Licence at Risk? DGPC Targets Three Oil Companies

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Licence at Risk DGPC Targets Three Oil Companies

The Directorate General of Petroleum Concessions (DGPC) has issued show-cause notices to three oil companies over alleged violations of petroleum regulations.

Officials informed the National Assembly on Thursday that notices were served on July 18, 2025, to Jura Energy Corporation, Frontier Holdings Limited, and Spud Energy Pty Limited. The actions are being taken under the Pakistan Petroleum (Exploration and Production) Rules of 1986 and 2001.

The DGPC said the companies must provide written explanations and supporting documents regarding the alleged breaches. The regulator will determine if the violations can be corrected or compensated according to the law. Licence suspension or revocation is possible, but only after proper legal procedures.

The proceedings are being conducted under Rule 68(d) and Rule 71(c) of the 1986 Rules, read with Rule 69(d) and Rule 52(f) of the 2001 Rules. These rules require a formal show-cause process before any action is taken against oil companies.

The matter had been pending before the Islamabad High Court for six months. On February 6, 2026, the court instructed the regulator to proceed only after giving all parties a fair hearing. Authorities confirmed that enforcement action will follow the legal framework.

It is important to note that Spud Energy Pty Limited is a subsidiary of Jura Energy Corporation in Pakistan.

The DGPC emphasized that all oil companies operating in the country must comply with regulatory rules. The regulator said it aims to ensure transparency, safety, and proper management of petroleum exploration and production.

In other related news also read Oil Companies Warn Of Imminent Nationwide Fuel Shortage

ProPakistani has contacted the companies for official comments. Updates will be added once responses are received. This move reflects the government’s ongoing efforts to regulate oil companies and protect national resources.

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