Karachi: The earnings of Pakistan's oil and gas exploration and production sector are expected to rise by 35% year-on-year in the first quarter of fiscal year 2027, reaching a total of PKR 106.9 billion. This growth is attributed to higher realized crude and wellhead prices, alongside consistent hydrocarbon dispatches.

According to AKD Securities Limited, exploration activities are gaining momentum, with the sector's exploration expenses increasing by 113% year-on-year to PKR 15.0 billion. This upsurge is supported by improved collection ratios and a boost in production growth. The firm has maintained a 'BUY' recommendation on key companies such as Oil & Gas Development Company (OGDC), Pakistan Petroleum Limited (PPL), Mari Petroleum Company Limited (MARI), and Pakistan Oilfields Limited (POL), setting target prices for December 2026 at PKR 522, 412, 935, and 850 per share, respectively.