Universal Gas Distribution to purchase up to 17.5 MMscfd from the Spinwam gas discovery, subject to regulatory approvals.
KARACHI: Mari Energies Limited has awarded a contract for the sale of natural gas from its Spinwam Gas Discovery in the Waziristan Block, marking a significant milestone towards the commercial development of the field.
In a material information notice submitted to the Pakistan Stock Exchange (PSX) on Monday, the company announced that it had issued a Letter of Award to Universal Gas Distribution Company (Pvt) Ltd following the successful completion of a competitive bidding process.
Up to 17.5 MMscfd gas supply
According to Mari Energies, the contract follows an invitation to bid published on May 15, 2026, for the purchase and sale of natural gas from the Spinwam Gas Discovery.
Under the Letter of Award, Universal Gas Distribution Company will purchase up to 17.5 million standard cubic feet per day (MMscfd) of natural gas from the field.
The company stated that both parties will now pursue the required regulatory and statutory approvals in accordance with the Framework for Sale of Gas to Third Parties, notified through S.R.O. 11(I)/2025 dated January 7, 2025.
Waziristan Block joint venture
Mari Energies is the operator of the Waziristan Block in Khyber Pakhtunkhwa, where it holds a 55% working interest in the exploration licence.
The remaining participating interests are held by:
• Oil and Gas Development Company Limited (OGDCL): 35%
• Orient Petroleum Inc.: 10%
The joint venture has been working to develop the Spinwam discovery as part of efforts to increase domestic natural gas production and reduce reliance on imported energy.
Step towards commercial production
The award of the gas purchase contract represents an important step in the commercialisation of the Spinwam Gas Discovery. Once the necessary approvals are obtained, the agreement is expected to enable the commencement of gas supplies under Pakistan’s third-party gas sales framework.
The development is also expected to support the government’s broader objective of enhancing indigenous energy production, improving energy security and encouraging private-sector participation through market-based gas sales mechanisms.
The commercialisation of the Spinwam discovery is anticipated to contribute to the more efficient utilisation of domestic hydrocarbon resources while strengthening supplies to the country’s energy market.