ISLAMABAD (PPI) - Oil & Gas Development Company OGDC plans to spend $1 billion this year to drill 48 new wells and increase production in order to bridge record energy deficit in the country. We are following a very aggressive exploration policy, Chief Executive Shah Mehboob Alam said. We are targeting a number of discoveries. OGDC plans to expand exploration in Balochistan province which is estimated to hold more than half the countrys gas reserves. OGDC expects Zin Block in Balochistan to generate its first gas flows within two years. The block has estimated gas reserves of 10 trillion cubic feet and drilling is scheduled to start as soon as government approves security plans within next two weeks, Alam said. We drilled only five out a planned 15 wells in Balochistan last year because of security issues. Now, we have submitted a plan to the Finance Ministry under which Frontier Corp. will raise a special force of 500 to 600 people, he added. It is also working in fields in Balochistan, including Samandar and Shahana. The company drilled 26 wells and made six discoveries in last fiscal year in the country including at Nashpa in northwest, which is producing 15 million cubic feet a day of gas and 4,700 barrels of oil a day, he said. OGDC discovers fuel in one out of every 2.3 wells drilled, compared with an industry average of one in every 3.8. We will increase production after installing new compressors to plug leaks at Qadirpur gas field in Sindh by September, Alam said. It plans to buy two new rigs this year. Qadirpur field contributes about 40pc of companys total gas output. OGDC produces about 1 billion cubic feet of gas a day, or a quarter of the countrys total output. Its oil production is 60pc of total of 62,000 barrels a day. The companys profit in 12 months ended June 30, will be higher than last year, he said. OGDC reported net profit of Rs 55.5 billion in year ended June 30, 2009.