exploration activity, though, a few wells have been drilled which encountered high pressure formations and a blowout in 1956. Analogs to Makran offshore include Cook Inlet, Alaska with a billion barrel oil equivalent reserve profile.
Hydrocarbon exploration has always been a high risk venture, however, given the geology that underlies offshore Pakistan, there is reason to believe in the prospectivity of the region. Based on analogous evidence, one can assume that offshore Pakistan is probably sitting on huge hydrocarbon deposits.
In view of the above discussion, and fiscal regime issues, it is imperative that Pakistani NOCs aggressively, and with an entrepreneurial spirit, start exploring for hydrocarbons in the Indus and Makran basins.
The National Oil Companies (NOCs) will have to take the lead and a strategic stake in offshore Pakistan, before any global oil major shows interest, given the particular business dynamics of the region and opening up of Iranian upstream sector to international market.
 LNG IMPORTS AND THE OIL and GAS POTENTAIL OF PAKISTAN
PAKISTAN has emerged on the international scene as a significant importer of liquefied natural gas (LNG). As of 2017, Pakistan was the sixth largest LNG market in Asia with imports of 4.6 million tonnes accounting for 1.6 per cent of global imports. Moreover, Pakistan added one out of five re-gasification terminals commissioned internationally by adding a floating storage re-gasification unit (FSRU) to its supply chain.

The nation has opted for imported LNG to plug energy gaps despite being host to the second largest submarine basin in the world with potentially huge but undiscovered oil and gas reservoirs. It makes sense to gain some perspective on the LNG industry to enable optimised decision-making locally. The details of the off shore potential is discussed above .

 Over the last couple of decades, three main markets for LNG have emerged: Asia Pacific, Europe and North America/Atlantic. Asia Pacific is the largest LNG market with Japan, China and South Korea among the largest importers. Proper commercial structuring, at both export and import stages, is extremely critical and underpins the success of any LNG project over the long term. To put things in perspective, approximate costs of Chevron`s Gorgon project and Inpex`s Ichthys project are $54 billion and $35bn, respectively. Over the years, three basic commercial structures have evolved in LNG trade with hybrids in between.These main structures are integrated, tolling and merchant structures and apply to both liquefaction and re-gasification facilities.

As Pakistan has opted for LNG imports to meet energy shortages exacerbated due to a lack of timely action on our part, it would make sense to see what resource potential Pakistan has in a region that consti-tutes the largest LNG market in the world (73pc global share).

Natural gas constitutes approximately 25pc of global primary energy demand and is growing as the world moves towards cleaner fuels. Moreover, Pakistan has the second largest submarine fan system in the world (Indus basin) with up to 10 kilometers of sediment accumulation. Such accumulations are recognized for huge offshore oil and gas reservoirs worldwide. Pakistan is also blessed with the Makran offshore basin, which is an oceanic and continental crust subduction zone with deep water trenches and volcanic activity. Therefore, we can assume with a high degree of probability that Pakistan potentially has huge offshore oil and gas deposits waiting to be discovered. We are also closer to main LNG markets than Qatar, which happens to be the largest LNG exporter in the world with 27pc market share.

 Perhaps the LNG imports could be stop gap measures and in the breathing sace provided by these imports we put our house in order and attempt o dosciver oil and gas indicated in the off shore potential indicated above.
 However, this is a long-term endeavour, potentially spread over the next 20 years or so, fraught with financial and commercial risks, requiring new thought paradigms and a changed risk perspective. But big oil and gas was never a business for the risk averse. A small first step towards realising this vision could be revisiting the fiscal and regulatory regime for the upstream exploration and production sector in view of changing energy markets.   

NEW OIL AND GAS FINDS AROUND THE CORNER
  ExxonMobil has indicated that it is close to hitting huge oil reserves near the Pak-Iran border, which could be even bigger than the Kuwaiti reserves. Addressing business leaders at the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), the minister said that ExxonMobil — an American multinational oil and gas company — has so far drilled up to 5,000 meters close to the Iranian border and is optimistic about the oil find.  

1.      Offshore Drilling: Jan., 13, 2019: after a gap of nine years, offshore drilling to find estimated huge oil and gas deposits in ultra-deep waters at an estimated cost of over $100 million begins. The US firm ExxonMobil, in collaboration with Italian firm Eni Pakistan Limited, is drilling in ultra-deep waters some 280 kilometers away from Karachi coast.“Eni Pakistan has estimated nine trillion cubic feet gas deposits ExxonMobil expects oil deposits there.” They are drilling Kekra-1 well in Indus-G block, which is located some 280 kilometers away from the Karachi coast. Pakistan meets around 15-20% of its energy needs through local oil and gas exploration and production, while the rest is met through expensive imports. The oil and gas imports cost Pakistan around one-fourth of the total import bills per year. The country has emerged as one of the largest gas (liquefied natural gas) importers in the last couple of years at the world level.