Karachi: Pakistan Petroleum Limited (PPL) Asia E and P B.V., a subsidiary of Pakistan Petroleum Limited, and Midland Oil Company (MdOC) have reached an amicable settlement regarding their past operations in Block 8, Baghdad, Iraq, concluding lingering disputes from their Exploration, Development and Production Service Contract that expired in May 2022.

According to Pakistan Petroleum Limited announcement issued on 07 October 2024, the resolution was finalized on October 6, 2024, through sustained negotiations and legal efforts led by PPL’s MD/CEO Mr. Imran Abbasy and MdOC’s DG Mr. Muhammad Yaseen Hassan. The settlement involved a net payment of USD 6 million to PPL Asia by MdOC through a third party, effectively closing all issues related to the contract without any admission of fault or liability by either party.

This settlement not only resolves the disputes but also marks the end of PPL’s involvement in Block 8. It represents a significant foreign exchange recovery for both the company and Pakistan, highlighting the strategic endeavors to reach a mutually beneficial conclusion after more than two years of discussions and legal proceedings.