Oil and Gas Development Company Limited (OGDCL) has reported its highest-ever profit after tax of Rs242.4 billion for fiscal year 2025-26, up 43 per cent from Rs169bn recorded a year earlier.
The company’s board of directors approved the annual financial results, which showed net sales revenue of Rs449.191bn.
OGDCL’s profit after tax for the first nine months of the fiscal year, from July 2025 to March 2026, stood at Rs115bn, compared with Rs130bn during the same period of FY2024-25, marking a decline of around 12pc.
However, a sharp rise in global oil prices following the US-Israel conflict with Iran generated approximately Rs128bn in post-tax profit during the final quarter. This was the company’s highest quarterly profit and exceeded its combined earnings from the first three quarters.
The company’s earnings per share increased to Rs56.35, compared with Rs39.50 a year earlier. The board declared a final cash dividend of Rs6 per share, or 60pc, bringing the total dividend for the year to Rs17 per share, including interim dividends of Rs11 per share.
OGDCL said it contributed Rs187bn to the national exchequer during the year through corporate taxes, dividends, royalties and other government levies. Its oil and gas production also generated estimated foreign exchange savings of $3.31bn through import substitution.
The company reported an overall collection rate of 107pc, with Rs577bn collected during the fiscal year.
OGDCL’s share price rose by 52pc during the year, outperforming the 44pc increase in the KSE-100 Index. Its market capitalisation stood at approximately Rs1.44 trillion as of June 30, 2026, maintaining its position as Pakistan’s largest listed company.
OGDCL said it made nine oil and gas discoveries during the year, adding 120 million barrels of oil equivalent (MMBOE) to its proven and probable reserves. Its reserves replacement ratio reached 236pc, the highest in the company’s history.
The company spudded 23 wells and drilled a total of 58,333 metres, the highest level recorded in the past five years. It also acquired interests in 15 additional exploration blocks.
Average daily net saleable production rose to 32,861 barrels of crude oil, 667 MMcf of gas and 670 tonnes of LPG, representing year-on-year increases of 6.3pc, 2.3pc and 4.4pc, respectively, despite continued production curtailments.
OGDCL said it increased production to help address the country’s energy supply-demand gap. Gross crude oil production exceeded 40,000 barrels per day in April 2026 for the first time in 27 quarters.
A major operational milestone was the commissioning of Baragzai X-1 in April 2026. The well is currently producing around 5,968 barrels of oil, 17 MMcf of gas and 60 tonnes of LPG per day. The combined potential of its five producing formations is estimated at 15,000 barrels of oil and 45 MMcf of gas per day.
The company also commissioned the Jhal Magsi development project and completed the Dakhni front-end compression project during the year.
OGDCL said it continued to pursue long-term growth and diversification through enhanced oil recovery at Kunnar-Pasakhi, redevelopment of the Rajian heavy-oil field and assessments of mature assets.
The company also advanced its shale and tight-gas projects and successfully tested geothermal water at Wahid Bakhsh-1, where it confirmed what it described as Pakistan’s first major discovery of high-grade lithium in geothermal brine.
Its participation in the Reko Diq copper-gold project and Abu Dhabi Offshore Block-5 was also part of its strategy to expand its energy and natural resources portfolio.
OGDCL said it strengthened its environmental, social and governance framework by introducing its first ESG Strategy and publishing climate-related disclosures aligned with the Task Force on Climate-related Financial Disclosures.
It also became the first Pakistani company to join the United Nations Environment Programme’s Oil and Gas Methane Partnership 2.0 and reported zero fatalities during the fiscal year.
The company’s community development efforts were recognised by the Pakistan Centre for Philanthropy, which ranked OGDCL first in the Corporate Philanthropy Awards 2025.
