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Pakistan Petroleum Ltd Denies Building Artificial Island

5 min read
Legal Expert
Pakistan Petroleum Ltd Denies Building Artificial Island
Pakistan Petroleum Ltd (PPL) has refuted international media reports claiming the company is reclaiming land from the sea to build an artificial island for oil and gas exploration near Sujawal, Sindh. In a statement issued on Thursday, the state-owned energy firm clarified that its current activities are aimed at enabling safe drilling operations in a challenging, marshy environment, not at constructing a standalone offshore island. The clarification follows a Bloomberg report citing PPL’s General Manager Exploration and Core Business Development, Arshad Palekar, which suggested the company was creating an artificial island about 30 kilometers off the Sindh coast. PPL called the coverage “misleading” and said it did not accurately reflect the technical scope or design of the project. According to PPL, the project is located in the southern marshy region of the Sirani Block, an area previously left unexplored due to difficult operational and accessibility conditions. The company said initial drilling is scheduled for March 2026, following the successful acquisition of 2D and 3D seismic data using specialized transition-zone equipment. Construction is underway to support the drilling effort, including the development of loading and offloading jetties and an access road linking the jetty to the well site. Both the road and the well pad are being elevated by about nine feet to withstand tidal fluctuations and ensure operational continuity. The well site is approximately 30 kilometers from the mainland, with a 17-kilometer natural water channel being used to transport rig equipment and materials by barge. Pakistan’s offshore drilling sector has seen renewed momentum after a July social media post by former US President Donald Trump highlighted the country’s “massive oil reserves.” Since then, the government has awarded new exploration licenses to PPL, Mari Energies Ltd, and Prime International Oil and Gas Company.
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Written by the expert legal team at Javid Law Associates. Our team specializes in corporate law, tax compliance, and business registration services across Pakistan.

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