The Ministry of Energy on Friday announced the results of the Offshore Bid Round 2025, a major initiative to boost petroleum exploration in Pakistan after an 18-year hiatus. The round offered 40 offshore blocks, with potential investments estimated up to USD 1 billion through exploration drilling.

The Offshore Bid Round 2025 offered 40 offshore blocks for petroleum exploration. Bids were submitted for 23 blocks, covering an area of approximately 53,510 square kilometers. According to the Petroleum Division, this response reflects “strong investor confidence” in Pakistan’s resource potential.

The bidding process, launched in January, aims to support the government’s broader objective of enhancing energy security and developing domestic hydrocarbon resources.

To provide clarity and attract investors, the Ministry developed a Model Production Sharing Agreement (MPSA) and promulgated new Offshore Petroleum Rules ahead of the bid round. Officials said these measures were designed to ensure transparency, competitiveness, and regulatory certainty for participating companies.

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A recent basin study by US-based consultancy DeGolyer and MacNaughton (D&M) had suggested substantial unexplored hydrocarbon potential in Pakistan’s offshore basins, particularly across the Indus and Makran regions. Building on those findings, the government invited companies to explore a range of geological prospects in the area.

The bids were opened publicly on October 31 by the Bid Opening Committee, chaired by the Director General Petroleum Concessions, with representatives of Sindh and Balochistan also in attendance.

Among the bidders are state-owned companies OGDCL, PPL, MariEnergies and Prime Energy. They will be joined by international and private-sector partners, including Turkish Petroleum, United Energy, Orient Petroleum, and Fatima Petroleum.

A total of 4,427 work units have been committed for Phase-I of the initial three-year licence period, amounting to planned spending of about $80 million. During this phase, companies will carry out extensive geological and geophysical studies, including seismic data acquisition and interpretation.

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If initial findings are promising and exploration drilling proceeds, total investment during the program could rise to between $750 million and $1 billion, according to the ministry.

In a notable development, Türkiye’s national oil firm, TPAO, has recently taken a 25% stake and operatorship in Offshore Block-C, signalling what officials described as “growing international interest” in Pakistan’s offshore potential.

The ministry said plans are in place to invite major global oil companies to participate in subsequent phases, once seismic work and drilling plans from Phase-I are completed.

The statement concluded that the Offshore Bid Round marks a significant step toward realising the government’s goal of expanding domestic energy resources and reducing reliance on costly fuel imports.