New oil and gas discovery boosts Pakistan’s energy outlook

A recent oil and gas discovery in Sindh Province adds a new layer to Pakistan’s ongoing pursuit of energy independence. 

The find, located in Khairpur District under the Bitrisim Exploration License, was confirmed in June 2025 and could help reduce the country’s reliance on imported fuel.

The well, Faakir-1, tested with an estimated output of 6.4 million cubic feet of natural gas per day and 55 barrels per day of condensate, according to Argus. 

The project is led by two state-owned firms that hold 95% and 5% interest, respectively. 

This exploration effort is part of a broader strategy to fully exploit Pakistan’s remaining hydrocarbon potential.

A shrinking domestic supply

While this discovery brings optimism, the broader picture reveals the pressure Pakistan faces: crude oil production has declined in recent months, dropping from 68,000 barrels per day in February 2025 to 62,000 in March. 

Historically, Pakistan has struggled to maintain output. Its highest level was 97,000 barrels/day in December 2016, and its lowest was 50,000 in April 1999.

Over the long term (1993–2025), the country has averaged around 68,610 barrels per day, far below national demand. 

What kind of oil does Pakistan produce?

Pakistan primarily produces light to medium crude oil, with relatively low sulfur content. 

This makes it more desirable in the refining process and compatible with both domestic and regional refinery configurations. 

Major producing regions include Sindh, Punjab, and Balochistan, with fields located both onshore and offshore.

Dependency remains high

Despite domestic efforts, Pakistan still imports about 169,000 barrels of crude oil per day, covering nearly 80% of its total consumption. 

The import bill strains national finances, especially during global price spikes or currency depreciation.

Why discoveries like Faakir-1 matter

Even modest discoveries like this one play a role in strengthening energy security. 

Each new well brings incremental production, new reserve potential, and opportunities for investment in supporting infrastructure.

More importantly, they reflect a strategic shift: rather than relying solely on imports or waiting for large-scale breakthroughs, Pakistan is focusing on sustained exploration and better use of local resources.

New oil and gas discovery boosts Pakistan’s energy outlook