ADNOC Acquires 60% Stakes in Offshore Block: Mari
Staff Report
Islamabad: In Abu Dhabi Block, ADNOC has exercised its option to acquire maximum stake of 60%. The remaining 40% is with Pakistani consortium now. The development phase operatorship is held by ADNOC and accordingly the numbers will revisited/reworked. Once the numbers are shared by ADNOC, they will be made public.
Mari Reports 42% Decline in Earnings
Mari Energies Limited (MARI) held its Corporate Briefing Session today to discuss the performance and future outlook of the company.
Production from the Shewa field (Waziristan Block) commenced on March 23, 2025. The field has a maximum potential of 70mmcfd of gas, while current output stands at 50mmcfd. The flows are lower than potential due to the curtailment of gas by sui companies.
The management did not comment on the expected flows from Spinwam-1, stating that a field development plan would need to be finalized first. However, the company’s presentation indicates estimated reserves of 0.8 TCF of gas from the field.
The company commented on the impact of the PEF project in collaboration with fertilizer companies, highlighting that the volumes from MARI HRL can be expected to sustain at current levels for a reasonable period of time. However, no specific volume levels from were provided.
Currently the company does not plan on negotiating the pricing formula on the base volumes of Mari Deep and HRL, however it may do so in the future if the case warrants merit.
Regarding Mari Minerals, the management stated that surveys have been completed but drilling has been delayed due to security concerns in the KPK and Balochistan regions.
Management highlighted the key operational challenges, which include: (1) security concerns, (2) circular debt, (3) gas curtailment, (4) limited availability of technology and suppliers, and (5) issues related to letters of credit (L/Cs) and foreign exchange.
MARI holds a 60% stake in Sky47 Limited; a company focused on data, cloud computing, and technology. A 5 MW data center is currently under construction in Islamabad, and the management aims to operationalize at least one center by 2025.
Total 15 wells have been spudded in FY25; 2 Exploratory Wells (Soho-1 and Ghazij CF-A1), 2 Appraisal Wells (Ghazij-6 and Shawal-2), 9 Development Wells (2xHRL Horizontal wells, 3xGhazij Wells, Bhitai-6, MD-23, ZS-5 and Bolan East-2), and 2 Water disposal Wells (WDW-4 and WDW-5).
During 9MFY25, YoY production, sales and net profit declined 2%, 7% and 10% respectively, mainly due to the gas curtailment issues and the additional 15% royalty charge.