Maintenance shutdown of Qadirpur gas field – Alfalah Securities Limited

Karachi, July 04, 2012 (PPI-OT): The Annual Maintenance Shutdown of Qadirpur gas field is planned from July 13 to July 23 due to which SNGP is expected to face gas shortfall of 70 mmcfd.

According to Alfalah Securities Limited, Qadirpur gas field is currently producing around 490 mmcfd gas and is owned and operated by OGDC. The shortage of gas is most likely to affect the fertilizer sector companies operating through the SNGP network since recently; Economic Coordination Committee of the Cabinet has amended the 2005 Natural Gas Allocation and Management Policy to make available maximum gas supply to the power sector. Therefore, Alfalah Securities Limited believes that the scenario accounts for a positive stance on Power sector companies like KESC while a cautious stance on the fertilizer sector companies on SNGP network like ENGRO, DAWH.