Sindh CM, Federal Petroleum Minister discuss Hidan Block, gas fields, energy cooperation

KARACHI, Aug 28 (APP): Sindh Chief Minister Syed Murad Ali Shah and Federal Minister for Energy (Petroleum Division) Ali Pervaiz Malik on Friday held a comprehensive meeting to review important energy-sector issues affecting Sindh, including the grant of the Hidan Block to Sindh Energy Holding Company Limited (SEHCL), allocation of stranded and dormant gas fields, gas supply from the Soho and Kandhkot fields, and pending matters relating to Sui Southern Gas Company (SSGC).

The meeting, held at the Chief Minister House, was attended by Principal Secretary to the Chief Minister Agha Wasif and Secretary Energy Shuhab Ansari. Secretary Petroleum Hamid Yaqoob Sheikh, Additional Secretary Petroleum Zafar Abbas, Managing Director SSGC Amin Rajput, and Managing Director Pakistan State Oil (PSO) Jawad Ahmed Cheema also attended the meeting.

During the meeting, the Chief Minister underscored the need for timely federal decisions on several long-pending matters, stressing that Sindh’s energy resources must be leveraged effectively to support industrial growth, employment generation, energy security and economic development.

Grant of Hidan Block

A major focus of the discussion was the Hidan Block (2767-3), for which Sindh Energy Holding Company Limited submitted an application in February 2025 under the Council of Common Interests (CCI) decisions and the Petroleum Exploration and Production Policy 2012.

The Chief Minister pointed out that despite repeated correspondence from the Energy Department, the Chief Minister’s Office and the Directorate General Petroleum Concessions (DGPC), the matter remains pending.

Murad Ali Shah said Sindh had fulfilled all procedural and legal requirements and was entitled to the block under the existing policy framework. “Sindh has completed all formalities and has a clear policy-based right to the Hidan Block. An early decision will enable the province to contribute more effectively to the national energy landscape and attract further investment in the sector,” he said.

Allocation of Stranded and Dormant Gas Fields

The Chief Minister also sought federal support for the allocation of stranded and dormant gas fields to Sindh for industrial utilisation.

He noted that the provincial government had repeatedly advocated for the productive use of untapped gas reserves to strengthen industrial activity and improve energy availability for businesses.

“Industries across Sindh are facing significant energy constraints. Bringing stranded and dormant gas reserves into the economic stream can provide immediate relief to industry, create jobs and stimulate economic growth,” he said.

Gas supply

Murad Ali Shah raised the issue of gas allocation from the Soho discovery in Sujawal Block and surplus gas available from the Kandhkot Gas Field.

Referring to Article 158 of the Constitution, he emphasised that provinces producing natural gas should receive priority in its utilisation.

“Sindh is the country’s largest gas-producing province. Constitutional provisions regarding priority utilisation of gas by producing provinces must be implemented in both letter and spirit. Timely allocation from the Soho and Kandhkot fields will help address energy shortages and support industrial expansion,” he said.

Federal Minister for Energy Ali Pervaiz Malik acknowledged the significance of the issues raised by the Sindh Government and appreciated the province’s proactive engagement on energy matters, a communique said.

The meeting also reviewed two important issues relating to Sui Southern Gas Company.

The first concerned the proposed lease of government land at Gadap, Karachi, for the establishment and regularisation of SSGC’s Khadeji Base Camp. The Chief Minister was informed that the provincial Energy Department had already issued its no-objection after conducting a site inspection, while further action awaits a joint visit by the Deputy Commissioner Malir and departmental representatives.

The second issue related to SSGC’s request for an updated list of notified rural and urban areas in Sindh following the Federal Government’s decision to relax the moratorium on new gas connections.

The Chief Minister directed all relevant provincial departments to expedite pending procedural requirements and ensure swift resolution of both matters. “Administrative processes should not become obstacles to projects that directly benefit citizens and improve public service delivery. All concerned departments must coordinate closely to resolve outstanding issues without delay,” he directed.

“The Petroleum Division fully recognises the importance of these issues for Sindh and for the national economy. We will examine each proposal carefully and work with the provincial government to arrive at practical and mutually beneficial solutions,” Federal Minister said.

The minister reiterated the Federal Government’s commitment to strengthening cooperation with provinces and ensuring the efficient utilisation of the country’s energy resources.

Concluding the meeting, Chief Minister Syed Murad Ali Shah emphasised that close federal-provincial coordination was essential for unlocking energy resources, promoting industrial growth and enhancing national energy security. He expressed confidence that the issues discussed would move forward through constructive engagement and timely decision-making