An international consortium led by Australia's BHP Petroleum has announced a gas discovery in the Zamzama-1 well in the Dadu concession in Sind. The well hit a 320-metre gas column and could hold up to 4 trillion cubic feet of gas, potentially boosting Pakistan's reserves of 22 trillion cubic feet by more than 18 per cent.

The Dadu Exploration Licence was awarded to the consortium in February 1995. BHP holds 47.5 per cent, the local Monument Resources and Premier Exploration Pakistan each hold 23.75 per cent while Government Holdings holds 5 per cent.

The joint venture will now conduct further tests to ascertain the size of the gas field. 'Whilst it is too early to comment on the size of the field we are confident that Zamzama is a major gas discovery and Monument is committed to the early appraisal of the field,' says chief executive Tim Eggar.

Charles Jamieson, Premier's chief executive says: 'The initial results are extremely encouraging and could prove substantial reserves. This is the first exploration well on the prospect and additional drilling will be required. This second significant discovery in the Kirthar fold-belt confirms the potential of the area to becoming a major gas producing region.'