Transparency International Pakistan (TIP) has called upon the Principal Secretary to the Prime Minister to take urgent action over the alleged transfer of controlling interests in SPUD Energy and Frontier Holdings Limited (FHL) without prior government approval.
In a formal letter dated 2nd May, 2025, TIP warned that the secretive acquisition of these upstream exploration companies, which hold petroleum concessions in Pakistan, could compromise national interests. The letter urged the government to investigate and, if violations are confirmed, revoke their petroleum rights under Rule 69 of the 2001 Rules.
According to TIP, under Rule 69(d), any disposition of share capital that results in a change in effective control requires prior consent of the Government. Failure to do so is grounds for revocation. “Such transfers without consent are not only illegal but may compromise the integrity of Pakistan’s energy sector,” TIP noted.
The watchdog (TIP) further highlighted that both companies operate strategic assets and that any clandestine ownership changes raise red flags regarding national security, regulatory compliance, and financial transparency.
TIP urged the Principal Secretary to the Prime Minister to take immediate action to protect Pakistan’s strategic petroleum resources and uphold rule of law in the energy sector.
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