KARACHI: Pakistan has officially reopened its offshore oil and gas exploration sector after almost 20 years, marking a major step toward expanding domestic energy resources and attracting investment.
The government signed Production Sharing Agreements (PSAs) and Exploration Licences (ELs) for 23 offshore blocks awarded under the Offshore Bid Round 2025. Federal Petroleum Minister Ali Pervaiz Malik witnessed the signing ceremony.
According to officials, the bid round covered around 54,600 square kilometres in the Indus and Makran offshore basins along the coastal waters of Sindh and Balochistan.
The Ministry of Petroleum said that two blocks were already awarded earlier in December 2025, while the remaining 21 agreements have now been finalized, completing the full offshore licensing framework.
Officials described the development as a key milestone aimed at reviving offshore exploration, boosting foreign and local investment, and reducing reliance on imported energy.
The ministry added that Pakistan’s offshore potential spans approximately 282,623 square kilometres, while only a limited number of exploratory wells have been drilled since independence.
Under the new framework, companies will first conduct geological and geophysical studies, including seismic data acquisition and interpretation during Phase-I. If results are promising, exploratory drilling will follow in Phase-II.
Among participating firms, Mari Energies emerged as the largest stakeholder, while major national energy companies also secured multiple blocks.
The government estimates initial investment at around $82 million, which could rise to nearly $1 billion if drilling progresses to advanced exploration stages.
Authorities also said the companies have committed to supporting social development and capacity-building initiatives in coastal regions of Sindh and Balochistan, with further investment expected if commercial reserves are discovered.
