Pakistan’s OGDCL plans output boost as LNG supply risks rise

A general view shows the headquarters of the Oil and Gas Development Company (OGDCL) in Islamabad on June 20, 2023. (AFP/File)
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Updated 04 March 2026
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Pakistan’s OGDCL plans output boost as LNG supply risks rise

  • OGDCL plans to raise gas output 5 percent and boost crude oil production 14 percent amid supply concerns
  • Pakistan considers cutting LNG regasification as Qatari cargo disruptions raise supply risks

KARACHI: Pakistan’s state natural gas producer OGDCL is preparing to raise output for the ​first time in recent years as the ongoing conflict in the Middle East choked supply, its managing director said.

High electricity tariffs and rapid rooftop solar adoption have reduced demand for natural gas ‌in recent ‌years, forcing Pakistan to ​renegotiate ‌long-term ⁠liquefied ​natural gas (LNG) import ⁠contracts with Qatar and domestic producers to cut output.

On Monday, Qatar halted LNG production after Iran targeted the country following the US-Israeli strikes over the weekend. Here are ⁠the new developments:

* OGDCL aims ‌to raise ‌natural gas output by ​5 percent to ‌865 million cubic feet per day.

* ‌The company also plans to boost crude oil production by 14 percent to 40,000 barrels per day, as the conflict ‌has disrupted shipping through the crucial Strait of Hormuz.

* OGDCL’s ⁠Managing ⁠Director, Ahmed Lak, emphasized potential further increases with new discoveries. “This potential can be fully monetised subject to offtake by the buyers,” Lak said.

* Pakistan is exploring the option of reducing LNG terminal regasification due to undelivered Qatari cargoes, industry sources said.

* The move could ​relieve pressure on ​Pakistan’s foreign exchange reserves, sources added.


Pakistani Taliban announce fresh offensive amid Islamabad-Kabul conflict

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Pakistani Taliban announce fresh offensive amid Islamabad-Kabul conflict

  • Pakistan has witnessed a surge in militancy in recent months and blames it on TTP, or the Pakistani Taliban, which operates in Pakistan, Afghanistan
  • The announcement of fresh offensive raises spectre of more violence in Pakistan’s border regions, further intensity in Pakistan-Afghanistan clashes

ISLAMABAD: The Tehreek-e-Taliban Pakistan (TTP), or the Pakistani Taliban, have announced a fresh offensive against Pakistan, the militant group said on Friday, amid an ongoing conflict between Islamabad and Kabul over a surge in militancy in Pakistan.

Pakistan has witnessed a surge in militant violence in recent months and blames it on the TTP, or the Pakistani Taliban, which operates both inside Pakistan and from Afghan territory. Islamabad accuses Afghanistan’s Taliban government of providing safe havens for the TTP, which Kabul denies.

The neighbors have clashed along the frontier since last Thursday, when Afghanistan launched a border offensive in retaliation for Pakistani air strikes. Islamabad has hit back along the border and with fresh air strikes, bombing multiple sites including the former US air base at Bagram, the capital Kabul and the southern city of Kandahar.

“Tehreek-e-Taliban Pakistan announces the beginning of its annual military campaign titled ‘Operation Nasir’,” the group said, without sharing any operational details.

The Pakistani government did not immediately respond to the announcement, which has raised the spectre of more violence not just in Pakistan’s western regions bordering Afghanistan, but also of further intensity in clashes between the neighbors.

At least 42 civilians have been killed and 104 wounded since Feb. 26, when Kabul launched border offensive, the UN mission in Afghanistan reported this week.

Islamabad is yet to comment on civilian casualties and said its troops have killed more than 460 Afghan soldiers. Afghanistan estimated Pakistani fatalities among troops at around 150. Casualty claims from both sides are difficult to verify independently.

On Thursday, the UN refugee agency said more than 100,000 Afghans and thousands of Pakistanis have been forced from their homes by fighting along their shared border.

“The situation in Afghanistan and Pakistan remains tense amid active conflict along the border, with reports of internal displacement in both countries,” UNHCR said, warning that “an estimated 115,000 people in Afghanistan and around 3,000 people in Pakistan” have been displaced.