Ghani Chemical Industries Limited (GCIL) has announced a significant development involving the proposed purchase and commercial utilisation of raw saturated gas from the Jandran Field.
According to a disclosure submitted to the Pakistan Stock Exchange (PSX) on September 1, 2026, a third party has received a Letter of Intent (LOI) from Oil & Gas Development Company Limited (OGDCL) regarding the proposed purchase of raw saturated gas from the Jandran Transmission and Processing Facilities. The proposed transaction remains subject to several conditions, including negotiations and execution of a definitive Gas Sale and Purchase Agreement (GSPA), completion of technical and commercial arrangements, and receipt of the required regulatory and government approvals.
Under a binding agreement with the third party, GCIL will take responsibility for the technical and financial execution of the proposed project. This includes the development, installation, commissioning and operation of the required processing facilities.
The planned project is also expected to cover the processing, transportation, marketing and sale of gas produced from the Jandran Field, subject to the terms of the definitive agreements and applicable laws and regulations.
Project Structure Still Under Development
GCIL said the project will remain subject to technical and commercial due diligence, finalisation of its structure, execution of the GSPA and other definitive agreements, availability of financing, and receipt of all necessary approvals and consents.
The company noted that the project could ultimately be undertaken either directly by GCIL or through a special purpose vehicle (SPV). If an SPV is established, GCIL’s ownership and funding arrangements will be determined and approved by its Board of Directors.
Importantly, the company has not yet disclosed the project’s final capacity, estimated capital expenditure, financing structure or implementation schedule. These details are expected to be determined after the completion of relevant technical studies, negotiations and definitive documentation.
Focus on Commercialising Jandran Gas Resources
The broader objective of the project is to facilitate the commercial utilisation of gas resources from the Jandran Field through the installation and operation of suitable processing infrastructure.
While the LOI and binding agreement represent preliminary steps toward developing the project, GCIL has made clear that they do not yet constitute the commencement of commercial operations or guarantee any revenue or profitability.
The project therefore remains subject to a number of technical, financial, contractual and regulatory conditions before implementation can begin.
GCIL said it will make further disclosures as material developments occur, including execution of the GSPA, approval of the final project structure, financial close and commencement of project implementation.
For investors, the announcement signals GCIL’s intention to expand its involvement in gas-related infrastructure and commercialisation. However, the financial impact of the proposed project cannot yet be determined until its final structure, investment requirements, financing arrangements and commercial terms are established.
