OGDC Annual Report
description
Transcript of OGDC Annual Report
INTERNSHIP REPORT
OIL & GAS DEVELOPMENT COMPANY
Date
INTERNSHIP REPORT
OIL & GAS DEVELOPMENT COMPANY LIMITED
Submitted by
Date of Submission
OIL & GAS DEVELOPMENT COMPANY
MUHAMMAD AHMER
february 28, 2009
GOMAL UNIVERSITY
OGDCL
SCHEME OF THE REPORT
1-Chapter 1
Chapter 1 covers the background of the study, purpose, scope, limitations, merits,
methodology and scheme of the study.
2-Chapter 2
Chapter 2 covers the oil industry in Pakistan, history of OGDCL and the organizational
structure comprehensively.
This chapter also presents functions, projects, product line, mission and
objectives, Product and services offered, as well.
3-Chapter 3
In chapter 3, the organizational structure and its structure is discussed comprehensively. More
attention is given to the different departments working in and under OGDCL and how these
departments operate.
4-Chapter 4
This chapter focuses on finance department of OGDCL. It explains the
administration and Finance department and its practices in the organization in detail.
5-Chapter 5
This chapter is all about SWOT analysis in which strength, weaknesses, opportunities and
threats are discussed.
6-Chapter 6
In chapter 6, problems of OGDCL are identified and then on these bases some suggestions
are given keeping in view the current situation of the organization. The effort is directed for efficient
performance
Chapter 4
7-Chapter 7
OGDCL
CHAPTER –1
INTRODUCTION
Prior to OGDCL's emergence, exploration activities in the country were carried out by Pakistan
Petroleum Ltd. (PPL) and Pakistan Oilfields Ltd. (POL). In 1952, PPL discovered a giant gas field at
Sui in Balochistan. This discovery generated immense interest in exploration and five major foreign
oil companies entered into concession agreements with the Government.
During the 1950s, these companies carried out extensive geological and geophysical surveys and
drilled 47 exploratory wells. As a result, a few small gas fields were discovered. Despite these gas
discoveries, exploration activity after having reached its peak in mid-1950s, declined in the late
fifties. Private Companies whose main objective was to earn profit were not interested in developing
the gas discoveries especially when infrastructure and demand for gas was non-existent. With
exploration activity at its lowest ebb several foreign exploration contracting companies terminated
their operation and either reduced or relinquished land holdings in 1961.
1.1 Establishment of OGDC:
To review exploration in the energy sector the Government of Pakistan signed a long-term loan
Agreement on 04 March 1961 with the USSR, whereby Pakistan received 27 million Rubles to
finance equipment and services of Soviet experts for exploration. Pursuant to the Agreement, OGDC
was created under an Ordinance dated 20th September 1961. The Corporation was charged with
responsibility to undertake a well thought out and systematic exploratory programs and to plan and
promote Pakistan's oil and gas prospects.
As an instrument of policy in the oil and gas sector, the Corporation followed the Government
instructions in matters of exploration and development. The day to day management was however,
vested in a five-member Board of Directors appointed by the Government. In the initial stages the
financial resources were arranged by the GOP as the OGDC lacked the ways and means to raise the
risk capital. The first 10 to 15 years were devoted to development of manpower and building of
infrastructure to undertake much larger exploration programmes.
OGDCL
1.2 Initial Successes:
A number of donor agencies such as the World Bank, Canadian International Development Agency
(CIDA) and the Asian Development Bank provided the impetus through assistance for major
development projects in the form of loans and grants. OGDC's concerted efforts were very successful
as they resulted in a number of major oil and gas discoveries between 1968 and 1982. Two oil field
was discovered in 1968 which paved the way for further exploratory work in the North. During the
period 1970-75, the Company reformed the strategy for updating its equipment base and undertook a
very aggressive work programme. This resulted in discovery of a number of oil and gas fields in the
Eighties, thus giving the Company a measure of financial independence. These include the Thora,
Sono, Lashari, Bobi, Tando Alam & Dhodak oil/condensate fields and Pirkoh, Uch, Loti, Nandpur
and Panjpir gas fields which are commercial discoveries that testify to the professional capabilities of
the Corporation.
1.3 PGCL:
A wholly owned subsidiary, the Pirkoh Gas Company (Private) Limited (PGCL) was established in
1982 to undertake development of Pirkoh gas field located in Dera Bugti Agency in Balochistan with
Asian Development Bank assistance.
Transition to a self financing entity
Noting the Company's success, due to major oil and gas discoveries in the eighties, the
Government in July 1989, off-loaded the Company from the Federal Budget and allowed
it to manage its activities with self generated funds.
The financial year 1989-90, was OGDC's first year of self-financing. It was a great
challenge for OGDC. The obvious initial target during the first year of self-financing was to generate sufficient resources to maintain the momentum of exploration and
development at a pace envisaged in the Public Sector Development Programme (PSDP)
as well as to meet its debt servicing obligations. OGDC not only generated enough
internal funds to meet its debt obligations but also invested enough resources in
exploration and development to increase the country's reserves and production.
1.4 OIL AND GAS TRAINING INSTITUTE (OGTI)
The oil and gas development company limited (OGDCL) was set up in 1961 in the public
sector under the ministry of petroleum and natural resources.
1.4.1 Aims and Objectives Of OGTI
The aims and objectives of OGTI are to identify the training needs of the industry, offer
practical training programme to professional of the petroleum industry, provide training advice and
guidance to OGDC and to help established standards for training which will meet the performance
needs in the field and on the job. OGTI is dedicated to:
Establish courses and in-house training programmes which will meet the specific needs of
OGDC and the Pakistan petroleum industry.
Designing training material that recognizes the capabilities and specific needs of newly hired
employees and those who change their job assignment. Providing refresher and upgrade training for
industry personnel in cost effective manner.
Initial Public Offering
Government of Pakistan disinvested part of its shareholding in the company in 2003.
Initially 2.5% of the equity with an additional green-shoe option upto 2.5% of equity was
offered to the general public. The said Offer received an overwhelming response from
the general public and was recorded as a landmark transaction in the history of Pakistan's capital markets.
GDR
In December 2006, the Government of Pakistan divested a further 10% of its holding in
the company. The Company is now listed on the London Stock Exchange since on
December 06, 2006.
Conversion into Public Limited Company
Prior to 23 October 1997, OGDCL was a statutory Corporation, and was known as
OGDC (Oil & Gas Development Corporation). It has been incorporated as a Public
Limited Company w.e.f. 23 October 1997 and is now known as OGDCL (Oil & Gas
Development Company Ltd.).
OGDCL
In-house basic training programmes are being designed and developed to provide a base level of
training which employees require to function in their jobs . OGDC recruits men from all across
Pakistan. The universities and technical schools do not provide the full range of subject matter
necessary for a graduate entering the petroleum industry. It is OGTI’S intention to ensure that the
individual has an opportunity to obtain this training within his first two years with OGDC . In
addition to basic training courses , OGTI will Organizes in-house technology update seminars .
1.5 BACKGROUND OF THE STUDY
Oil industry is a lifeline for an economy. It is a world of oil exploration, oil refining and oil
marketing. Pakistan understands the importance of this industry for its economic uplift. Therefore the
government of Pakistan established OGDCL in 1961. OGDCL is the leading firm providing 23% of
total consumption, saving Pakistan from imports and contributing to economy by paying different
charges to the government.
1.6 PURPOSE OF THE STUDY
This report is based on study carried out for the fulfillment of the degree requirement of the Master
in business administration at the GOMAL UNIVERSITY . The purpose of the study is to do
practical work in field and apply the knowledge of classroom lectures to the real life situations.
1.7 SCOPE OF THE STUDY
The scope of my work is focused on the working of FINANCE DEPORTMENT
Review Section of this report not only explains department’s working but also flow of work activities
among the sections. During the internship it, the observation was focused on internal managerial
matters of OGDCL, i.e. work environment, organization structure, decision-making process,
Finacial metter This research facilitates in SWOT Analysis.
1.8 LIMITATION OF THE STUDY
No matter how efficiently a study is conducted, it cannot be perfect in all respects. This study was
conducted in accordance with the objectives of the study; the study may not include broad
explanations of facts and figures due to the nature of the study. Second: limitation, which affects the
study, is the availability of required data was problem all the documents and files are kept strictly
under lock and key due to their confidential nature. Third: the problem of short time period also
FANANCIAL
OGDCL
makes the analysis restricted as one cannot properly understand and thus analyze all the operations of
an organization just in eight weeks.
1.9 MERITS OF THE STUDY
The study done will benefit the finance students in particular and all type of Management students in
general, because the analysis section of this report comprehensively encompasses all respects of
OGDCL. Furthermore, OGDCL Head office Islamabad may also benefit from the recommendations
made at the end of the report.
1.10 METHODOLOGY OF STUDY
The data collected for analysis and review includes both primary and secondary data. The methods
used for collecting primary and secondary data are as follows:
1.10.1 Primary Data
Data collected for the first time is called primary data. The methods used to collect such data include:
• Personal observations and
• Interview with organization’s employees.
1.10.2 Secondary Data
The data collected earlier by someone else and which has gone through mathematical and statistical
techniques after its collection, is called secondary data. Methods used to collect secondary data
include:
• OGDCL annual reports
• OGDCL brochures
• Internship reports on OGDCL
• Journal and
• Newspaper
• Internet
OGDCL
CHAPTER –2
PRESENT STATUS OF THE COMPANY
2.1 VISION STATEMENT
To be a leading, regional Pakistani E & P Company, recognized for its people, partnerships and
performance.
2.2 MISSION STATEMENT
Our mission is to become a competitive, dynamic and growing E & P Company, rapidly enhancing
our reserves through world class workforce, best management practices and technology and
maximizing returns to all stakeholders by capturing high value business opportunities within the
country and abroad, while being a responsible corporate citizen.
OGDCL Goals & Core Values Core Values Merit Integrity Team Work Safety Dedication Innovation Goals1.ÿFinancial2.ÿTo reduce cost and time over runs to improve financial results
3.ÿTo maximize profits by investing surplus funds in profitable avenues
4.ÿTo make investment decisions by ranking projects on the basis of best economic 5.ÿindicators 6.ÿGrowth and superior return to all stakeholders
7.ÿDouble the value of the company in next five years.
8.ÿCustomers9.ÿImprove the quality of service to make it faster and more transparent
10.ÿQuality, dependability, responsible corporate citizen
11.ÿReliable and efficient company
12.ÿTo provide most reliable supplies to the customers through cost effective means
13.ÿLearning & growth14.ÿTo set up task forces with representation from all relevant departments to 15.ÿimprove internal business decision making and strategic planning
16.ÿExcel in exploration, development and commercialization
17.ÿAvailability of updated information to the shareholders and customers
18.ÿTo use most effective business practices and formulate a framework of synergic 19.ÿorganization with the change in culture
OGDCL
2.5 HISTORICAL DEVELOPMENT OF THE COMPANY
2.5.1 Establishment
The Oil & Gas Development Company Limited (OGDCL) was created under an Ordinance in
1961, to undertake comprehensive exploratory programme and promote Pakistan’s oil and gas
prospects. In 1997, it was converted into a Public Limited Company and is now governed by the
Companies Ordinance 1984.
2.5.2 Development
With a balanced, efficient and competitive structure, OGDCL explores and exploits
indigenous resources for optimum production of oil and gas, besides seeking opportunities abroad.
OGDCL has the largest acreage position in Pakistan and currently operates 17 exploration
concessions and holds non –operated working interest in another 7 exploration concessions. In
addition OGDCL has 35 Mining and Development & Production Leases, which are operated by it
besides having working interest ownership in 28 non-operated Mining and Development &
Production Leases, OGDCL has an extensive database. Services of the Company’s highly qualified
and skilled expertise in the fields of geology and geophysics are frequently availed y the local and
foreign oil companies. It also leases out its drilling rigs to the private sector and carries out seismic
surveys and data processing on contract for these companies on extremely competitive rates.
OGDCL now holds the largest shares of oil and gas reserves in the country, i.e. 48% of total
oil and 37% of total gas reserves. Its percentage share of the total oil and gas production in Pakistan
is 34% and 28% respectively. On the basis of its activities since inception, the company has until
June 30, 2003 and made 59 discoveries with a success ratio of 1:3. OGDCL’s updated estimates for
remaining recoverable oil and gas reserves as on 1st July, 2003, stood at 9.228 billion
standard cubic feet (BSCF) of gas and 164.25 million barrels of oil including company’s share in non
– operated Joint Ventures.
During the last 42 years OGDCL has grown into a technically and commercially viable
organization.
2.5.3 Name & Address of Company
Oil and Gas Development Company Limited (OGDCL). House, Jinnah Avenue, Blue Area,
Islamabad, Pakistan.
Telephone: 051-9209701
Fax No: 051-9209708
OGDCL
Business Development
Initiatives have been taken to enhance OGDCL's business canvas. OGDCL will avail opportunities, to acquire
overseas acreage by buying stakes in existing viable producing fields. OGDCL is also looking into the possibility of
E&P opportunities and joint venture collaborations outside Pakistan, which would include swap of assets for reserves
acquisition with percentage of working interest in international market.
OGDCL with an aggressive business development strategy provides an enabling environment for foreign
participation (either as a JV partner or on a stand-alone basis). The Company is also aiming at fast-track development
of its current and future projects at an aggressive pace without compromising quality and transparency
OGDCL's ordinary shares are listed in Pakistan on the Karachi, Lahore and the
Islamabad Stock Exchanges under the ticker code OGDC. OGDCL also has global
depositary shares listed on the London Stock Exchange under the ticker code OGDC.
London Stock Exchange
Karachi Stock Exchange
DISCLAIMER: The above links to sites of other parties are provided for your
convenience. OGDCL neither reviews and monitors nor has any responsibility for the
contents of these sites, and the fact that OGDCL has provided a link to these sites is not
to be interpreted as an endorsement of, or acceptance of responsibility for their contents.
Share Price Quote
OGDCL
Chapter 3
ORGANIZATIONAL STRUCTURE
3.1 MAIN OFFICES
OGDCL Head Office is situated at Jinnah Avenue, Blue Area Islamabad and Regional
Offices are located in Karachi and Multan. Besides this OGDCL has its Liaison Offices in
Hyderabad, Sukkhur, and Quetta for operational activities. The overall organizational
structure / organogram is as under
A Board of Directors comprising twelve Directors, all of whom are nominated by the
Ministry of Petroleum and Natural Resources, is responsible for policy related issues. The
autonomous Board is headed by a non-executive Chairman and there is a Managing
Director/Chief Executive Officer.
Following are the main offices located throughout Pakistan:
1. OGDCL Head Office, Jinnah Avenue Islamabad.
2. Pirkoh Gas Company Private Limited, Islamabad.
3. OGDCL Regional Office, Shafi Chamber, Karachi
4. OGDCL Regional Office, Multan
5. OGDCL Liaison Office, Quetta
6. OGDCL Liaison Office, Sukkur
7. OGDCL West Wharf Office, Karachi
OGDCL
8. OGDCL Base Store, Islamabad
9. OGDCL Base Store, Khadiji, Karachi
10. OGDCL Base Store, Korangi
11. OGDCL Base Store, Kot Addu
12. OGDCL Base Store, Kot Sarang
13. Medical Centers, Islamabad, Rawalpindi & Karachi
14. OGDCL Workshops, Islamabad
15. Oil & Gas Training Institute, Islamabad.
3.2 MAIN DEPARTMENTS
Corporate Department
1. Administration Department
2. Human Resource Department
3. Personnel Department
OGDCL
4. Security Department
5. Legal / Regulation Department
6. Communication Department
7. Procurement Department
8. Stores Department
9. Finance & Accounts Department
10. Audit Department
E&P Departments
1. Exploration Department
2. Exploitation Department
3. Production Department
4. Process Department
Technical Services Department
1. Drilling Department
2. Data Logging Department
3. Mud Engineering Department
OGDCL
4. Well Services Department
5. Cementation Department
6. Geological Well Supervision Department
7. Engineering Department
8. Wire line Logging Department
9. Geological Department,Data Processing Department
Major Oil & Gas Fields
Tando Alam
Bobi
Dhodak
Fimkassar
Lashari
Missa Keswal
Thora
Sadqal
Toot
Chanda
Daru
Kunnar
Loti
Nandpur
Qadirpur
Sono
Uch
Chak Naurang
Dakhni
Kal
Missan
Pasakhi
Rajian
OGDCL
Chairman
Board of Directors
Managing Director
Company Secretary Chief Staff Off icer
E.D (Admin)
GM
(Admin)
Manager(Admin)
General Managers
E.D (Finance/Accounts)
E.D (Exploration)
E.D (Drilling)
E.D (Corporate
Aff air)
Chief(Admin)
Dy . Chief(Admin)
Sr. AdminOff icers
AdmnOff icers
AdmnSection
Managers
ChiefAccountOff icers
SeniorAccountOff icers
AccountOff icers
Finance/AccountSections
General Managers
ChiefEngineers
SeniorEngineers
JuniorEngineers
Managers
PrincipleEngineers
ExplorationStaff /
Sections
General Managers
Managers
ChiefEngineers
Dy . Chief s(Corporate)
SeniorEngineers
JuniorEngineers
DrillingStaff /
Sections
General Managers
Managers
Chiefs(Corporate)
SeniorCorporate
Off icers
JuniorCorporate
Off icers
CorporateStaff /
Sections
PrincipleEngineers
3.3 Organizational Structure
OGDCL
3.4 COMMENTS ON THE ORGANIZATIONAL STRUCTURE
All policy related issues are dealt by the board of Directors that is headed by a non-executive
Chairman and a full time Managing director. The general direction, policies and affairs of the
Company vests in a Board of Directors, which consists of 01 Chairman, 10 Directors and 01
Managing Director (MD). MD is responsible for operational and other activities. The
OGDCL has been re-organized during the last few years; it now operates much purely as Oil
Company does. Emphasis is on Professional Competence and getting things done. OGDCL
can broadly be divided in to following three companies:
Corporate
Exploration & Production (E& P )
Technical Services
The whole organization has been streamlined on the functional basis and it has
emerged as an efficient unit, while speed and competence are its Hall Mark. It is now divided
into separate departments and each department is in a position to work independent business
unit.
For effective operational activities, different Executive Directors performs following
activities in consultation with General Managers, who are assisted by the concerned
Departmental Managers:
The Executive Director Exploration:
Supervises all the geophysical and geological and exploration activities and is assisted by
different Manager.
Executive Director Drilling:
when a potential oil or gas field has been identified through seismic surveys, it is then drilled
to assess the quality and quantity of the deposits. This process is achieved through drilling.
ED (Drilling) is responsible for all the drilling activities carried out by OGDCL in the
country.
OGDCL
Executive Director Admin:
Responsible for management of personnel. The administration department manages all the
activities from recruitment to training and development.
Executive Director Corporate Affairs:
Looked after the activities of planning of different development programme and monitor the
implementation of that program. It coordinates with all the department of OGDCL and
prepares a strategic plan for the activities of OGDCL. This department also liaison between
OGDCL different Ministries.
OGDCL
3.5 NO OF EMPLOYEES
DOMICILE AND GROUP-WISE SUMMARY
OF OVERALL OFFICIALS
PAY
GROUP
DOMICILE
MeritPUNJAB SINDHURBAN RURAL TOTAL
NWFP BALUC-
HISTAN
FATA AK
TOTAL
IN THE
GROUP
MANAGEMENT CADRE
M-1 0 0 0 0 0 1 0 0 0 1EG IX 0 2 1 0 1 0 1 0 0 4EG VIII 4 3 0 1 11 0 0 0 0 9
EXECUTIVE CADRE
EG VII 3 37 6 1 7 11 1 1 0 60EG VI 12 102 18 13 31 31 10 4 5 195EG V 19 116 36 49 85 28 11 10 5 274EG IV 28 109 29 36 65 34 6 14 6 262EG III 28 178 57 46 103 28 9 7 3 356EG II 22 204 17 39 56 38 7 8 3 338EG I 15 132 28 47 75 18 7 3 2 252TRAINEES 12 69 13 20 33 15 11 8 6 154TOTAL 143 952 205 252 457 205 63 55 30 1905
OVERALL STAFF
OGDCL
PAY
GROUP
DOMICILE
MeritPUNJAB SINDHURBAN RURAL TOTAL
NWFP BALUC-
HISTAN
FATA AK
TOTAL
IN THE
GROUP
NON EXECUTIVE CADRE
16 2 163 49 14 63 22 2 1 5 25815 2 106 12 25 37 20 0 0 5 17014 0 253 58 109 167 58 7 6 13 50413 0 4 2 0 2 1 0 0 0 712 15 623 59 60 119 113 14 5 31 92011 0 1 0 0 0 0 0 0 0 110 4 148 24 56 80 34 6 2 12 2869 3 425 45 67 112 79 20 2 12 6538 5 164 35 95 130 30 11 2 9 3517 0 93 11 16 27 5 8 0 3 1366 3 670 94 166 260 102 50 7 17 11095 0 99 19 9 28 23 5 0 13 1684 0 264 28 79 107 30 63 0 17 4813 0 198 39 31 70 25 29 2 26 3502 0 324 70 220 290 41 128 1 14 7981 0 1392 103 705 808 136 566 2 45 2949TRAINEE 6 27 1 2 3 8 8 0 1 53TOTAL 40 4954 649 1654 2303 727 917 30 223 9194
2.7 FUNCTION OF OIL AND GAS DEVELOPMENT COMPANY
The main functions of the Corporation are:-
a. To plan, organize and implement programmes of exploration of development of oil and as
resources.
b. To carry out geological, geophysical and other surveys for the exploration of oil and gas.
c. To carry out drilling and other prospecting operations to prove and estimate the reserves of
oil and gas.
d. To produce, refine and sale oil and gas
e. To perform other functions as the Federal Government may from time to time assign to the
Corporation.
2.8 PROJETS
2.8.1 QADIR PUR DEVELOPMENT PROJECT
Qadirpur gas field, one of the large fields in the country was discovered in 1990. It is located
in the central Indus basin, south of kandhkot and Sui gas field.
In accordance with the consolidated revised development plan dated 30 November, 2002
phase-II “revamp project” was commissioned on 23 January 2004 to process MMscfd of gas. Under
this plan pretreatment memguard unit and new membrane elements were installed and drilling of one
well was completed.
Phase-III of this project was commissioned on 20 march 2004, by installation of two
additional membrane skids and drilling of two wells. Due to this expansion the capacity of plan has
increased to process gas up to 500 MM.
2.8.2 CHANDA DEVELOPMENT PROJECT
Chanda oil field, the over discovery in NWFP, was brought on to stream and it started giving
production from 17 July, 2004, and is currently producing 3,500 barrels of oil and 13 MMscf of gas
per day. Chanda LPG plant will also be installed by October 2004 were 25-40 M.tons of LPG will be
produced. The
OGDCL
third well at Chanda field is planned to be in third quarter of 2004-2005.This will increased
the production of field to 5,300 sbarells of oil and 19 MMscf of gas per day.
2.8.3 BOBI DEVELOPMENT PROJECT
First phase of the bobi development project has also been commissioned in June 2004 and is
producing 1,050 barells of stabilized condensate per day. Phase-II of the project is expected to be
streamlined in October 2004. On its completion, the field will produce about 2,800 barrels of oil per
day and 125 M.tons of LGP Satellite fields namely Mithrao and chak dim will
2.8.4 DHODAK PLANT ENHANCEMENT AND DAKHNI EXPANSION
Dhodak plant enhancement and dakhni expansion projects are also in progress and are
expected to be completed by some time completion, the projects will result in substantial
enhancement of production of oil, gas, LPG and sulpher.
SinjhoroA Bid to be invited
afresh $ 89 Million
Oil.: 2940 BPD
Gas: 25 MMscfd
LPG: 224 MTD
OGDCL
Projects Completion Estimated Cost Prod Capacity
Chanda
Development
Project
January, 2007 $ 9 Million
LPG: 25 MTD
Gas: 8.5 MMscfd
Dakhni
Expansion
Project
February, 2009 Rs.1803 Million
Oil.: 720 BPD
Gas: 12MMscfd
LPG: 12 MTD
Sulphur: 80 MTD
Qadirpur
Compression
Project
September, 2008
December, 2007$ 160 Million
a). To maintain
plateau of gas
production 650
MMscfd
b). Additional 100
MMscfd gas
Dhodak
Expansion
Project
A Bid to be invited
afresh $ 50 Million
Oil.: 4000 BPD
Gas: 64 MMscfd
LPG: 258 MTD
Uch-II
Development
Project
March, 2009
(As conveyed by
PPIB)
$ 250 Million
Gas: 200 MMscfd
TAY
Development
Project
A Bid to be invited
afresh $ 54.1 Million
Oil.: 2500 BPD
Gas: 28 MMscfd
LPG: 85MTD
SinjhoroA Bid to be invited
afresh $ 89 Million
Oil.: 2940 BPD
Gas: 25 MMscfd
LPG: 224 MTD
Mega Projects
OGDCL
OGDCL
Years
1.4. Products and Services Offered
Business Volume
Exploration, Development, Reserves and
Being largest E & P Company in Pakistan:
OGDCL holds 115 million barrels of oil and 10.5 trillion cubic feet (TCF) of gas as
remaining recoverable reserves. These constitute 46% of total oil and 30% of total gas
reserves of the Country.
OGDCL is the highest oil and gas producing Company in Pakistan and it produced 47%
of crude oil and 23% of Gas in 2004
Average daily production of the Company including share in operated and non
joint ventures is 39,130 barrels of oil, 919 MMcf of
OGDCL’s current concession portfolio comprises of 25 concessions and a reconnaissance
permit covering an area of 59,968.6 sq. kms which constitute 30% of total exploration
area granted to various E&P companies in Pakistan. The Comp
operated working interest in another three exploration concessions, which are operated by
other JV partners.
OGDCL has 39 Development and Production / Mining Leases which are operated by it
besides working interest ownership in 29 non
OGDCL’s major oil and gas fields are located at Kunnar, Paskhi, Bobi, Tando Alam,
Thora, Lashari, Sono, Fimkassar, Kal, Sadqal, Rajian, Missakesswal, Dhodak, Dakhni,
Chanda, Chak Naurang, Qadirpur, Uch, Pirkoh, Loti, Nandpur / Punjpir and
OGDCL so far has drilled 198 exploratory wells and 246 development wells and has
made 60 oil and gas discoveries.
1.4. Products and Services Offered
Exploration, Development, Reserves and Production
Being largest E & P Company in Pakistan:
OGDCL holds 115 million barrels of oil and 10.5 trillion cubic feet (TCF) of gas as
remaining recoverable reserves. These constitute 46% of total oil and 30% of total gas
is the highest oil and gas producing Company in Pakistan and it produced 47%
of crude oil and 23% of Gas in 2004-05.
Average daily production of the Company including share in operated and non
joint ventures is 39,130 barrels of oil, 919 MMcf of Gas and 334 Tons of LPG.
OGDCL’s current concession portfolio comprises of 25 concessions and a reconnaissance
permit covering an area of 59,968.6 sq. kms which constitute 30% of total exploration
area granted to various E&P companies in Pakistan. The Company also holds non
operated working interest in another three exploration concessions, which are operated by
OGDCL has 39 Development and Production / Mining Leases which are operated by it
besides working interest ownership in 29 non-operated leases.
OGDCL’s major oil and gas fields are located at Kunnar, Paskhi, Bobi, Tando Alam,
Thora, Lashari, Sono, Fimkassar, Kal, Sadqal, Rajian, Missakesswal, Dhodak, Dakhni,
Chanda, Chak Naurang, Qadirpur, Uch, Pirkoh, Loti, Nandpur / Punjpir and
OGDCL so far has drilled 198 exploratory wells and 246 development wells and has
made 60 oil and gas discoveries.
OGDCL holds 115 million barrels of oil and 10.5 trillion cubic feet (TCF) of gas as
remaining recoverable reserves. These constitute 46% of total oil and 30% of total gas
is the highest oil and gas producing Company in Pakistan and it produced 47%
Average daily production of the Company including share in operated and non-operated
Gas and 334 Tons of LPG.
OGDCL’s current concession portfolio comprises of 25 concessions and a reconnaissance
permit covering an area of 59,968.6 sq. kms which constitute 30% of total exploration
any also holds non-
operated working interest in another three exploration concessions, which are operated by
OGDCL has 39 Development and Production / Mining Leases which are operated by it
OGDCL’s major oil and gas fields are located at Kunnar, Paskhi, Bobi, Tando Alam,
Thora, Lashari, Sono, Fimkassar, Kal, Sadqal, Rajian, Missakesswal, Dhodak, Dakhni,
Hundi/Sari.
OGDCL so far has drilled 198 exploratory wells and 246 development wells and has
OGDCL
Product Lines
The main product lines of the company are as under:
1.4.1. Crude Oil
Crude oil is the mixture of petroleum liquids and gases (including impurities such as sulphur) that is
pumped out of the ground by oil wells. Main production Oilfields of the company are Dakhni, Dhodak,
Bobi, Tandoalam, Chanda, Toot & Rajian.
1.4.2. GAS
A mixture of hydrocarbon compounds and small quantities of various non
gaseous phase or in solution with crude oil in natural underground reservoirs. The major gas fields of the
company are Dakhni, Dhodak, Qadirpur, Nandpur, Pan
1.4.3. Liquefied Petroleum Gas (LPG)
A mixture of hydrocarbons found in natural gas and produced from crude oil, used principally as a
feedstock for the chemical industry, home heating fuel, and motor vehicle fuel. The major fields of
company having LPG production facilities are Dakhni, Dhodak, Sadkal, Kunner and Bobi.
1.4.4. Naphtha
Naphtha is a group of various volatile flammable liquid hydrocarbon mixtures used primarily as
in refineries and petrochemical industry.
product of the company and is extracted from various oil / gas fields.
1.4.5. Solvent Oil
A simple or complex liquid mixture of hydrocarbons that can be refined to yield gasoline, kerosene, d
fuel, and various other products. This product is extracted from various oil fields of the company.
1.4.6. Kerosene Oil
Kerosene oil has been distilled from petroleum, and generally used as a fuel for lighting etc. This residual
product is extracted from various oil fields of the company.
1.4.7. High Speed Diesel Oil
It is the hydrocarbon Oil suitable for use as fuel in Compression Ignition Engines; extracted from various
oil fields of the company.
1.4.8. Sulphur
A yellow mineral extracted from petrol
sulphur is produced at the Dakhni oil & Gas field near Jand, Attock
The main product lines of the company are as under:
Crude oil is the mixture of petroleum liquids and gases (including impurities such as sulphur) that is
pumped out of the ground by oil wells. Main production Oilfields of the company are Dakhni, Dhodak,
Bobi, Tandoalam, Chanda, Toot & Rajian.
mixture of hydrocarbon compounds and small quantities of various non-hydrocarbons existing in the
gaseous phase or in solution with crude oil in natural underground reservoirs. The major gas fields of the
company are Dakhni, Dhodak, Qadirpur, Nandpur, Panjpir, Pirkoh and Uch.
Liquefied Petroleum Gas (LPG)
A mixture of hydrocarbons found in natural gas and produced from crude oil, used principally as a
feedstock for the chemical industry, home heating fuel, and motor vehicle fuel. The major fields of
company having LPG production facilities are Dakhni, Dhodak, Sadkal, Kunner and Bobi.
Naphtha is a group of various volatile flammable liquid hydrocarbon mixtures used primarily as
in refineries and petrochemical industry. It is also used in solvent applications. Naphtha
product of the company and is extracted from various oil / gas fields.
A simple or complex liquid mixture of hydrocarbons that can be refined to yield gasoline, kerosene, d
fuel, and various other products. This product is extracted from various oil fields of the company.
Kerosene oil has been distilled from petroleum, and generally used as a fuel for lighting etc. This residual
from various oil fields of the company.
High Speed Diesel Oil
It is the hydrocarbon Oil suitable for use as fuel in Compression Ignition Engines; extracted from various
A yellow mineral extracted from petroleum for making fertilizers, pharmaceuticals and other products. The
sulphur is produced at the Dakhni oil & Gas field near Jand, Attock
Crude oil is the mixture of petroleum liquids and gases (including impurities such as sulphur) that is
pumped out of the ground by oil wells. Main production Oilfields of the company are Dakhni, Dhodak,
hydrocarbons existing in the
gaseous phase or in solution with crude oil in natural underground reservoirs. The major gas fields of the
A mixture of hydrocarbons found in natural gas and produced from crude oil, used principally as a
feedstock for the chemical industry, home heating fuel, and motor vehicle fuel. The major fields of the
company having LPG production facilities are Dakhni, Dhodak, Sadkal, Kunner and Bobi.
Naphtha is a group of various volatile flammable liquid hydrocarbon mixtures used primarily as feedstocks
Naphtha is the residual
A simple or complex liquid mixture of hydrocarbons that can be refined to yield gasoline, kerosene, diesel
fuel, and various other products. This product is extracted from various oil fields of the company.
Kerosene oil has been distilled from petroleum, and generally used as a fuel for lighting etc. This residual
It is the hydrocarbon Oil suitable for use as fuel in Compression Ignition Engines; extracted from various
eum for making fertilizers, pharmaceuticals and other products. The
OGDCL
Product Units
Crude Oil Thousands
Barrels
Gas MMcf
LPG M.Tons
Sulphur M.Tons
White
Petroleum
Products
Thousands
Barrels
PRODUCTION OF CRUDE OIL
S.No. Name of Company
1 OGDCL
2 BP-Pakistan
3 POL
4 PPL
5 OPI
6 BHP
7 Eni
8 MOL
9 OMV
10 Petronas
TOTAL
2002-03 2003-04 2004-05 2005-06 2006
8,535 8,705 9,413 9,941 13,045
217,927 245,537 274,006 277,408 329,385
77,402 93,136 90,304 101,322 120,063
16,670 23,234 15,889 18,917 25,884
998 989 859 890 885
PRODUCTION OF CRUDE OIL
2007-08
Name of Company Barrels per day
31,370
16,559
10,324
3,645
1,880
1,714
330
153
98
22
66,095
2006-07 2007-08
13,045 12,956
329,385 336,059
120,063 128,654
25,884 22,006
885 959
Barrels per day
OGDCL
PRODUCTION OF NATURAL GAS
S.No.
1 OGDCL
2 PPL
3 OMV
4 MGCL
5 Eni
6 BHP
7 BP-Pakistan
8 OPI
9 POL
10 Others
TOTAL
PRODUCTION OF CRUDE OIL
16%
OGDCL
OPI
OMV
PRODUCTION OF NATURAL GAS
2007-08
Name of Company MMCFD
856
799
554
445
389
258
230
66
42
46
3,685
PRODUCTION OF CRUDE OIL (Barrels per Day)
47%
25%
16%
6%3% 3%
0%
OGDCL BP-Pakistan POL PPL
BHP Eni MOL
Petronas
MMCFD
OGDCL
LPG(M.Tons)
0
20000
40000
60000
80000
100000
120000
140000
2002-03 2003-04
PRODUCTION OF GAS (MMCFD)
12%
11%
7%6%2%
OGDCL PPL
Eni BHP
POL Others
04 2004-05 2005-06 2006-07 2007-08
PRODUCTION OF GAS (MMCFD)
23%
2% 1% 1%
15%
22%
OMV MGCL
BP-Pakistan OPI
OGDCL
Sulphur (M.Tons)
White pertoulem products (Barrels)
0
5000
10000
15000
20000
25000
30000
2002-03 2003-04 2004
0
200
400
600
800
1000
1200
2002-03 2003-04 2004
White pertoulem products (Barrels)
2004-05 2005-06 2006-07 2007-08
2004-05 2005-06 2006-07 2007-08
OGDCL
2.1. Internship Duration & Rationale
Since my area of specialization is “Finance”, the organization I have chosen for
internship is “Oil and Gas Development Company Limited (OGDCL)” a major Oil &
Gas Company of Pakistan having Head Office in Islamabad.
this organization for 6 weeks
Exploration, Drilling and Production of Oil & Gas resources through
Consisting of 13 Technical Departments and 17 Serving Departments, it is the major Oil
and Gas Company in Pakistan. The company has achieved all time high net sales revenue
of Rs. 51.294 billion during 2005
The report covers the overall operations of the company with specific emphasis on its
Finance & Accounts Department. It also discusses financial growth in profitability of the
company due to new discoveries of Oil & Gas reservoirs in Sindh & Panjab areas and the
use of latest technology in exploration, drilling and production operations of the
company.
2.1. Internship Duration & Rationale for Selection
Since my area of specialization is “Finance”, the organization I have chosen for
internship is “Oil and Gas Development Company Limited (OGDCL)” a major Oil &
Gas Company of Pakistan having Head Office in Islamabad. I have done
this organization for 6 weeks
Exploration, Drilling and Production of Oil & Gas resources through-out Pakistan.
Consisting of 13 Technical Departments and 17 Serving Departments, it is the major Oil
Gas Company in Pakistan. The company has achieved all time high net sales revenue
of Rs. 51.294 billion during 2005-2006, representing 14% growth over last year.
The report covers the overall operations of the company with specific emphasis on its
nce & Accounts Department. It also discusses financial growth in profitability of the
company due to new discoveries of Oil & Gas reservoirs in Sindh & Panjab areas and the
use of latest technology in exploration, drilling and production operations of the
Since my area of specialization is “Finance”, the organization I have chosen for
internship is “Oil and Gas Development Company Limited (OGDCL)” a major Oil &
internship in
out Pakistan.
Consisting of 13 Technical Departments and 17 Serving Departments, it is the major Oil
Gas Company in Pakistan. The company has achieved all time high net sales revenue
2006, representing 14% growth over last year.
The report covers the overall operations of the company with specific emphasis on its
nce & Accounts Department. It also discusses financial growth in profitability of the
company due to new discoveries of Oil & Gas reservoirs in Sindh & Panjab areas and the
use of latest technology in exploration, drilling and production operations of the
in Finance Department. The company is engaged in
OGDCL
STRUCTURE OF THE FINANCE
Finance & Accounts Department plays a vital role in the organizational structure.
OGDCL has acquired the services of highly qualified professionals like CAs, CMAs,
MBAs and M. com for its Finance and Accounts Department. The
(Finance), heads the Finance & Accounts Department. GM (Finance), GM
(Accounts) and GM (Treasury) and Managers assist the Executive Director (Finance)
for effective and efficient controlling of OGDCL financial activities. Different
sections of Finance department are headed by Sectional In
Managers. The main role and function of ED, GMs, and Managers are as under:
Jr. Accounts Assistant
Accounts Assistant
Assistant Accountant
Accountant
Sr. Accountant
Dy Chief Accountant
Chief Accountant
Manager
General Manager
Executive DirectorFinance
TURE OF THE FINANCE DEPARTMENT
Finance & Accounts Department plays a vital role in the organizational structure.
OGDCL has acquired the services of highly qualified professionals like CAs, CMAs,
MBAs and M. com for its Finance and Accounts Department. The Executive Director
(Finance), heads the Finance & Accounts Department. GM (Finance), GM
(Accounts) and GM (Treasury) and Managers assist the Executive Director (Finance)
for effective and efficient controlling of OGDCL financial activities. Different
ions of Finance department are headed by Sectional In-charges who reports to
Managers. The main role and function of ED, GMs, and Managers are as under:
Jr. Accounts Assistant
Accounts Assistant
Assistant Accountant
Accountant
Sr. Accountant
Dy Chief Accountant
Chief Accountant
Manager
General Manager
Executive DirectorFinance
DEPARTMENT
Finance & Accounts Department plays a vital role in the organizational structure.
OGDCL has acquired the services of highly qualified professionals like CAs, CMAs,
Executive Director
(Finance), heads the Finance & Accounts Department. GM (Finance), GM
(Accounts) and GM (Treasury) and Managers assist the Executive Director (Finance)
for effective and efficient controlling of OGDCL financial activities. Different
charges who reports to
Managers. The main role and function of ED, GMs, and Managers are as under:
OGDCL
EXECUTIVE DIRECTOR (Finance)
Director Finance is a member of Board of Directors and represents the Finance
and Accounts Department.
G M - Finance/Accounts/Treasury
General Managers reports to DF and is responsible for overall activities of
Finance & Accounts Department.
Department and the relevant category of professionals is given on next page.
Managers - Finance/Accounts/Budget & Accounts/Joint venture
Managers reports to GMs and is responsible for smooth running of their
respective sections.
Sectional Incharges
Sectional Incharge reports to respective Manager and is responsible for specific
job/assignments of their section only. They assisted by Deputy Chiefs, Senior
Accountants, Accountants and assistants.
STRUCTURE OF FINANCE
MANAGER (Finance)
Manager (Finance) reports to GM (Finance). Following section reports
to Manager (Finance).
MANAGER (Budget & Accounts)
Manager (Budget & Accounts) reports to GM
Budget & Accounts is distributed between six sections.
EXECUTIVE DIRECTOR (Finance)
Director Finance is a member of Board of Directors and represents the Finance
and Accounts Department.
Finance/Accounts/Treasury
General Managers reports to DF and is responsible for overall activities of
Finance & Accounts Department. The overall structure of the Finance
Department and the relevant category of professionals is given on next page.
Finance/Accounts/Budget & Accounts/Joint venture
Managers reports to GMs and is responsible for smooth running of their
Sectional Incharge reports to respective Manager and is responsible for specific
job/assignments of their section only. They assisted by Deputy Chiefs, Senior
Accountants, Accountants and assistants.
STRUCTURE OF FINANCE AND ACCOUNTS DEPARTMENT
Manager (Finance) reports to GM (Finance). Following section reports
to Manager (Finance).
Imports section
Bank / Cash section
Sales Section
MANAGER (Budget & Accounts)
Manager (Budget & Accounts) reports to GM (Finance). The work of
Budget & Accounts is distributed between six sections.
Director Finance is a member of Board of Directors and represents the Finance
General Managers reports to DF and is responsible for overall activities of
structure of the Finance
Department and the relevant category of professionals is given on next page.
Managers reports to GMs and is responsible for smooth running of their
Sectional Incharge reports to respective Manager and is responsible for specific
job/assignments of their section only. They assisted by Deputy Chiefs, Senior
AND ACCOUNTS DEPARTMENT
Manager (Finance) reports to GM (Finance). Following section reports
(Finance). The work of
OGDCL
MANAGER (Stores & Fixed Assets)
Manager (Stores & Fixed assets) reports to GM
After the whole inventories, fixed assets and material in transit of the
Organization. Following sections are the part and parcel of this
Segment:
MANAGER (JV Accounts)
Manager (JV Accounts) reports to GM (Finance). He manages the
Joint Ventures of OGDCL and Other exploration Companies which are
broadly divided into the following two divisions:
Budget and AFE Section
Final Accounts
MR section
EDP Management and Training
Projects
MANAGER (Stores & Fixed Assets)
Manager (Stores & Fixed assets) reports to GM (Finance). He looks
After the whole inventories, fixed assets and material in transit of the
Organization. Following sections are the part and parcel of this
Local Stores
Foreign Stores
Material in Transit
Fixed Assets
Petrol, oil & lubricants
Reconciliation
MANAGER (JV Accounts)
Manager (JV Accounts) reports to GM (Finance). He manages the
Joint Ventures of OGDCL and Other exploration Companies which are
broadly divided into the following two divisions:
Operated Joint Venture
Non Operated Joint Venture
(Finance). He looks
After the whole inventories, fixed assets and material in transit of the
Manager (JV Accounts) reports to GM (Finance). He manages the
Joint Ventures of OGDCL and Other exploration Companies which are
OGDCL
MANAGER (Accounts)
Manager (Accounts) reports to GM (Accounts). Following sections are
supervised by Manager (Accounts):
Other section
1. IMPORT SECTION
2. Bank section
3. Sales Section
4. Payroll section
5. Accounts payable section
6. Employee’s advance section
7. Field Imprest Section
8. Final account section
Number of Employees working in Finance Department
Total employees working in the Finance & Accounts Department are 254, out of which
there are 74 Officers and 180 staff members.
Manager (Accounts) reports to GM (Accounts). Following sections are
supervised by Manager (Accounts):
Payroll
Accounts Payable
Field Imprest
Accounts payable section
Employee’s advance section
Field Imprest Section
Number of Employees working in Finance Department
Total employees working in the Finance & Accounts Department are 254, out of which
and 180 staff members.
Manager (Accounts) reports to GM (Accounts). Following sections are
Number of Employees working in Finance Department
Total employees working in the Finance & Accounts Department are 254, out of which
OGDCL
OF PERSONNEL DEPTT
FUNCTIONS
OF›FINANCE› DEPT .
1. Import section
2. Bank section
3. Sales Section
4. Payroll section
5. Accounts payable section
6. Employee’s advance section
7. Field Imprest Section
8. Final account section
Accounts payable section
Employee’s advance section
Field Imprest Section
finace dept plays a vital role in ogdcl.
finance dept has divided into main different section
where each and every dept is responsible
to do it own work. and each section of finance dept
are conected each other through computer system. they
use ORACLE computer software. through which they record
and transmit the data to each other and to uper managment.
10. Budget and AFE Section
9. Joint venture
OGDCL
ADVANCE SECTION
In this section they work on computer based ORACLE soft ware system
typically they prepare the records /transaction of loan/advances and also
prepare the record of the recovery of loan. along with interest
majorly they approve loan /advance of
1) purchase of conveyance
2) passages/ marriages
3) house building/ hiring
these facilities are granted regular/permanent employees with accordance to
their job nature and time period and they also provide other loans like travel
loan, petty cash loan for(purchase of different things),hotel stay, etc expenditure
but these loan are recovered(compensated) earlier as soon as possible
after availing the loan/advance the loan are being compensated in PAYBLE and
BANK section.
The proper record are being kept via manually and on computer ORACLE SW
so chance of error is very minimum
RECOVERY OF LOAN
Recovery of loan based upon the nature of loan which is given to employee. in
some clauses they charge interest and some time not.
CASE=
there is case of death of an employee, died in July 2008 who had
availed the facility of loan Rs 54,624 in June 2005 he had been
charged monthly 921.40 to June 2008.
so in the net figures 30,034.2 and 24,580 balance along with the interest
11,338 (total 35918.80) is remaining for the recovery of balance. and
now the lumsum amount will be deducted from his
pension/compensation
OGDCL
WHEN THE ORGANIZATION DONOT CHARGE INTEREST
they don not charge interest when an employee do not getting
interest on GP fund and other balances OGDCL give the the facilities of interest to an employee who avail or not.
HOUSE BUILDIND LOAN
there are 180 installment of loan for staff (1-16)scale employee and 150
installment for officers(OG) 17 and above.
the organization will not lend any type of house building loan when the time of
job is remaining less then 5 years
there is no prefixed amount house building loan is sum of 60 basic pay for
officers and 100 basic pay for staff.
HOUSE HIRING(package)
CEILING
OGDCL extend/lend the loan t employee for house hiring in shape of cash
payment.
As per employee deed/contract. there is contract b/w employee and OGDCL. if
the OGDCl give accommodation facilities to an employee. So OGDC extended the
loan in advance to employee as per contract (in clause of ceiling)
after all cash will be compensated in PAYBLE and BANK section.
In ceiling they pay a lumsum payment to employee at once or partially but in
week.
OR per month which will be added in his/her salary. If the rent becomes higher
after some tome the OGDCL will not be responsible for that.
There is contract committee which prefix the amount of ceiling according
to the
1) nature of job
2) scale of an employee
3) place of accommodation
OGDCL
HOUSE RENT(package)
as per employee deeds/contract. If the OGDCL give the house rent facility to an
employee. there is three parties
1) employee
2) owner of house
3) OGDCL Contract committee
Contact committee or Administration dept will make contract with the owner of
house and fix the house hiring rent.
In this contract the contract is made b/w OGDCL contract committee and owner
of house. this contract will not be concerned with employee. employee will be
free. Some time The Organization pay lumsum amount and sum time per month
but according to contract
This contract is made for 2/3 year maximum.
Any how The ADVANCE section also treat This function/contract also.
CONVEYANCE LOAN
OGDCl also give the facility of conveyance loan to permanent/regular employees.
there is 60 installments of conveyance for staff and officer both.
If the employee job time is remaining is less then 5 year then he can not apply
for conveyance/house building loan.
the amount of conveyance loan is prefixed which is of 100,000 Rs
MARRIAGE LOAN
OGDCl also give the facility of marriage loan to any regular employee or those
employees who are on contract(staff only) with OGDCL .
there is 40 installment for marriage loan. And the amount of marriage loan is
25,000, which is prefixed.
OGDCL
FORMULAEE FOR THE RECOVERY OF LOAN
HOUSE BUILDING LOAN
FOR OG/OFFICER = Total amount / 150 =$amount of installments
FOR STAFF = Total amount / 180 =$amount of installments
HOUSE HIRING
FOR OG/OFFICER = Total amount / 2*12(months) =$amount of installments
FOR STAFF = Total amount /3*12(months) =$amount of installments
COVEYANCE LOAN
FOR (OG/STAFF) = Total amount / 60 =$amount of installments
MARRIAGE LOAN
FOR (JUST FOR STAFF) = Total amount / 40 =$amount of installments
OGDCL
Function and Responsibility of Imprest section
Imprest section plays vital and impotent roll in Fiancé and Account section of
OGDCL. To
Control manage and transfer of funds to field and location
Replenishment of head office impret
Payment of land compensation to all field/land owners
Checking punching and posting of field imprest data in Oracle Financial
sys and reconciliation and there of.
The main functions and responsibilities of Imprest section are as under
FIELD REMITTANCE
Field remittances means transfer of funds from Head Office Islamabad to
Various (52) fields/parties/ location against the following
"ÿAuthorized Imprest
1.ÿ1st fort night
2.ÿ2nd fort night
"ÿPayroll
1.ÿwages/salaries
2.ÿbonus
3.ÿarrears
4.ÿadhoc/ advance wages
"ÿAdditional funds
1.ÿprojects cost
2.ÿland compensation
3.ÿhiring vehicles
4.ÿHO approvals
5.ÿmedical bills
6.ÿunion agreement (arrear of DA, H2s allowance, EWA etc)
"ÿmessage issued for information against remittances to all concerned locations
"ÿpreparation of MIS reports on monthly bases
"ÿmonthly reconciliation of bank imprest in transit account
"ÿadjustment/ rectification , if any ,required
"ÿpreparation of variance analysis report
Head Office Imprest
Total head office imprests are 29
Most of the depts. / section are holding petty cash imprest, to meet their day to
day requirements, on replenishment bases, and Personals are processing
the cases under the OGDCL rules
OGDCL
Head Office Imprest
Total head office imprests are 29
Most of the depts. / section are holding petty cash imprest, to meet their day to
day requirements, on replenishment bases, and Personals are processing
the cases under the OGDCL rules
Action / Activities
1.ÿchecking of imprest files along with relevant documents
2.ÿpreparation of cash / bank payment vouchers
3.ÿmaintaining of imprest control register
4.ÿmonthly reconciliation of cash / bank imprest account
5.ÿadjustments / rectification ,if any required
6.ÿvariance analysis if any
Field imprest
Responsibilities of account representatives at fields / locations
"ÿpreparation of bank receipt voucher
"ÿcash withdrawals from bank
"ÿpayment of bills
"ÿrelease of security deposit and in earnest money
"ÿprocess conveyance loan
"ÿrecording of unclaimed wages and allowances
"ÿadjustments of advances
"ÿdisbursement of cash
"ÿpayment of unclaimed wages and land compensation
"ÿadvance payment for purchase, travel and daily allowances
"ÿcash payment for miscellaneous items
"ÿrecord transaction on cash , bank, and advance book
"ÿmaintain control register for
1.ÿhead office approvals
2.ÿutility bills
3.ÿland, Cop and Tree compensation
4.ÿpayment of projects in progress etc
OGDCL
"ÿbank Reconciliation statements
"ÿpreparation of bank summery statement
"ÿpreparation of cash summary, leave encashment and advances statement
"ÿpreparation of report for accrued expenditure on quarterly basis
"ÿpreparation of expenditure analysis report
"ÿpunching, posting of imprest data in the system on daily basis
"ÿdispatch of imprest data , along with required documents , to HO by 1st
of each month
OGDCL
Actg
. m
anager
(fin
ance)
Ch
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accu
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tan
t(bank)
Dy c
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f a
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tan
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Sr.
acco
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tan
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tro
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su
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Ad
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assis
tan
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Assis
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tan
t
Assis
tan
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tan
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Accounta
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(RE
conci
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ecu
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Assis
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t(R
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NB
P,
Div
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Acco
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t a
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tan
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(D
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Sr.
Acco
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tan
t
(Con
trol
sig
natu
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& d
eliv
ery
of c
hequ
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Jr.
accounta
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LD
C/T
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(reci
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vouch
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fo
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(pre
para
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iden
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AX
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OGDCL
Bank sectionListing of activities
1. Arrange / manage funds to meet the daily operational requirements.
2. Prepare and control of cheques issue on receipt of payment vouchers.
3. Collect and deposit sales proceeds for crude, natural gas, LPG,
sulphur.
4. Collect and deposit money received through drafts / cheques on
account of tender documents, auction proceeds and other
miscellaneous receipts.
5. Invest excess funds in short term and long term investment.
6. Encash short term and long term investment and maturity if
required.
7. Transfer funds to fields, rigs, field's parties, Karachi regional office,
8.ÿwest wharf and imp port accounts.
9.ÿTransfer of funds between bank accounts as required.
10.ÿReconcile General Ledger with bank statement on a monthly basis.
11.ÿPrepare fund position statement on daily basis and submit it to
12.ÿmanagement on weekly basis.
13.ÿPrepare receipts and payments statements for each rupee bank
ÿaccount on a monthly basis.
14.ÿMaintain dividend accounts.
15.ÿMaintain account for receipt of earnest money.
16.ÿRefund earnest money upon completion of project or contract.
17.ÿMake necessary arrangements for authentication, issuance and
ÿencashment of bank guaranties on request of other departments.
18.ÿProvide funds to cash section as required.
OGDCL
19.ÿCalculate and control interest on deposits.
20.ÿMaintain OGDCL locker with bank.
21.ÿPayment of with holding tax.
22.ÿControl of payment / receipt vouchers and other record.
23.ÿPayment of security, performance bond and bank guarantee received in cash.
OGDCL
Sales sectionPurpose and objectives:Sales section in OGDCL has the following purposes.
"ÿIt prepares the bills for the sales of products and services of OGDCL.
"ÿIt collects the receipts generated by the sales.
"ÿIt collects the government levies from the consumers and sends the
accounts to the government of Pakistan. The government levies on the
sales of OGDCL's offering are discussed later in the report.
PRODUCTS AND SERVICES
OGDCL deals in the following products and services. Later in the report the
pricing mechanism of few products are also discussed.
PRODUCTS"ÿKAROSENE
"ÿSILVENT OIL
"ÿHSD
"ÿNaphta
"ÿCrude oil
"ÿLPG
"ÿGas
"ÿHi-Speed diesel
SERVICES
"ÿTelephone Dhodak
"ÿAir Craft Services
"ÿGrand R Labs
"ÿ Water Supply
OGDCL
"ÿTelephone Dhakni
"ÿSeismic Survey
"ÿMaterial Transport Service
"ÿCementation Service
"ÿMud Logging Service
REPORTS GENERATED BY SALES SECTION AND GOVERNMENT
LEVIES
Sales section generates the following reports
1.ÿINVOICES
Invoices are made by the section using financial Oracle. The invoice by this
section usually contains the following components.
"ÿOGDCL letter head
"ÿName, Address, e-mail, fax number, bank account number and
national tax number of both the parties.
"ÿDate of invoice.
"ÿCredit period.
"ÿDue date of payment.
"ÿSales quantity.
The invoice is signed by Chief (Sales/Financial planner). One copy of the
invoice is sent to Accounts officer (DGCP), one is sent to Acting manager
(Marketing Department OGDC), and another is retained for the office.
2.ÿEXCISE DUTY REPORTS
Government levies Fields Excise Duty on sale of Gas at the rate of Rs. 5.09 /
MMBTU of gas. The sales section keeps the comprehensive record of the
Excise Duty on periodical basis.
OGDCL
Excise Duty on periodical basis.
3.ÿGST REPORTS
Government levies GST at the rate of the total values added. Total value
added implies the addition of excise duty and sales value. The sales section
keeps the comprehensive recode of the GST on periodical basis.
4.ÿROYALTY REPORTSGovernment levies royalty at the rate of 12.5% of the total sales revenue.
The sales section keeps the comprehensive record of the royalty on
periodical basis.
PROCESS FLOW IN THE SALES SECTION
The above diagram shows the process flow in the sales section of OGDCL.
OGDCL
The products from fields (Gas, Crude Oil, LPG etc) come to the consumer
(SSGCL, SNPL etc) and the production report comes to the marketing
department of OGDCL. The marketing department verifies the report and
sends it to the sales section of Finance and Accounts Department. Sales
section then sends the invoice to the consumer. The invoice to the consumer
contains of following components."ÿSales value
"ÿExcise duty
"ÿGSTConsumer pays sales section through check. Excise Duty and GST becomes
government revenue when sales section deposits GST and Excise Duty in
the National Bank of Pakistan.
PRICING MECHANISM
OGDCL has different pricing polices for different products. The pricing
policies are affected by the National and International regulatory authorities
such as OGRA and OPAC. The pricing mechanism for different products is
as under.
1.ÿGAS
The price of GAS is set by OGRA (Oil & Gas regulatory authority) for a
period of six months. These prices are revised in January and July. OGRA
sets a certain amount against IMMBTU. For example, in 2004 OGDCL
signed a "Chanda Gas Agreement" with SSGCL in which OGDCL was
supposed to provide Gas to SSGCL at the rate of Rs. 178/MMBTU.
2.ÿSULPHURE
OGDCL extracts Sulphur from Dakhni Field. After extraction sulphur is
auctioned to the consumers. The minimum price at the auction is the price
equal to the price of the nearest exporting country, which is India. The major
consumers of sulphur are sugar mills and pharmaceutical mills and
laboratories.
3.ÿCRUDE OIL
Pricing of the crude oil is determined by "Oil Gram Plates". Oil gram plate
is a manual which is published worldwide and mentions the prices of Crude
oil of all exporting countries. OGDCL sets the price of Crude oil equal to the
average price nearest exporting countries which are Dubai and Oman.
CREDIT TERMS USSUALY SET BY SALES DEPARTMENT
Credit terms differ from agreement to agreement but in most of the cases the
credit terms are of such nature and format as discussed below.
"ÿPayment for the Gas in respect of each seller members share as
"ÿspecified in the sale invoice shall be made to each seller member
"ÿdirectly in its designated bank account within 30 days from the date
of the receipt of the sales invoice. Payment of the receipt of the sale
invoice relating to excise duty and taxes shall be made within 10 days
of the receipt of the sales invoice.
"ÿIf the payment made by the buyer is received later then the last
business day (I-e a day at which the banks in Islamabad operate) in the
period specified above then shall bear late payment surcharges (LPS)
from the date of payment at the purchase rate for the latest applicable 3
months Pakistan T-Bill rates, as announced by the state bank of
Pakistan from time to time. If such bills rate ceases to be notified by the
state bank of Pakistan, then any other such rate notified by the
competent authority in place of three months T-Bill rates.
PRICING"ÿProduction reports received from fields.
"ÿInvoices are prepared on monthly basis.
"ÿSale + excise duty + sales Gan.
6. Booking of accruals of service invoices on monthly basis
1. Import section is responsible to arrange and establish the letter of credit with regard to import the material both locale and foreign as requested by the
procurement deportment
2. Confirm and earmark the source of fund for the establishments of letter
of credit i.e cash foreign exchange and own resource
3.ÿCommunication with bank for amendment. extension and
4.ÿenhancement of LCs at the request of supply Chain management
deportment
4. Maintain record of shipping advice to monitor consignment arrives
5. Process and forward negotiable document West Wharf office, Karachi
and CM &CIDA Islamabad
6. Arrange the endorsement of shipping guaranties or airway bills for timely
clearance of consignment at the request of supply chain management or
the DCMMO Karachi
7. Maintain source wise record of letter of credit
8. Reply quires regarding demurrages
9. Prepare monthly statement of LCs, established out of various funds for
onward submission to the budget section
10. Prepare weekly position of utilization of funds for onward transmission
bank section
11. Reconciliation of Cash foreign exchange allocated by State Bank of
Pakistan and monitor its proper utilization
12. Prepare vouchers for recording the expenditure and transfer of funds for
reconciliation for bank account
13. Custodians of performance bonds and bank guaranties
14 Forward complete set of retired documents to store accounts dept
for the reconciliation of material received with FRS on monthly basis
IMPORT SECTION
HIRING OF SERVICES
1. Establish, enhance, emend, and extend letter of credit for hiring of
services, both local and foreign, as and win required by the supply
chain mgt dept
2. Verify, control, and process service invoices
3. Reply audit quires regarding service invoices
4. Submit monthly statement of payment to service contractor
5. Calculate tax deduction to be withheld from foreign contractor's invoices
after consultation with tax section
6. Booking of accruals of service invoices on monthly basis
MAIN FUNCTION OF IMPORT SECTION IMPORT OF MATERIALS1ÿArrange establishment of letters of credit for import of equipment, spares and
Chemicals etc for OGDCL fields /locations
2 Maintain complete record of LCs established and paid
3 Manage and dispatch original shipping document to OGDCL West Wharf office
Karachi or CIDA. store for clearance of goods/ consignment
4 check the paid shipping documents with contract to maintain accuracy of
payments made against LCs
LOCAL PROCUREMENT OF MATERIAL
1ÿArrange establishment of in land LCs for procurement of material locally
against Local Purchase Order
PAYMENT OF FORIEGN CONTRACTORS (SERVICES)
1ÿArrange establishment of invisible LCs for payment of services rendered by
2ÿcontractors at OGDCl different field/locations
3ÿMaintain complete record of LCs established and paid.4ÿPayment to service contractors in hundred % Pakistani Rupees
MANAGE CASH FORIEGN EXCHANGE ALLOCATION
1ÿArrange cash foreign exchange from ministry of Finance for Import of
material and hiring of services on case to case basis with in the
limit of approved budget for this purpose By GOP
OGDCL
Expansion towards a
multinational Company
Latest Technology
Expansion towards
Exploration & drilling
Activities
unproductive wells
Marketing Opportunity for
LPG & Sulphur
World Market
Off-shore drilling Safety Issues / Tribal Issues
CHAPTER –5
SWOT Analysis table for OGDCL
STRENGTHS WEAKNESSES
Highly Skilled Professionals Political Influences
Vast Experience Limited Customer
Joint Ventures with Foreign
Oil Companies Working in
Pakistan
Limited Marketing
Opportunity
Major oil & Gas Company of
Pakistan
Political Appointments
High market cap and revenue Inadequate Financing for off-
shore drilling
OPPRTUNITIES THREATS
OGDCL
2.3 SWOT ANALYSIS
SWOT analysis is a tool for auditing an organization and its environment. It is the first
stage of Strategic planning and helps managers to focus on key issues.
strengths, weaknesses, opportunities, and threats.
factors. Opportunities and threats are
Strengths and weaknesses are
STRENGTHS
Largest Oil and gas company in the
Monopoly of the company and having confidence due to govt. support.
Dynamic & Strong Financial Position due to the 45 years experience.
A new, Exploration and innovative of Wells.
Best location of business which is choosing after long process.
Quality processes and procedures.
Large number of field of oil and gas.
Experienced and Technical Staff involving no. of expert Geologist.
Confidence of the Customers.
All other aspect of the company that adds value to the product or service.
WEAKNESSESS
Lack of marketing expertise.
Undifferentiated products or services (i.e. in relation to the
Lack of coordination of operations.
Government Influence.
Untrained Staff.
Slow promotion process which reduces the performance.
Lack of Check and balance.
Weak quality goods or services (can be only one of more than one)
analysis is a tool for auditing an organization and its environment. It is the first
stage of Strategic planning and helps managers to focus on key issues. SWOT
strengths, weaknesses, opportunities, and threats. Strengths and weaknesses are
factors. Opportunities and threats are external factors.
Strengths and weaknesses are internal factors.
Largest Oil and gas company in the Pakistan.
Monopoly of the company and having confidence due to govt. support.
Dynamic & Strong Financial Position due to the 45 years experience.
A new, Exploration and innovative of Wells.
Best location of business which is choosing after long process.
uality processes and procedures.
Large number of field of oil and gas.
Experienced and Technical Staff involving no. of expert Geologist.
Confidence of the Customers.
All other aspect of the company that adds value to the product or service.
Lack of marketing expertise.
Undifferentiated products or services (i.e. in relation to the competitors)
Lack of coordination of operations.
Government Influence.
Slow promotion process which reduces the performance.
Lack of Check and balance.
Weak quality goods or services (can be only one of more than one)
analysis is a tool for auditing an organization and its environment. It is the first
SWOT stands for
Strengths and weaknesses are internal
Monopoly of the company and having confidence due to govt. support.
Dynamic & Strong Financial Position due to the 45 years experience.
All other aspect of the company that adds value to the product or service.
competitors)
OGDCL
Opportunities and threats are
OPPORTUNITIES
A developing market such as the Internet.
Mergers, joint ventures or strategic alliances
Moving into new market segments that offer improved profits
A new international market
A market vacated by an ineffective competitor.
Large workshops for training and development.
Support of the Ministry of
Better Competitive Position.
THREATS
A new competitor in the home market.
Price wars with competitors.
Fear of Privatization.
Tuff Competition
Globalization is the factor which brings the strong companies in Pakis
A competitor has a new, innovative product or service.
Competitors have superior access to channels of distribution.
Future prospects of the organization
Currently OGDCL is operator in Nineteen Exploratory Blocks and working interest in
nine non-operated blocks. In addition company has got 34 mining and D & PL leases.
Targets have been based on risks and opportunities. Physical targets for the year 200
was envisage drilling of fourteen wells (nine exploratory and five development), 2950
Km of seismic survey, production of 28,111 barrels per day, 730 MMcf per day gas, 313
metric tons per day pf LPG and 60
activities by covering 3,200 km of seismic Survey and drilling of 12 exploratory wells
with the clear objective of a net increase in oil and gas reserves. It is expected that
Opportunities and threats are external factors. For example:
A developing market such as the Internet.
Mergers, joint ventures or strategic alliances
Moving into new market segments that offer improved profits
A new international market
A market vacated by an ineffective competitor.
Large workshops for training and development.
Support of the Ministry of P&NR (Petroleum and Natural Resources).
Better Competitive Position.
A new competitor in the home market.
Price wars with competitors.
Globalization is the factor which brings the strong companies in Pakis
A competitor has a new, innovative product or service.
Competitors have superior access to channels of distribution.
Future prospects of the organization
Currently OGDCL is operator in Nineteen Exploratory Blocks and working interest in
operated blocks. In addition company has got 34 mining and D & PL leases.
Targets have been based on risks and opportunities. Physical targets for the year 200
as envisage drilling of fourteen wells (nine exploratory and five development), 2950
Km of seismic survey, production of 28,111 barrels per day, 730 MMcf per day gas, 313
per day pf LPG and 60 tons per days pf sulphur. To accelerate exploration
activities by covering 3,200 km of seismic Survey and drilling of 12 exploratory wells
with the clear objective of a net increase in oil and gas reserves. It is expected that
P&NR (Petroleum and Natural Resources).
Globalization is the factor which brings the strong companies in Pakistan
Currently OGDCL is operator in Nineteen Exploratory Blocks and working interest in
operated blocks. In addition company has got 34 mining and D & PL leases.
Targets have been based on risks and opportunities. Physical targets for the year 200-02
as envisage drilling of fourteen wells (nine exploratory and five development), 2950
Km of seismic survey, production of 28,111 barrels per day, 730 MMcf per day gas, 313
per days pf sulphur. To accelerate exploration
activities by covering 3,200 km of seismic Survey and drilling of 12 exploratory wells
with the clear objective of a net increase in oil and gas reserves. It is expected that
OGDCL
exploratory program will result in increase in OGDCL reservoir in oil and Gas
to the country‘s reservoir.
To develop the already discovered oil and gas fields with a view to enhance production
and improve revenues of US$ 35 million per annum and 24,500 barrels of oil per day
and 565,605 Mmcfd of gas is expected to be pr
wells are being drilled on various points i.e.
Sanjharo , Norijagir, Ghari, &, Chanda etc; from these points oil and gas are discoved to
achieve the future targets.
To modernize, replace and effectively maintain the
equipment in order to keep the equipment in sound operating condition at all times.
To develop OGDCL‘s human resources through transfer of technology and training.
To rationalize stores and spares inventory to the optimum
OGDCL is providing gas to IPPs like Uch power from Uch Gas Filed Project and from
Nandpur / Panjpir to Fauji Kabirwala Power Limited. All these projects are contributing
a lot of income to the OGDCL’s current revenues. Despite number of Joint ven
competitors in the oil and gas sector, OGDCL has drilled different concessions
independently as well as it has ventures with other company’s successfully. OGDCL
Seismic Crews are busy in G&G
Ranpathani, Sanghar and Zin etc.
FUTURE GOALS & STRATEGY:
OGDCL plans to drill 45 wells during current financial year (2005
drillable prospects. The Company has also started three new development projects
Tando Allah Yar, Sinjhoro and Uch
track completion of these projects and on progressive project management concepts.
exploratory program will result in increase in OGDCL reservoir in oil and Gas
To develop the already discovered oil and gas fields with a view to enhance production
and improve revenues of US$ 35 million per annum and 24,500 barrels of oil per day
and 565,605 Mmcfd of gas is expected to be produced during 1999-2000. Exploratory
wells are being drilled on various points i.e.
Sanjharo , Norijagir, Ghari, &, Chanda etc; from these points oil and gas are discoved to
To modernize, replace and effectively maintain the drilling, seismic and processing
equipment in order to keep the equipment in sound operating condition at all times.
To develop OGDCL‘s human resources through transfer of technology and training.
To rationalize stores and spares inventory to the optimum level.
OGDCL is providing gas to IPPs like Uch power from Uch Gas Filed Project and from
Nandpur / Panjpir to Fauji Kabirwala Power Limited. All these projects are contributing
a lot of income to the OGDCL’s current revenues. Despite number of Joint ven
competitors in the oil and gas sector, OGDCL has drilled different concessions
independently as well as it has ventures with other company’s successfully. OGDCL
Seismic Crews are busy in G&G survey on different concession like Kharar, Basal,
pathani, Sanghar and Zin etc.
FUTURE GOALS & STRATEGY:
OGDCL plans to drill 45 wells during current financial year (2005-06), to explore new
drillable prospects. The Company has also started three new development projects
Tando Allah Yar, Sinjhoro and Uch-II. The Company has placed great emphasis on fast
ck completion of these projects and on progressive project management concepts.
exploratory program will result in increase in OGDCL reservoir in oil and Gas and also
To develop the already discovered oil and gas fields with a view to enhance production
and improve revenues of US$ 35 million per annum and 24,500 barrels of oil per day
2000. Exploratory
Sanjharo , Norijagir, Ghari, &, Chanda etc; from these points oil and gas are discoved to
drilling, seismic and processing
equipment in order to keep the equipment in sound operating condition at all times.
To develop OGDCL‘s human resources through transfer of technology and training.
OGDCL is providing gas to IPPs like Uch power from Uch Gas Filed Project and from
Nandpur / Panjpir to Fauji Kabirwala Power Limited. All these projects are contributing
a lot of income to the OGDCL’s current revenues. Despite number of Joint ventures and
competitors in the oil and gas sector, OGDCL has drilled different concessions
independently as well as it has ventures with other company’s successfully. OGDCL
survey on different concession like Kharar, Basal,
06), to explore new
drillable prospects. The Company has also started three new development projects –
II. The Company has placed great emphasis on fast
ck completion of these projects and on progressive project management concepts.
OGDCL
Quarterly comparison of actual verses budgeted expenditure is carried out
to ascertain weakness and cost over
Timely payment to the vendor, su
image building of OGDCL. To achieve this, internal procedure should be
well defined which will reduce time in these payments.
To save time of the employees chasing their payments employee related
payments shoul
All accountants should be given training on different accounting modules
and chart of accounts. So that monopoly and dependence on few is
eliminated.
Rotation of duties should be made at regular interval to impr
work output and to keep the interest of the employee intact.
Responsibility of clearing/correcting the entries should be fixed with the
section generating the activities
A professional Accountant should be assigned the job to the review
AFEs with the collaboration of technical professionals for proper and
effective control to avoid cost over runs.
For effective cost control, standardization of different stationery items and
consumable is approved for purchasing in bulk from the manufa
directly.
A good internal Control is a key to success for an organization, but in
OGDCL there is a lack of internal control, which should be improved and
implemented effectively.
Quarterly comparison of actual verses budgeted expenditure is carried out
to ascertain weakness and cost over-runs.
Timely payment to the vendor, supplier and contractors is effective tool for
image building of OGDCL. To achieve this, internal procedure should be
well defined which will reduce time in these payments.
To save time of the employees chasing their payments employee related
payments should be excluded from the ambit of pre-audit.
All accountants should be given training on different accounting modules
and chart of accounts. So that monopoly and dependence on few is
Rotation of duties should be made at regular interval to improve the overall
work output and to keep the interest of the employee intact.
Responsibility of clearing/correcting the entries should be fixed with the
section generating the activities
A professional Accountant should be assigned the job to the review
AFEs with the collaboration of technical professionals for proper and
effective control to avoid cost over runs.
For effective cost control, standardization of different stationery items and
consumable is approved for purchasing in bulk from the manufa
A good internal Control is a key to success for an organization, but in
OGDCL there is a lack of internal control, which should be improved and
implemented effectively.
Quarterly comparison of actual verses budgeted expenditure is carried out
pplier and contractors is effective tool for
image building of OGDCL. To achieve this, internal procedure should be
To save time of the employees chasing their payments employee related
All accountants should be given training on different accounting modules
and chart of accounts. So that monopoly and dependence on few is
ove the overall
Responsibility of clearing/correcting the entries should be fixed with the
A professional Accountant should be assigned the job to the review of
AFEs with the collaboration of technical professionals for proper and
For effective cost control, standardization of different stationery items and
consumable is approved for purchasing in bulk from the manufacturer
A good internal Control is a key to success for an organization, but in
OGDCL there is a lack of internal control, which should be improved and
OGDCL
Conclusion
The production of oil and gas is contributing a lot in re
Power generation by IPPs (Industrial Power Projects) in the country is a major source
of energy. OGDCL’s Uch Gas field and Panjpir/ Nandpur Gas Fields are the two main
fields, which have now started supplying Gas to pow
meeting the requirement of the IPPS but also contributing a lot towards meeting the
demand of electricity in the country.
OGDCL’s contribution to the national exchequer in the form of royalty; excise
duty, debt servicing, and taxes are a huge support as compared to the other state owned
organizations.
OGDCL entered into new JV agreements in various exploration Blocks with the foreign
oil companies to boost up the efforts for increasing the Oil & gas demand of this
country...
Oil and gas Training Institute (OGTI) is providing training facilities and meeting
the requirements of highly trained, motivated, and improved human resources. OGTI
designs and implements programme to develop and expand the technical and
managerial skills of professional to meet the fast changing challenges to the company.
A total of about 150 courses in service disciplines are conducted during every year.
The quality of an organization is dependent on the quality of its work force. OGDCL has
engaged top professionals in Geology, Drilling, Engineering, and production that are
working day & nights for the search of Oil & gas. Besides this, the corporate sector is
equipped with professionals having qualification of CAs, MBAs, M.Coms, which support
the technical wings. The time bound necessity is that all these professionals be given a
targets and their performance indicators be clearly defined. A good leadership and the
motivation will surely boost-
reservoir of Oil or Gas INSHALLAH.
The production of oil and gas is contributing a lot in reducing the country’s import bill.
Power generation by IPPs (Industrial Power Projects) in the country is a major source
of energy. OGDCL’s Uch Gas field and Panjpir/ Nandpur Gas Fields are the two main
fields, which have now started supplying Gas to power companies. This not only
meeting the requirement of the IPPS but also contributing a lot towards meeting the
demand of electricity in the country.
OGDCL’s contribution to the national exchequer in the form of royalty; excise
taxes are a huge support as compared to the other state owned
OGDCL entered into new JV agreements in various exploration Blocks with the foreign
oil companies to boost up the efforts for increasing the Oil & gas demand of this
il and gas Training Institute (OGTI) is providing training facilities and meeting
the requirements of highly trained, motivated, and improved human resources. OGTI
designs and implements programme to develop and expand the technical and
of professional to meet the fast changing challenges to the company.
A total of about 150 courses in service disciplines are conducted during every year.
The quality of an organization is dependent on the quality of its work force. OGDCL has
ofessionals in Geology, Drilling, Engineering, and production that are
working day & nights for the search of Oil & gas. Besides this, the corporate sector is
equipped with professionals having qualification of CAs, MBAs, M.Coms, which support
l wings. The time bound necessity is that all these professionals be given a
targets and their performance indicators be clearly defined. A good leadership and the
-up the efforts and the collective efforts will result in a hug
reservoir of Oil or Gas INSHALLAH.
ducing the country’s import bill.
Power generation by IPPs (Industrial Power Projects) in the country is a major source
of energy. OGDCL’s Uch Gas field and Panjpir/ Nandpur Gas Fields are the two main
er companies. This not only
meeting the requirement of the IPPS but also contributing a lot towards meeting the
OGDCL’s contribution to the national exchequer in the form of royalty; excise
taxes are a huge support as compared to the other state owned
OGDCL entered into new JV agreements in various exploration Blocks with the foreign
oil companies to boost up the efforts for increasing the Oil & gas demand of this
il and gas Training Institute (OGTI) is providing training facilities and meeting
the requirements of highly trained, motivated, and improved human resources. OGTI
designs and implements programme to develop and expand the technical and
of professional to meet the fast changing challenges to the company.
A total of about 150 courses in service disciplines are conducted during every year.
The quality of an organization is dependent on the quality of its work force. OGDCL has
ofessionals in Geology, Drilling, Engineering, and production that are
working day & nights for the search of Oil & gas. Besides this, the corporate sector is
equipped with professionals having qualification of CAs, MBAs, M.Coms, which support
l wings. The time bound necessity is that all these professionals be given a
targets and their performance indicators be clearly defined. A good leadership and the
up the efforts and the collective efforts will result in a huge
OGDCL
References
1. Ministry of Petroleum and Natural Resource’s site.
2. www.ogdcl.com
3. www.google.com.pk
4. www.kse.com.pk
5. Pakistan industrial Reviews
6. Annual Reports of OGDCL
7. Business Recorder “ News Paper”
8. Observer Journals.
9. Interview of OGDCL MD.
Ministry of Petroleum and Natural Resource’s site.
Pakistan industrial Reviews
Annual Reports of OGDCL
Business Recorder “ News Paper”
Interview of OGDCL MD.
OGDCL
Acknowledgment
All the praise is for Allah, the most merciful and beneficent, who blessed us
the knowledge, gave us the courage and allowed us to accomplish this task. We are
especially indebted to our supervisors and teachers.
Their inspiring guidance remarkable suggestions, constant encouragement, keen
interest, constructive criticism, and
efficiently. Without their support and proper guidance, it would be almost impossible to
accomplish this task successfully.
We offer our heartiest tribute and cordial gratitude to present our thanks
General Manager OGDCL whose cooperation helped us to achieve our target. We have
fortunate of having a very nice company of friends and seniors especially who cooperated
with us in all matters relating to the report.
Acknowledgment
All the praise is for Allah, the most merciful and beneficent, who blessed us
the knowledge, gave us the courage and allowed us to accomplish this task. We are
especially indebted to our supervisors and teachers.
Their inspiring guidance remarkable suggestions, constant encouragement, keen
interest, constructive criticism, and friendly discussion enabled us to complete this report
efficiently. Without their support and proper guidance, it would be almost impossible to
accomplish this task successfully.
We offer our heartiest tribute and cordial gratitude to present our thanks
General Manager OGDCL whose cooperation helped us to achieve our target. We have
fortunate of having a very nice company of friends and seniors especially who cooperated
with us in all matters relating to the report.
All the praise is for Allah, the most merciful and beneficent, who blessed us with
the knowledge, gave us the courage and allowed us to accomplish this task. We are
Their inspiring guidance remarkable suggestions, constant encouragement, keen
friendly discussion enabled us to complete this report
efficiently. Without their support and proper guidance, it would be almost impossible to
We offer our heartiest tribute and cordial gratitude to present our thanks to
General Manager OGDCL whose cooperation helped us to achieve our target. We have
fortunate of having a very nice company of friends and seniors especially who cooperated