ISLAMABAD: The federal government and Khyber-Pakhtunkhwa (KP) have failed to find common ground over the latter’s stake in public sector oil and gas companies engaged in hydrocarbon exploration in the province due to changes in resource-sharing formula after the 18th amendment to the constitution.
Though the Centre suggests that KP should take control of 2.5 percent share in oil and gas companies, the province has refused to make a commercial offer for the allocated shareholding because of financial constraints, sources say.
KP intends to make the offer for 1-2 percent non-operating working interest in producing assets of Oil and Gas Development Company (OGDC) and Pakistan Petroleum Limited (PPL) in the province. Under the new petroleum policy, KP is eligible to acquire 2.5 percent shareholding.
According to the sources, state-owned oil and gas exploration companies like OGDC and PPL have termed reaching a deal according to the desire of KP a highly risky venture due to lack of experience and resources. INTERNEWS
