Sui Development, Production Lease: PPL, Balochistan govt sign MoA

KARACHI/SUI,DERA BUGTI: Pakistan Petroleum Limited (PPL) and the Government of Balochistan (GoB) have reached a significant milestone by signing a Memorandum of Agreement (MoA) — a crucial step towards the execution of the Petroleum Concession Agreement (PCA) for the Sui Development and Production Lease (D&PL).

The signing ceremony, held at Sui, District Dera Bugti, was graced by Chief Minister of Balochistan, Mir Sarfraz Bugti as the Chief Guest, alongside the Federal Minister for Planning, Development & Special Initiatives Ahsan Iqbal, Senator Shahzaib Durrani, Senator Danesh Kumar, senior government officials, dignitaries, and key stakeholders.

The Managing Director and Chief Executive Officer of PPL, Imran Abbasy and Secretary Energy Department, Government of Balochistan, Muhammad Dawood Bazai, formally signed the agreement on behalf of their respective entities.

Under this landmark agreement, PPL will contribute approximately Rs. 60 billion to the Government of Balochistan in the form of Lease Extension Bonus, Production Bonus, and Social Welfare Obligations.

In a significant move, PPL presented the first tranche of Rs 36 billion to the chief minister of Balochistan, with the remaining disbursements scheduled for March and May 2025.

As a company deeply committed to corporate social responsibility (CSR), PPL has invested approximately Rs. 13.76 billion in Balochistan over the past decade, including an allocation of Rs. 2.72 billion in 2023-24 alone. These contributions span across critical areas such as education, healthcare, infrastructure, free gas and water supply, and community development initiatives.

Recognizing the fundamental needs of the people of Sui, PPL has been providing essential utilities free of cost, delivering gas worth Rs. 7.4 billion and water worth Rs. 1.7 billion over the past ten years.

Currently, PPL supplies 4 MMscfd of gas and over 2 million gallons of water per day to the residents of Sui, ensuring improved living conditions for the local community. Additionally, PPL has generated employment for approximately 1,500 individuals in Sui, with nearly 1,200 belonging to the local population.

The MoA underscores PPL’s dedication to sustainable development, aiming to enhance the quality of life in Dera Bugti through structured initiatives outlined in the D&PL agreement.

Beyond gas and water provisions, PPL will extend educational scholarships to students from Dera Bugti and facilitate technical and vocational training for engineers and diploma holders through the Balochistan Technical and Vocational Training Authority (B-TEVTA).

Further, PPL will actively engage in healthcare and educational infrastructure rehabilitation in District Dera Bugti, in close collaboration with the Government of Balochistan.

This MoA reflects PPL’s unwavering commitment to social responsibility and reinforces its mission of uplifting marginalized communities. By fostering socioeconomic development, capacity-building, and essential service provision, PPL continues to play a pivotal role in driving progress and prosperity in Balochistan.