"The court has dismissed the petition during a hearing today," the official said.The Sindh provincial government in July granted permission for Premier to conduct exploratory seismic surveys in Kirthar National Park, which is opposed by environmental groups.
Premier was awarded the Dumbar concession (Block 2567-1) in 1997, much of which covers Kirthar National Park, home to rare and endangered species.
Farhan Anwar of Karachi-based non-governmental organisation Shehri-Citizens for a Better Environment, which is spearheading environmental opposition to the project, said the court dismissed the petition because it was beyond the jurisdiction of the High Court and should be taken to the Supreme Court.
"It is a bit of a blow, but not unexpected... We intend to take the matter up at the Supreme Court level, the highest court of the land," Anwar said.
He said his and other environmental groups would meet soon to finalise their future campaign and their response to the court ruling.
Kirthar, about 130 km (80 miles) north of Karachi, is Pakistan's largest national park. It has protected areas of great scenic beauty and ecological importance, as well as being home to the rare urial sheep, ibex and chinkara gazelle and around 20,000 tribal people.
The environmentalist campaign is backed by Friends of the Earth International (FOEI), which has previously opposed Premier's business deals in military-ruled Myanmar.
Premier has vowed to work within strict environmental guidelines, including using camels for transport where there are no existing tracks, and says its project will generate income and employment in an arid, poverty-stricken area.
Premier's current gas interests in the area include significant new discoveries at Bhit and Zamzama fields, north of the national park.
Pakistan has in recent years discovered gas reserves of up to six trillion cubic feet that would add more than one billion cubic feet a day of output over the next seven years.
Pakistan's current gas output is estimated at 2.4 billion cubic feet a day, while domestic demand is 3.4 billion cubic feet a day.