⚡ Flash Summary

Pakistan Petroleum Limited (PPL) has announced the commencement of oil production from the Dhok Sultan-03 well, located in the Attock district of Punjab province, effective November 1, 2025. This production is under an Appraisal/Extended Well Testing (EWT) arrangement. PPL operates the block with a 75% working interest, in partnership with Government Holdings Private Limited (GHPL), which holds the remaining 25%. The arrangement allows for a potential ramp-up to 1,400 barrels of oil per day, 2.5 MMscfd of gas, and 15 tons of LPG per day.

📌 Key Takeaways

• 🚀 Production Commences: Oil production begins at Dhok Sultan-03 well effective November 1, 2025.
• 📍 Location: The well is situated in the Attock district, Punjab Province.
• 🤝 Partnership: PPL operates the block with a 75% working interest.
• 🏢 Joint Venture: Government Holdings Private Limited (GHPL) holds the remaining 25% interest.
• 📈 Production Potential: Ramp-up potential includes up to 1,400 barrels of oil per day.
• 🔥 Gas Production: Potential gas production of 2.5 MMscfd per day.
• ⛽ LPG Production: Potential LPG production of 15 tons per day.
• 🛢️ Oil Handling: Oil is handled at the Dhok Sultan Oil Handling Facility.
• 🏭 Gas Processing: Gas is transported to Meyal Gas Processing Facility.
• 🏭 Oil Sales: Oil is being sold to Attock Refinery Limited (ARL).
• ⛽ Gas Sales: Gas is being sold to Sui Northern Gas Pipelines Limited (SNGPL).
• 💰 Revenue Impact: Expect a positive impact on PPL’s revenue due to increased production.
• 🌍 Energy Security: The production contributes to reducing the energy supply-demand gap.
• 💸 Foreign Exchange: It helps conserve foreign exchange through indigenous hydrocarbon production.
• 📜 Regulatory Compliance: Information submitted in compliance with regulatory requirements.

🎯 Investment Thesis

BUY. The commencement of production from Dhok Sultan-03 presents a positive catalyst for Pakistan Petroleum Limited (PPL). The potential ramp-up in oil, gas, and LPG production should boost revenue and cash flow. The company’s strong working interest of 75% in the block ensures significant benefit from increased production. PPL is undervalued compared to peers. Price target: PKR 120, Time horizon: 12 months.