Islamabad, Jan 8, IRNA - Pakistan said on Monday that agreement on the multi-billion Iran-Pakistan and India (IPI) gas pipeline will be signed next week. The $7.4 billion, 1,700-mile pipeline would run from Iran to India via Pakistan and supply some 90 million cubic meters of Iranian gas to India and 60 million cubic meters to Pakistan every day.
Pakistan Minister for Petroleum and Natural Resources Mr. Ahsanullah Khan told a news conference in Islamabad Pakistan and Iran are moving ahead positively on IPI gas pipeline project and Gas Supply/Purchase Agreement will be signed next week between the two countries.
He said India will be most welcome to join the project when it is ready.
Pakistan and Iran had finalized most of the matters in their talks in October last year on Gas Sale Purchase (GSP) agreement.
Iranian Ambassador in Islamabad Mash-Allah Shakeri also hinted in reported remarks that a final agreement is expected by January 25.
The Pakistani Minister did not say where the agreement will be signed and said the venue is being decided.
He said that Pakistan pays 665 million dollars annually on the import of furnace oil and also offering 14 billion rupees on petroleum subsidy which will be saved after the IPI project is completed.
He said seven rounds to negotiation were held with Turkmenistan for import of gas and the next round is expected by the end of this month.
To a question, the Minister said presently there is no move to increase oil prices.
Answering a question, he said Pakistan has attracted over one billion dollar investment in the oil and gas sector during the last seven years. He said thirty-five percent increase has been registered in gas production during the same period.
Islamabad, Jan 8, IRNA -Pakistan cabinet
committee on Tuesday approved the gas sale and purchase agreement of the
Iran-Pakistan-India (IPI) gas pipeline project, an official announcement said.
The gas sale and purchase agreement was initiated during talks on December 18, 2007, and to be signed by ISGC on the Pakistan side, a statement from the Prime Minister House said.
The approval was accorded in a meeting of the Economic Coordination Committee of the Cabinet (ECC), chaired by Prime Minister Mohammadmian Soomro.
The statement said that Pakistan will make a formal request to the Iranian side to allocate an additional volume of 1.05 Bcfd, to Pakistan in case India does not join the project.
The Prime Minister appreciated the efforts of Ministry of Petroleum and Natural Resources as well as all those involved in the negotiations and finalization of agreement with Iran for Gas Supply to Pakistan, it said.
The sale and purchase agreement includes issuance of the Government of Pakistan guarantee to back agreements with Pakistan's state-owned Sui Northern Gas Pipeline Limited & Sui Southern Gas Company for resale of imported gas on terms similar to those contained in the Iranian GSPA.
The Prime Minister asked the Ministry of Petroleum and Natural Resources to complete formalities of the project.
The ECC commended the efforts of the present Secretary and the former Secretaries and the Minister for Petroleum and Natural Resources to make this project a reality.
The Prime Minister said that the country needed much more energy to overcome the gap in demand and supply and also reduce the cost of power generation with the help of gas project.
... Payvand News - 01/08/08 ... --