OGDCL Achieves Highest Ever Quarterly Dividend in Company’s History
ISLAMABAD: The Board of Directors of Oil & Gas Development Company Limited (OGDCL) convened on Monday, September 23, 2024, in Islamabad, to announce the financial outcomes for the fiscal year ending June 30, 2024.
OGDCL reported net sales revenue of Rs. 463.698 billion, with a post-tax profit of Rs. 208.976 billion, resulting in earnings per share (EPS) of Rs. 48.59. This robust financial performance underscores OGDCL’s dedication to operational excellence in a challenging economic and energy landscape.
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The Board declared a final cash dividend of Rs. 4.00 per share (40%) for the fiscal year ended June 30, 2024. This is in addition to the interim dividends of Rs. 6.10 per share (61%) already distributed to shareholders throughout the year. Notably, the final quarterly dividend of Rs. 4.00 per share marks the highest quarterly dividend in the Company’s history, bringing the total cumulative dividend payout to 101%.
During the fiscal year, OGDCL contributed Rs. 218 billion to the national treasury through taxes, dividends, and royalties.
The Company made five significant hydrocarbon discoveries during the year, enhancing its portfolio. These discoveries occurred in crucial regions across Punjab, Sindh, and Khyber Pakhtunkhwa, reinforcing OGDCL’s focus on expanding its resource base to meet the country’s energy demands.
In terms of production, OGDCL achieved an average daily output of 33,117 barrels per day (BPD) of crude oil, 717 million standard cubic feet per day (MMSCFD) of gas, and 717 metric tons per day (MTD) of liquefied petroleum gas (LPG). Without production limitations imposed by SNGPL and UPL, crude oil output could have reached 33,495 BPD, gas production 771 MMSCFD, and LPG production 736 MTD, indicating potential increases of 1,107 BPD (3.1%), 7 MMSCFD (0.9%), and 16 MTD (2.2%), respectively, compared to last year’s figures. These initiatives have been instrumental in reversing the declining production trend experienced over the past five years, during which crude oil and gas output fell by 20% and 24.6%, respectively.
In addition to its operational achievements, OGDCL made significant strides in production optimization, realizing annual savings of approximately Rs. 34 billion through import substitution.
The Board praised management’s efforts in enhancing the Company’s overall performance, which has greatly contributed to ensuring sustainable growth and energy security for the nation. Key projects, including compression installations at KPD-TAY, Dakhni, and Uch, are progressing well, ensuring uninterrupted supply in line with contractual obligations while upholding the company’s operational integrity.
Furthermore, OGDCL has initiated a diversification project to evaluate the geothermal potential of its fields. The ongoing R&D collaboration with Schlumberger is anticipated to be completed by December 2024, representing a significant advancement toward diversifying the Company’s energy portfolio.
Looking forward, the Company remains dedicated to maintaining operational excellence while exploring new growth opportunities to enhance shareholder value and support Pakistan’s energy requirements.
