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...increases while those hydel decreased as compared to the last year. Coal production has always been under reported. This year, the Government of Sindh has revised their production data and has reported double production as compared to the past year. Therefore, increase in coal supplies does not necessarily imply that production has increased rather it could be linked to improved reporting system in Sindh. The share of natural gas in primary energy supplies during 2004-05 reached upto50.4% followed by oil29.4%, hydro electricity 11.0%, coal 7.6%, and nuclear electricity 1.2% and LPG 0.4%.
Oil and gas production showed positive growth during the year and the oil production increased by 7% from 61,774 to 66,079 barrels per day while natural gas production increased by 11.8% from 3,295 to 3,685 million cubic feet per day. However, the drilling activity, particularly exploratory drilling has slowed down during the last two years i.e. 2004-05 and 2003-04; only 19 exploratory wells were drilled during 2004-05 as compared to 29 during 2003-04 and 32 during 2002-03. The number of development wells drilled during 2004-05 was 28 as against24 during 2003-04 and 45 during 2002-03. In all, 12 discoveries of gas/condensate were made including 5 from exploratory wells spudded in 2003-04 and 7 from wells spudded in 2004-05. Imports of oil increased by about 7% while the cost of oil imports increased by 48% due to rising international oil prices. Import of furnace oil more than doubled during 2004-05 as compared to 2003-04 but it remained about one-third of the level of 2002-03. The increase in furnace oil import could be attributed to decreased hydel generation (about 1,270 GWh less than last year). Import of HSD decreased by about6% over last year because of more production by local refineries.
After 4 years of decreasing trend, the oil consumption showed an increase of about 9% during 2004-05 over the preceding year. Consumption in power, transport and industry showed increases of 19%, 7% and 3% while consumption in agriculture and domestic sectors decreased by 23% and 17% respectively. Consumption of oil in agriculture (LDO) and domestic sector (kerosene) is declining for last 6 years reflecting electrification of tube wells and provision of gas/LPG to households. Consumption of furnace oil in cement industry also dropped by about 15% from 296,605 tonnes in 2003-04 to 250,428 tonnes in 2004-05 as a result of the availability of additional gas to this industry.
Natural gas consumption increased by 10.4% during 2004-05; main increase was in power sector (103...
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