TPL Properties Discovers Gas Pocket in Karachi

TPL Properties Limited (PSX: TPLP) has reported the discovery of an underground gas pocket during a preliminary site investigation at its Korangi Creek development. The gas was encountered while drilling a test well for water exploration. According to initial technical assessments and independent industry experts, the gas is likely shallow biogenic methane, a naturally occurring form of gas produced from organic material decomposition. As the area is not part of a known natural gas reservoir, the gas pocket is expected to dissipate naturally over time if the flame is allowed to burn. Authorities have sealed off a plot in Korangi Creek where a fire has been burning for six consecutive days after a construction company’s tube well drilling released methane gas. Despite the presence of fire tenders, the operation was halted due to high temperatures. The Sui Southern Gas Company (SSGC) confirmed no installations are near the site, while Pakistan Petroleum Limited (PPL) is monitoring the fire’s impact on the gas supply. TPLP clarified that the discovery was part of ongoing studies conducted over the past two years to ensure responsible development. These assessments, carried out with leading national and international consultancy firms, include geotechnical studies, soil contamination tests, Electrical Resistivity (ER) surveys, and a comprehensive Environmental and Social Impact Assessment (ESIA). TPL Properties emphasized that all field investigations, including a recent hydrological study, were conducted with the necessary regulatory approvals. The company reaffirmed its commitment to transparency, safety, and sustainability in its projects. Following the incident, which occurred late on Friday, March 28, 2025, the company stated that it has taken all necessary measures to contain the situation and has kept stakeholders informed through timely press releases.