# Iran-Pakistan Gas Pipeline (IPP) News & Updates.



## Neo

*Iran to welcome Gazprom in IPI gas project *

TEHRAN (May 01 2007): Iran suggested on Monday that it would welcome any Gazprom involvement in a proposed $7 billion gas pipeline to India via Pakistan, with a senior official saying it would speed progress.

Gholamhossein Nozari, managing director of the National Iranian Oil Company (NIOC), did not say whether Iran had been in contact with the Russian energy giant Gazprom on the issue or give details on what kind of participation he had in mind.

"Gazprom is a capable and big company and if it enters the peace pipeline it will help with the progress and speed up the operation," he was quoted as saying by the ISNA news agency, referring to the planned energy link from Iran to India.

An Indian official said earlier last month New Delhi had yet to take a final decision on the pipeline from Iran via Pakistan, which has been opposed by the United States.

The pipeline project, which aims to feed the growing energy needs of the subcontinent, has made slow progress also in part due to political tensions between India and Pakistan. Apart from the pipeline, New Delhi is also negotiating with Iran to secure a deal that would see Tehran supply 5 million tonnes of liquefied natural gas (LNG) a year over a 25-year-period from 2009.

http://www.brecorder.com/index.php?id=557993&currPageNo=2&query=&search=&term=&supDate=


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## Neo

I;m sure Pakistan is behind this idea, it would give a boost to Pak-Russia relations and open up new opportunities, the project is huge!

Spooky that its in the news, I told a friend last week that Pakistan at some point would include Gazprom to get closer to Russia.
Neo can foresee the future now...lol


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## Contrarian

Nah Neo, Pakistan is not the force behind including Gazprom. Iran has been stating for a LOOONG time, that it would welcome any potential Russian involvement. India too has no qualms in this. Its Iran thats bringing Gazprom, should the Russian company decide to get involved.


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## Neo

You could be right but still we should use this widow of opportunity to get closer to Russia.
Money talks, $7 billion is huge.


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## Neo

*Gazprom confirms interest in IPI gas pipeline *

TEHRAN (May 06 2007): Gazprom is interested in taking part in building and managing a proposed 7 billion dollars gas pipeline from Iran to India via Pakistan, an official of the Russian energy giant was quoted as saying on Saturday. Iran, India and Pakistan are expected to sign a key agreement on pricing in June that will help the pipeline project take off.

But an Indian official said in April that New Delhi had yet to take a final decision on the pipeline from Iran via Pakistan, which has been opposed by the United States. "One of the big projects Russia can play a role in is the pipeline that transfers Iranian gas to Pakistan and India," the head of Gazprom's office in Tehran, Abubakir Shamuzov told Shana, the Iranian oil ministry's web site.

"This pipeline can even go as far as to China because this region has a big population and is a big market," he said. "I believe this pipeline should be constructed and Gazprom will most likely be a partner of this project."

Last month, a senior Iranian official suggested it would welcome any Gazprom involvement in the planned gas link, saying it would speed progress.

Gholamhossein Nozari, Managing Director of the National Iranian Oil Company (NIOC), did not say whether Iran had been in contact with the Russian firm on the issue or give details on what kind of participation he had in mind. The pipeline project, which aims to feed the growing energy needs of the subcontinent, has made slow progress in past due to political tensions between India and Pakistan.

Washington accusing Tehran of developing a covert nuclear weapons programme, has repeatedly sought to discourage India from the project. Russia is Iran's closest big power ally and has helped to water down UN sanctions against Tehran.

Iran sits atop the world's second largest gas reserves after Russia. But sanctions, politics and construction delays have slowed its gas development and analysts say it is unlikely to become a major exporter for a decade.

Apart from the pipeline, New Delhi is also negotiating with Iran to secure a deal that would see Tehran supply five million tonnes of liquefied natural gas (LNG) a year over a 25-year-period from 2009.

http://www.brecorder.com/index.php?id=560437&currPageNo=1&query=&search=&term=&supDate=


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## Interceptor

*
Indian MPs slam US Congress on N-deal row*


NEW DELHI, May 4: Indian MPs from both left and right united on Friday to denounce US legislators for what they said was an attempt to influence foreign policy through a controversial nuclear trade deal.

The lawmakers criticised letters written by Democratic and Republican legislators warning Prime Minister Manmohan Singh that New Delhi&#8217;s ties with Iran had significant potential to harm India-US relations and the landmark deal.

&#8220;We must send a very strong message to the US Senators and Congressmen that this will not prevail,&#8221; Yashwant Sinha, foreign minister in the previous Hindu nationalist-led government, told parliament. &#8220;We are not going to tolerate this,&#8221; he said.

The angry reactions from Mr Sinha and his colleagues in the upper house of parliament came after details of the latest letter from the congressmen were published in an Indian newspaper on Friday.

The letter --- signed by Democrat Tom Lantos, chairman of the House of Representatives Foreign Affairs Committee, senior Republican Ileana Ros-Lehtinen and others --- was the third, and strongest, in recent days expressing concern over relations between New Delhi and Tehran.&#8212;Reuters

http://www.dawn.com/2007/05/05/top14.htm

-----------------------


The source shows indirectly views of Iran-India ties that are a growing issue in Washington, the US forign policy against Iran is to cease all support from out side and it has halted the Nuclear technology program enslisted for India. The IPI pipe line has made efforts to gain Nuclear technology form the US hard the possible steps for India are it could step out of the IPI pipe line and instead go for the Nuclear technology. However, decision makers in Dehli are showing opposition towards the Nuclear deal with US. India is not a signitory of the NPT and therefore has an open scenario in advancing its Nuclear weapons capability, the Nuclear capability of India is growing at a rapid pace by European and Russian support. India has interest in the IPI but it also has Interest in Nuclear technology from the US.


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## Nafees

TEHRAN, Dec 20 (APP): Pakistan and Iran on Wednesday agreed to speed up efforts to finalize the Iran-Pakistan-India (IPI) Gas Pipeline Project and coordinate activities for the reconstruction in Afghanistan. Foreign Minister, Khurshid M. Kasuri held formal talks with his Iranian counterpart Manouchehr Mottaki here Wednesday and exchanged views on bilateral, regional and international issues. 

The talks were preceded by a brief one to one meeting between the two Foreign Ministers.
During the talks between the two Foreign Ministers, they reviewed various aspects of Pakistan-Iran bilateral relations and expressed their resolve to further consolidate political, economic and trade relations between the two countries.
They also expressed their resolve to continue their efforts against terrorism and organized crime. 
Referring to the IPI gas pipeline project, Foreign Minister Kasuri stated that implementation of the gas pipeline project will bring Pakistan and Iran closer and will vest the friendly relationship between the two countries with economic content.
He reiterated Pakistans determination for the implementation of the project.
Foreign Minister Kasuri underlined that Pakistan attached great importance to its relations with Iran which were rooted in common culture, religion and a shared view of a number of regional and international issues.
The leadership of the two countries has been exchanging views on all matters of regional and international interest.
The frequency of high level visits between the two countries marks the depth and strength of relationship between Iran and Pakistan, he said. 
On Afghanistan, the Foreign Minister underlined that peace and stability in Afghanistan was in the interest of Pakistan as well as the entire region and called for closer Pakistan-Iran cooperation in this regard.
He pointed out that Pakistan and Iran, being the neighbouring countries of Afghanistan could play an important role along with the international community in the reconstruction of Afghanistan.
The Iranian Foreign Minister referred to the deep-rooted historical and cultural ties between the two countries and expressed Irans keenness to further promote these relations particularly in the field of economic and trade. 
Foreign Minister Mottaki expressed his satisfaction over the exchange of visits at various levels over the past few months emphasizing that such visits make an important contribution towards further expanding relations between the two neighbouring states.
Second round of talks will be held tomorrow. Later in the day, the Foreign Minister called on Chairman Expediency Council Ayatollah Hashemi Rafsanjani.
During the meeting the Foreign Minister highlighted the abiding bonds of friendship between the governments and the peoples of Iran and Pakistan, underlining that close cooperation between the two countries can contribute towards the establishment of peace and stability in the region.
The Foreign Minister also briefed Rafsanjani on Pakistans position on Irans nuclear issue and Afghanistan, as well as Iraq and Lebanon.
On his part Ayatollah Rafsanjani stated that Pakistan-Iran friendship and cooperation can contribute towards creating unity within the Muslim Ummah, which in turn can resolve the problems being faced by the Ummah. 
The Ambassador of Pakistan, Shafkat Saeed, accompanying Pakistan delegation and senior officials of the Iranian Ministry of Foreign Affairs were also present during the talks.
The Foreign Minister of Iran also hosted a lunch in honour of the Foreign Minister of Pakistan and his delegation.
In the afternoon, Foreign Minister Kasuri flew to Kermanshah in a special aircraft, provided by the Iranian government, for a meeting with President Ahmadinejad who is touring Kermanshah Province. 

Source: Associated Press of Pakistan


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## solid snake

It's about time this thing is finalized and brought into being. India needs to get its act together and stop dragging its feet over this important matter.


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## AgNoStiC MuSliM

I thought I read a statement attributed to the Iranians that they wanted to wait until a new government is elected.

A wise move on their part were it so, for our politicians have sullied their reputations to the point that even important, extremely beneficial and necessary projects like these require caution.


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## ahussains

By the end of this the supplies will be being if this happend that will be a very nice effort by the both coutry beacause Gas is very nessecary for us and we have a very nice infrastrutre of supply of Natural Gas in Pakistan


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## Tiki Tam Tam

I don't think that the IPI is a critical issue.

Road Runner has given a copious post that indicates that Qatar and UAE is funnel gas to Pakistan in abundance to offset.


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## HAIDER

Islamabad, Feb 12: China has expressed its willingness to join Pakistan and Iran in the proposed Iran-Pakistan-India gas pipeline if India backs out, a leading daily reported.

Daily Times quoted sources as saying that China has told Pakistan that it was interested in importing the additional gas if India did not join the project.

Differences remain between India and Pakistan over transit fee for the pipeline and New Delhi rejected an offer to negotiate this month, saying it would proceed with talks after the February 18 elections in Pakistan.

However, Pakistan and Iran may sign the agreement on February 24, a date proposed by Iran, signalling that even Tehran wanted to negotiate with an elected government in Islamabad, the sources said.

Pakistan plans to import 2.2 billion cubic feet of gas a day from Iran under the project, and has said it was willing to consume an additional 1.05 billion cubic feet if India did not join the project.

They said Iran had no objection to exporting gas to China.

If China joined the project, the pipeline might pass through Gilgit, they said, where Pakistan has already approved a project to widen the Karakoram Highway. Pakistan also plans to extend a railway track to China to connect it to the Gwadar port. Chinese experts would visit Pakistan to finalise the route of the pipeline if it joined the project, the sources added.

--- UNI
China ready to join IPI pipeline project : Paper @ NewKerala.Com News Channel


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## jeypore

TEHRAN (AFP)  Iran's oil minister called on India to play a more active role in development of a multi-billion dollar gas pipeline from Iran to Pakistan and India, semi-official Mehr newsagency reported.

"In the light of the many wasted opportunities in the pipeline project because of stalling by India, we asked this country to be more active," Gholam Hossein Nozari said after meeting Indian Foreign Minister Pranab Mukherjee.

The 7.5 billion dollar project for the 2,600 kilometre (1,600 miles) Iran-Pakistan-India (IPI) pipeline was launched in 1994 but has been held up by disagreements between India and Pakistan.

Iran and Pakistan agreed last month to go ahead with the pipeline on a bilateral basis.

Mukherjee, who was in Tehran for an official visit, said India "has no intention of quitting the project," Mehr reported.

He also raised the possibility of a three-way meeting between Iran, Pakistan and India, though no date has yet been set.

New Delhi has been under pressure from the United States not to do business with Iran, viewed in Washington as a state sponsor of terrorism that is bent on acquiring nuclear weapons.

Iran holds the world's second largest gas reserves after Russia but remains a small-scale exporter because of heavy domestic consumption and the lack of exploitation of some of its gas fields. 
AFP: Iran asks India to be more active in gas pipeline plan


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## RescueRanger

Already being discussed in another thread!


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## Killer

Looks like Indian government is reluctant to move forward on this deal.


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## jeypore

Iran-India-Pakistan cooperation would restore regional security: Rafsanjani
Tehran Times Political Desk


TEHRAN &#8211; Expediency Council Chairman Akbar Hashemi Rafsanjani on Sunday called for closer cooperation between Iran, India, and Pakistan in their efforts to bring back &#8220;tranquility&#8221; to the war-torn Afghanistan. 


&#8220;Resolving the current crisis in Afghanistan requires extensive cooperation between the Islamic Republic of Iran, India and Pakistan. This cooperation can bring tranquility to the region,&#8221; Rafsanjani told visiting Indian Foreign Minister Pranab Mukherjee. 

He said the situation of foreign troops in Afghanistan is similar to that of the Soviet army in 1979-1989 war. 

&#8220;The experience of the Soviet Union&#8217;s presence in this country shows that the path the West is now treading in Afghanistan will not yield the desired results. The signs that are currently observed in Afghanistan show that the West is not capable of resolving the problems of this country.&#8221; 

Elsewhere in his remarks, Rafsanjani said Iran and India enjoy centuries-old relations. &#8220;India has a special place in Iran&#8217;s strategy of &#8216;look to the East&#8217;,&#8221; he stated. 

Rafsanjani, who also heads the Assembly of Experts, added, &#8220;Iran is determined to boost its relations with India.&#8221; 

Iran, Pakistan, and India have been negotiating a deal to transmit Iran&#8217;s gas to India via Pakistan. 

&#8220;The world&#8217;s energy demand &#8230; has made the implementation of the project inevitable,&#8221; he said in reference to the trilateral project dubbed the Peace Pipeline. 

Rafsanjani added, &#8220;The implementation of this great project is the symbol of cooperation between the (three) countries.&#8221; 

The Expediency Council chief also said a scientific cooperation between Iran and India is very important as the two countries has made great progress in different scientific fields in recent years. 

For his part, the Indian diplomat insisted that &#8220;no country outside the region can find a solution to the problems of regional countries, and the regional nations themselves should resolve the problems through cooperation with each other.&#8221; 

Mukherjee said India, Iran, and Pakistan play important roles in regional events. Further cooperation between the trio would help establish peace and stability in the region, he asserted 

tehran times : Iran-India-Pakistan cooperation would restore regional security: Rafsanjani


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## Evil Flare

i will Hope India will move this Process Fast ..


I want to see USA Crying ..


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## jeypore

India wants Iran gas at its door for payment


4 Nov, 2008, 0241 hrs IST,Rajeev Jayaswal, ET Bureau




NEW DELHI: India is unwilling to pay for the Iranian gas transported through the proposed $7.6 billion Iran-Pakistan-India (IPI) gas pipeline unless 
it is delivered at the India-Pakistan border. 

Tehran is interested in delivering the gas at the Iran-Pakistan border, but New Delhi is concerned about its safe passage through the Pakistani territory in light of the growing terrorist activities across the border. Iran has expressed willingness to evolve a contractual mechanism for safe delivery of the gas to India. 

&#8220;India has to ensure that liability to pay for the gas supplied by Iran is directly linked with its delivery at the India-Pakistan border,&#8221; an official source said. The negotiators have the Cabinet&#8217;s mandate to seek delivery of gas at the India-Pakistan border. 

In February 2005, the Cabinet authorised the ministry of petroleum and natural gas (MoPNG) to engage in bilateral and multilateral negotiations with Iran, Pakistan, Bangladesh and other countries for laying trans-national natural gas pipelines. 

Iran has reportedly suggested a trilateral mechanism for ensuring gas delivery at the India-Pakistan border. But it may still not supply gas at the Pakistan-India border. &#8220;It has suggested contractual provisions (in the gas sales purchase agreement) among the three countries to ensure safe delivery of gas to India,&#8221; the source said. 

According to sources close to the development, India may construct and manage the IPI pipeline on the Pakistani side through a tripartite joint venture, but neither India nor Pakistan will be able to construct the pipeline in Iranian territory due to US sanctions. 

Legal experts have advised New Delhi against investing in Iran&#8217;s upstream development. &#8220;Development of the pipeline within Iran should be a separate project, compared to the pipeline extending from the Iran-Pakistan border to the Indian border,&#8221; a source said. 

New Delhi has adopted a cautious approach towards the 2135-km pipeline project on apprehensions of supply cuts arising out of geo-political factors. India, however, clarified that the nuclear deal will not impact the proposed pipeline. 
India wants Iran gas at its door for payment- Foreign Trade-Economy-News-The Economic Times


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## jeypore

This is very interesting senario that India puts the responsiblty and the ball game to Iran. Where Iran has to find a way thru pakistan to get gas to India.


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## IceCold

We are just wasting time over it and with time to come Pakistan is going to suffer. Utter disappointment.


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## TOPGUN

Indian's are wasting or time eather u want it or not simple!!!!!!!!


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## RescueRanger

ISLAMABAD: The cabinet cleared the way on Wednesday for the gas pipeline project with Iran by accepting price purchase formula offered by Tehran.

A cabinet meeting accepted Irans offer to export one billion cubic feet per day of gas at 80 per cent of the crude oil price in the international market. A sale-purchase agreement is likely to be signed this year. 

Briefing newsmen after the meeting, Minister for Information and Broadcasting Qamar Zaman Kaira said Pakistan had decided to go ahead with the gas pipeline project in accordance with its needs without caring about US pressure, that forced India to pull out of it.

The cabinet decided that the government would own responsibility of paying Rs31 billion outstanding against the Karachi Electric Supply Company to help its management invest the promised amount of Rs28 billion on development projects to increase power generation. 

It approved ratification of an agreement on cooperation in the field of transportation and transit of goods between Pakistan and Uzbekistan with the objective to provide the latter an access for transhipment of its trade cargo to and from Gwadar port. 

The cabinet decided to set up a four-member committee to oversee Gwadar port operations. It would also propose incentives for the proposed export processing zone.

It ratified the Sarso accord as Pakistan is a signatory to the agreement on the establishment of South Asian Regional Standards Organisation (Sarso) which has a mandate to remove technical barriers to trade and to facilitate flow of goods and services in the Saarc region. 

The cabinet decided to review the Pak-Afghan transit trade agreement to safeguard the countrys interests while facilitating the Afghan trade. 

It decided to levy 25 per cent regulatory tax on export of molasses because its production had dropped after a decline in sugarcane production. 

In pursuance of the International Road Transport Agreement signed with Iran in June last year, the cabinet gave its approval for instrument of ratification concerning the deal. 

The cabinet decided to defer approval of a new national education policy after a couple of provinces expressed reservations. 

The meeting approved negotiations on draft agreement on defence cooperation with Hungary. 

It gave its approval in principle for negotiating an MoU between the National Defence University and Institute des Hautes Etudes de Defence National of France. 

The cabinet granted ex-post facto approval to initiation of negotiations for an MoU on political consultations with Libya to provide a forum to take stock of the trajectory of bilateral relations and share views on issues of mutual interest. 

Ex-post facto approval was also granted for entering into negotiations for an extradition treaty with Libya. Approval was also granted for an MoU for cooperation in the field of employment generation. 

The cabinet also approved signing of agreements for abolition of visa for diplomatic and official/special passport-holders with Libya, Indonesia and Ireland. 

It approved in principle a draft bill for the establishment of National University of Law and Social Sciences at Islamabad with its campuses in provincial capitals. 

The cabinet also approved draft of Anti-Money Laundering (Amendment) Bill, 2009, to bring various provisions of Anti-Money Laundering Ordinance, 2007, in line with international standards. 

It approved draft Anti-Money Laundering (Amendment) Bill, 2009. The proposed amendments are necessary to bring the various provisions of Anti-Money Laundering Ordinance, 2007, in line with international standards. 

The cabinet approved Pakistans accession to the International Convention for the Suppression of the Financing of Terrorism which requires parties to take steps to prevent and counteract the financing of terrorism whether direct or indirect through groups claiming to have charitable, social, or cultural goals or which engage in illicit activities. 

It granted approval to the Draft Pakistan Marine Insurance Bill, 2009 and draft Law for Implementation of Convention of International Trade in Endangered Species of Wild Fauna and Flora Convention.


DAWN.COM | Business | Way cleared for IPI pipeline as Iran price accepted


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## Musalman

Price Pakistan accepted will ruin the economy


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## HAIDER

How Indian papers look at this deal

"Pakistan Okays Iran Gas Pipeline Without India "


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## ajpirzada

Iranian President Mahmoud Ahmadinejad shakes hands with his Pakistani counterpart Asif Ali Zardari before convening for a trilateral summit in Tehran.&#8212;AFP 

*The project, termed as the peace pipeline by officials from both countries, has been signed by President Zardari and President Mahmoud Ahmadinejad of Iran on the sidelines of the tripartite summit on Afghanistan security in Tehran*.

*However, talking to the Iranian official news agency IRNA the Iran&#8217;s Oil Ministry had said that negotiations on the &#8216;Peace Pipeline&#8217; project were still underway between Iranian and the Pakistani delegations, which would allow Iran&#8217;s gas to be exported to Pakistan*. 

The Pakistani delegation negotiating the project was led by the advisor to the prime Minister on Petroleum Dr Asim Hussain, who is accompanied by petroleum ministry officials and a technical team headed the managing director Inter State gas Systems (ISGC), Syed Hasan Nawab.

The ISGS is a semiautonomous body looking after Pakistani interests in the international gas pipeline projects to import gas from Iran and Turkmenistan. 

The federal cabinet had earlier agreed to allow the import of one billion cubic feet of gas at the rate of 80 per cent of the price of crude oil.

&#8216;The next phase was to sign the gas sales purchase agreement with Iran,&#8217; member of the delegation told Dawn.

Official sources said that soon after signing of the gas sales purchase agreement work would start at the designing of the project.

&#8216;Pakistan has already appointed a German designer is &#8216;ILF&#8217; for the pipeline,&#8217; petroleum ministry sources said, adding that the pipeline would enter Pakistan from its border near Gwader area to Nawabshah, which is the hub of gas pipelines in the country.

The IPI project was conceived in 1995 and after almost 13 years India finally decided to quit the project in 2008 despite a severe energy crises in that country. Pakistan is also facing severe criticism from the US over any kind of economic deal with Iran.

Official sources say that the sudden change of stance from the Pakistani government and the pace of developments at the project suggest that the strong US opposition has softened. 

According to the initial design of the project, the 2,700 kilometre-long pipeline would cover around 1,100 kilometres in Iran, 1000 kilometres in Pakistan and around 600 kilometres in India, and the size of the pipeline was estimated to be 56 inches in diameter.

&#8216;We are still hoping that India would join the project but in other case the size of the pipeline would be reduced to 42 inches as initially estimated,&#8217; an official of ISGS said.

However sources in the ISGS said designing and finalising the reports of financial consultants would take up to one year and the work over the project can be started by mid of 2010.The estimated project completion time is between five years.

Sources in the petroleum ministry said that despite cabinet approval Pakistan would negotiate to get the gas prices lowered.

The official report prepared by the petroleum ministry and the ISGS said that the gas would be purchased for power generation and it would enable Pakistan to generate 5,000 megawatts (MW) power.

The petroleum ministry also said that power generation and usage of imported Iranian gas by heavy industries would result in annual saving of up to $1 billion in furnace oil imports, if the crude oil prices are at $50 per barrel.

The reports and calculations forwarded by the ISGS further said that there would be an annual saving of $735 million, compared to if the equivalent quantity of LNG was imported for power generation, and the saving will increase in line with the hike in global crude oil price.

DAWN.COM | Business | Pakistan, Iran sign gas pipeline accord

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## A1Kaid

Seems like a win-win proposal for both Iran & Pakistan, can't complain there. Iran will get to export it's oil to the region and build better ties with Pakistan and earn more money, Pakistan will have discounted oil imports from a friendly source and will be able to develop Gwadar further, not to mention develop better economic ties with the Persians.


Thanks for posting what appears to be good news.

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## brilTek

*Iran, Pakistan Sign Gas Pipeline Deal *

Tehran, May 24, IRNA &#8211; Iran and Pakistan signed a deal on Sunday for laying of a gas pipeline to transfer Iran's gas to Pakistan. 

The deal known as "Peace Pipeline" was signed on the sidelines of the current tripartite summit on Afghanistan security in Tehran. 







President Mahmoud Ahmadinejad and his Pakistani counterpart signed the contract and exchanged views on it. 

Iran's Oil Ministry declared on Saturday that negotiations on "Peace Pipeline" were underway between Iranian and the Pakistani delegations which would allow Iran's gas to be exported to Pakistan through Assalouyeh. 

*The 2,700 kilometer long pipeline is to transfer Iranian gas to India via Pakistan. *

*It is predicted that some 1,100 kilometers of pipelines would be laid in Iran's territory, 1000 kilometers in Pakistan and 600 kilometers in India. 

The project is to transfer some 150 million cubic meters of gas per day. *

*Construction of the 56 inch thick pipeline is to be completed in five years. *



Source: Iran News: Pak Iran "Peace Pipeline"

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## murshid

good news , india is OUT , i am more then happy..

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## niaz

Main reason why the negotiations had been stalled for a few years was the price. I dont see any mention of the price at which Iran will sell her gas to Pakistan. 

Internationally, natural gas is sold on the US Dollars per million BTU index linked to the crude price. There is huge variation in the prices depending location and when the prices were initially negotiated. To quote actual example:

Largest importer of gas as LNG (liquefied natural gas) is Japan which imports around 6- million tons per month. Average import price into Japan in Dec 2008 was $13.75 per million BTU. Japans largest supplier is Indonesia which shipped 1.4-million tons of LNG to Japan at a price of $7.37 per million BTU. Imports from Australia landed at $16.42 and from Malaysia at $13.74 /mn BTU.

Taiwan on the other hand imported 0.5 million tons in December with prices varying from $3.18/mn BTU from Qatar to $17.70/mn BTU from Nigeria. (These are landed prices not FOB prices)

Point I am trying to make is that most important element; that is price, has not been disclosed in the news. IMO we should wait and see how the price compares with the alternate of fuel oil import before we start celebrating.

Since the concept of million BTU is difficult to grasp. Please note:

1-metric ton of LNG (specific gravity of 0.45) equals 51.3 million BTU.
1-million BTU equals 0.172 barrels of oil
1-million BTU equals 1000 cubic feet of gas.
150-million cubic metres of gas per day is equal to approx 91,000 barrels per day of oil.

LNG is the same thing as natural gas; it is liquefied for the ease of transportation. The price comparison of gas coming from Iran with the LNG is therfore valid.


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## brilTek

niaz said:


> Main reason why the negotiations had been stalled for a few years was the price. *I dont see any mention of the price at which Iran will sell her gas to Pakistan. *



*Its 80% of crude oil as reported in two newspapers, Dawn & The News. *

Following excerpt from Dawn:

The federal cabinet had earlier agreed to allow the import of one billion cubic feet of gas at the rate of 80 per cent of the price of crude oil.


The following from The News

a senior official of the Ministry of Petroleum who attended the meeting confided to The News.

The price of gas to be imported from Iran under Gas Sales and Purchase Agreement (GSPA) through IP gas line project has been proposed at 80 per cent of the crude oil parity price as offered by Tehran, told the official.

*Earlier Islamabad offered 78.2 per cent of crude oil price in its last ditch offer to strike the deal*, but during the recent visit of President Asif Zardari, Tehran authorities refused to retreat from its offer of 80 per cent of the crude oil gas price.


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## ajpirzada

price is high. gov has decided to use this gas only for generating electricity and not for normal consumption. 
it was must for pakistan coz otherwise we would have been facing gas loadsheddin by 2012


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## HAIDER

following Musharraf foot step...

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## Luftwaffe

Congrats to Pakistan & Iran..

Have a question if hindus blocks river waters to us would Pakistan be able to block gas flow to india?

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## niaz

ajpirzada said:


> price is high. gov has decided to use this gas only for generating electricity and not for normal consumption.
> it was must for pakistan coz otherwise we would have been facing gas loadsheddin by 2012





Based on back of the envelope calculations ($7-billion project amortized over 20 years with operating costs and 90,000 barrels per day throughput) it would cost about $4.00 per barrel for the transmission costs. Add this on to the $60 per barrel crude; at 80% of crude price ex-Iran, this works out to $9 per million BTU. Not a good deal I daresay say. Iran was supposed to be a friendly country!


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## white_pawn

Would be good for pakistan's economy. As this will quench the thirst of energy need to run Pakistan's Industries to maintain the growth rate of economy.


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## holysaturn

luftwaffe said:


> Congrats to Pakistan & Iran..
> 
> Have a question if hindus blocks river waters to us would Pakistan be able to block gas flow to india?



but the gas is not ours yet,and we are happy to use *ur* water.but again u r not blocking it u r just asking for more $$$.india still has the option to enter.without india think it is a lost oppurtunity for pakistan.
tehran times : Iran says India can rejoin pipeline deal


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## Rafael

holysaturn said:


> but the gas is not ours yet,and we are happy to use *ur* water.but again u r not blocking it u r just asking for more $$$.india still has the option to enter.without india think it is a lost oppurtunity for pakistan.
> tehran times : Iran says India can rejoin pipeline deal



I hope an average indian is more intelligent than you!

Or else we are up for another war!

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## white_pawn

luftwaffe said:


> Congrats to Pakistan & Iran..
> 
> Have a question if hindus blocks river waters to us would Pakistan be able to block gas flow to india?



Sorry man dint expected this kind of post from a member like you.  Always keep on Nagging and dragging religion in between any kind of Discussion. This is not going to take you anywhere, its like running in circles round n round and reaching nowhere.


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## holysaturn

raheel1 said:


> I hope an average indian is more intelligent than you!
> 
> Or else we are up for another war!



sorry bro dint mean to fire up i get upset wen i see those 'u blocked mine and i blocked urs(which is not ours yet)' and 'baburs crossing the border' posts ,war mongering and stupid as my posts(even i hope an average pakistani is more intelligent than them),by the way i feel it is bad to refuse ur water but i can do nothing as a citizen.i think india has changed its plans towards nuclear and clean power rather than gas.


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## BaburCM

murshid said:


> good news , india is OUT , i am more then happy..



Indeed, very good news. The Iranians have been pushing very hard for Indian involvement. We all knew that the Indians were only stalling the project. They weren't sincere in making the pipeline project a succes. Good riddance as far as I'm concerned. Now, China needs to be considered. China has already shown willingness to join the project.


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## Screaming Skull

BaburCM said:


> Indeed, very good news. The Iranians have been pushing very hard for Indian involvement. We all knew that the Indians were only stalling the project. They weren't sincere in making the pipeline project a succes. Good riddance as far as I'm concerned. Now, China needs to be considered. China has already shown willingness to join the project.




*
The agreement has an article that will allow India to join the project at an appropriate time
*
DUBAI: Iran and Pakistan on Sunday signed a deal to lay a gas pipeline for taking Iranian gas to Pakistan.

The deal, christened the Peace Pipeline, was signed in Tehran by Iran&#8217;s President Mahmoud Ahmadinejad and his Pakistani counterpart, Asif Ali Zardari, on the sidelines of a trilateral summit on Afghanistan security, the Islamic Republic News Agency (IRNA) reported.

*IRNA said the 2,700-km pipeline would transfer Iranian gas to India, through Pakistan. Iran&#8217;s semi-official Fars News Agency earlier reported that the text of the agreement included an article that would allow India to join the project at an appropriate time.*

Diplomatic sources told The Hindu that the project was conceptually attractive, but the turbulence in Pakistan&#8217;s Baluchistan province posed practical difficulties in its implementation.

As originally proposed, the project envisages construction of 1,100 km of pipeline in Iran, 1,000 km in Pakistan and 600 km in India. It will help to transfer 150 million cubic metres of gas a day. Construction of the 56-inch-dia pipeline will be completed in five years.

Besides Mr. Zardari, Mr. Ahmadinejad hosted Afghanistan President Hamid Karzai to discuss ways of stabilising their turbulent region.

Iran&#8217;s state television broadcaster IRIB quoted Mr. Ahmadinejad as saying in his address at the summit that extremism, militarism and the presence of foreign forces were the region&#8217;s most important problems.

Mr. Karzai is accompanied by his Foreign Minister Rangin Dadfar Spanta. 

------------------------------------​
*India can join the gas pipeline deal: Iran​*
DUBAI: *Iran has said it is ready for India&#8217;s participation as a third partner in the Iran-Pakistan gas pipeline project that was finalised on Sunday. There would be no obstacle for India&#8217;s joining to the deal, Hassan Qashqavi, Irans Foreign Ministry spokesman, was on Monday quoted as saying by the State-run Islamic Republic News Agency (IRNA).*

Mr. Qashqavi told reporters that though Iran and Pakistan were presently the participants, any third country, including India, could also join the agreement.

Iranian officials have earlier said that they were also looking at the possibility of China joining the project.

Mr. Qashqavi said Iranian President Mahmoud Ahmadinejad and his Pakistani counterpart Asif Ali Zardari finalised the gas pipeline agreement.

On Sunday, the IRNA was categorical in stating that the two Presidents had signed the deal.

On Monday, the semi-official Fars News Agency said the two countries had signed an initial agreement on the gas export pipeline project.

Iran&#8217;s Oil Ministry website SHANA quoted Asim Hossein, adviser to Pakistan&#8217;s Prime Minister, as saying that the two countries on Sunday had signed a governmental framework agreement as well as a final consultative process document.
Main portion

The deal in its final form would be formally signed within 15 days in a third country.

A senior Iranian Oil Ministry official said Iran had already completed construction of the main portion of the pipeline from Asalouyeh, the source of the gas, to Iranshahr near the Iran-Pakistan border.

The project as originally proposed had envisaged construction of 1,100 km of pipeline in Iran, 1,000 km in Pakistan and 600 km in India. 

The Hindu : Front Page : Iran, Pakistan ink gas pipeline deal

The Hindu : International : India can join the gas pipeline deal: Iran


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## BaburCM

^^ We will see about that. You will pay the required transit fee and only then will you be able to join the project. Something that India has categorically denied so far and Pakistan won't tolerate. Addiotnally, India will have to convince the Americans which are vehemently opposed tot he project. Also, India wants gas for free meaning at a worthless rate. Well, neither Iran nor Pakistan will ever agree to that. You got some serious hurdles to overcome before even thinking of joining the project. In the meanwhile, China has already been approached by Pakistan and a feasibility study is going to be conducted very soon.


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## holysaturn

BaburCM said:


> ^^ We will see about that. You will pay the required transit fee and only then will you be able to join the project. Something that India has categorically denied so far and Pakistan won't tolerate. Also, India wants gas for free meaning at a worthless rate. Well, neither Iran nor Pakistan will ever agree to that. You got some serious hurdles to overcome before even thinking of joining the project. In the meanwhile, China has already been approached by Pakistan and a feasibility study is going to be conducted very soon.



iran wont invite india if it has no benefits.


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## BaburCM

holysaturn said:


> iran wont invite india if it has no benefits.



That's the way it should be. Iran has every right to weigh its benefits.


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## Musalman

80&#37; of crude oil is bad.People are cursing govt and the Sui Gas for high prices even when local gas is approx 50% of crude oil.
GOP should go for coal fired power plants


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## holysaturn

Musalman said:


> 80% of crude oil is bad.People are cursing govt and the Sui Gas for high prices even when local gas is approx 50% of crude oil.
> GOP should go for coal fired power plants



coal can be converted into highly efficient clean fuel under high pressure and temp.but it needs sufficient infrastructure.the by product is also used in mettallurgy.


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## BaburCM

Musalman said:


> 80&#37; of crude oil is bad.People are cursing govt and the Sui Gas for high prices even when local gas is approx 50% of crude oil.
> GOP should go for coal fired power plants



I agree, however, you need to understand that deriving energy from coal will require an infrastructure which isn't in place. It's a long term solution like nuclear energy etc. In the meanwhile, the energy shortage will remain and importing gas from neighbouring Iran is the best possible short term answer. The current energy crisis in Pakistan has a long history. The energy needs have been neglected for decades. Despite being a nuclear power Pakistan today is facing a daunting energy crisis. Goes to show that the leaders of this country have other priorities.


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## murshid

what is this going around , 
i am finding more talk on india in iran-pakistan gas deal.


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## Skeptic

BaburCM said:


> I agree, however, you need to understand that deriving energy from coal will require an infrastructure which isn't in place. It's a long term solution like nuclear energy etc. In the meanwhile, the energy shortage will remain and importing gas from neighbouring Iran is the best possible short term answer. The current energy crisis in Pakistan has a long history. The energy needs have been neglected for decades. Despite being a nuclear power Pakistan today is facing a daunting energy crisis. Goes to show that the leaders of this country have other priorities.



Can you define long term and short term you mentioned here? The pipeline itself is "suggested" will be constructed in 5 years, and looking at ground realities + the areas it needs to pass through, it mar require, in actual terms, more than 8-10 years just to be functional. Price was one of the major issues on which the entire project was stalled.


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## Screaming Skull

*India has no plan to shelve IPI gas pipeline​*
Mumbai May 26, 2009

The Indian government, said a senior official, wishes to take talks foward on the $7 billion Iran-Pakistan-India gas pipeline project.

This was a day after Iran and Pakistan were reported to have signed on the pipeline agreement.

India is in discussion with Iran (on the gas price revision clause) and with Pakistan (on transport cost issues) to resolve the issues impeding a deal.

*We are very much interested in the pipeline,* said a senior official from the ministry of petroleum and natural gas.

India has been part of the 2,775-km pipeline project for over a decade, but did not participate in a critical meeting held on the issue in October last year, where officials from Iran and Pakistan discussed the project cost and new gas pricing formulae.

*We are always looking for sources of gas to ensure energy security. However, while we would want gas security, we do want it at a reasonable pricing,* the official added.

India needs to resolve its issues with Pakistan  including security of the pipeline  before moving on to the issues with Iran.

*Before discussing other issues, resolving the issue of transit fee and transportation cost is important,* an official said.

Iran, Pakistan and India had earlier mutually agreed to a price of $4.93 per million British thermal unit (mBtu) for the gas from the South Pars field in Iran.

Analysts say with India having to pay a transportation charge to Pakistan, the price could go up to a high of $8-10 per mBtu.

In the past, there have been reports that India could opt out of the project, with Iran and Pakistan bringing in China as a possible third partner. However, the ministry official denied any such proposal.

*Considering the route, it is impossible that China could be a part of this project,* the official added.

India is likely to receive an estimated 30 million cubic metres of natural gas per day (mcmd) from Iran, if the agreement comes through.

Reuters reported last week that officials from Teheran and Islamabad had signed an agreement on exports of Iranian natural gas. Iran would deliver an annual 8 billion cubic meters of gas to Pakistan under the agreement.

Iran has the worlds second-largest gas reserves after Russia. But sanctions, politics and construction delays have slowed its development, and analysts say Iran is unlikely to become a major exporter for a decade.

The construction of the Pakistani part of the pipeline would take three to four years.

Under the original plans, the pipeline would initially carry 60 million cubic metres of gas daily to Pakistan and India, half for each country. The pipelines capacity would later rise to 150 million cu metres.

India has no plan to shelve IPI gas pipeline

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## BaburCM

*&#8220;Considering the route, it is impossible that China could be a part of this project,&#8221; the official added.*

BS. Every single time when Pakistan and Iran book progress all of a sudden the Indians get interested. The Indians are still in the negotiation phase whereas Pakistan and Iran have sorted out their differences and are in an advanced stage. Chinese themselves are interested in becoming part of the pipeline project. Who the hell are these Indian officials to deny that? Heck, China will be added to the pipeline even if India somehow managed to become part of the project. *The Indians first need to sort out their cost disagreements with Pakistan and Iran before even mentioning the word pipeline.*

The Indians conveniently forgot to highlight the following excerpt from the article:

*India is in discussion with Iran (on the gas price revision clause) and with Pakistan (on transport cost issues) to resolve the issues impeding a deal.*


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## BaburCM

Skeptic said:


> Can you define long term and short term you mentioned here? The pipeline itself is "suggested" will be constructed in 5 years, and looking at ground realities + the areas it needs to pass through, it mar require, in actual terms, more than 8-10 years just to be functional. Price was one of the major issues on which the entire project was stalled.



I've already explained long term and short term solutions. Read my previous post. Of course, even building the pipelines will require time. Let's not exaggerate, shall we? It will require 4 years at utmost. You&#8217;re not Houdini or Nostradamus to predict that it will take 8-10 years to just build a pipeline from Iran to Pakistan. That&#8217;s just a deliberate overestimation and a desperately biased desire on your part for the project to fail. Fact remains that the Indians have only acted against the pipeline project so far. I can understand your agitation and where it&#8217;s coming from. Well, let me burst your bubble by saying that once the project is going ahead in full steam expect it to be finished in a couple of years.


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## Luftwaffe

white pawn religion? did i even talk about religion ur a hindu not an indian.. india is a british tagged name for you guys go read history first there was no such thing as India before british entered this region..previously you ppl were hindus still are nothing to do with religion and almost all of the forum members know that except for you and ur troll party..google it best place to start off with.
Now stick to topic!


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## Skeptic

BaburCM said:


> I've already explained long term and short term solutions. Read my previous post. Of course, even building the pipelines will require time. Let's not exaggerate, shall we? It will require 4 years at utmost. Youre not Houdini or Nostradamus to predict that it will take 8-10 years to just build a pipeline from Iran to Pakistan. Thats just a deliberate overestimation and a desperately biased desire on your part for the project to fail.



I am not talking about the solution, rather its explanation in quantitative terms. The deal is for 25 years and time predicted for construction in 5 years by the experts.

I'm not Houdini or Nostradamus to predict anything, but I rely on simpler things like observation. 

Which was the last large scale construction project to finish on/before time? And what is the cost of the pipeline again - 8 Billion was it? And what is the biggest reason for escalation of cost - Constructional delays.

Other interference can be the area it runs through, which includes Bauchistan. Which pipeline was last to blown off, and where?

Do we have a date of start of construction yet?

Iran is not exactly in the best of political situation and Pakistan has also seen better days.

I have no desire of a seeing a civilian project fail, but I have estimated based on these and some similar observations.



> Fact remains that the Indians have only acted against the pipeline project so far. I can understand your agitation and where its coming from.


We are keen to be a part of commercially beneficial project and have shown our interest in the same time and again. Indians have not acted against the project, and concern has mostly been on pricing. I don't see a problem with that being reminded ever so often that how poor India really is. Indian have no reason to demonstrate any "agitation", we have the option of joining in the project later, and will do so when the time is right. When the issues with Baluch is sorted out and construction in full swing, price negotiated to a lower level and Pakistan is more open to the idea of trade and offers reduced transit fee. 



> Well, let me burst your bubble by saying that once the project is going ahead in full steam expect it to be finished in a couple of years.



Best of Luck for that. Then we can join in earlier than expected, I suppose.


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## BaburCM

^^ On the one hand you claim that both Iran and Pakistan are unstable yet you are apparently so eager to join the project. A little contradictory to say the least. You also don't shy from admitting that you don't want China to join this particular project. Apart from the Houdini predictions, just make up your mind and stop making up excuses and stalling the project. * Truth is that we don't need you in this or any other project.* Period.


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## Skeptic

BaburCM said:


> ^^ On the one hand you claim that both Iran and Pakistan are unstable yet you are apparently so eager to join the project. A little contradictory to say the least. You also don't shy from admitting that you don't want China to join this particular project. Apart from the Houdini predictions, just make up your mind and stop making up excuses and stalling the project. * Truth is that we don't need you in this or any other project.* Period.



Which part do you stand to deny - Both are unstable or that India does not want to be a part of project?

Excuses don't stall the projects, circumstances do. India was always willing to join in the project and we might as well if all circumstances fall in place.
*
The truth is, you are not the only party in the project and the other party has shown sufficient keenness for India to join in.*


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## arsenal_gooner

so thats the death nail for the indians dreams of IPI . They gave into us pressure


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## murshid

why infect there is a clouse in the deal to allow india to be part in the project at a later satge ,
i like to see indians droped from the pipeline for ever .


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## Neo

*Russian Gazprom eyes role in Iran-Pakistan pipeline ​*Wednesday, 27 May, 2009

MOSCOW: Russian gas export monopoly Gazprom is keen to participate in a pipeline to carry Iranian gas to Pakistan, the Kommersant daily reported on Wednesday, citing company and government officials.

We are ready to join the project as soon as we receive an offer, Russia's deputy energy minister Anatoly Yankovsky told the daily.

The paper quoted another top government official as saying Moscow sees the pipeline as a means to divert Iranian gas from competing with Russian exports on the European market.

This project is advantageous to Moscow since its realisation would carry Iranian gas toward South Asian markets so that in the near future it would not compete with Russian gas to Europe, Kommersant wrote.

Russian exports satisfy over one quarter of Europes gas needs, but the European Union has sought to lessen its dependence with the construction of the Nabucco pipeline to pump Caspian Sea gas to Europe which would bypass Russia.

The multi-billion dollar Iran-Pakistan pipeline, which aims to pump an initial 11 billion cubic metres of Iranian gas per year to Pakistan, could deprive the Nabucco project of one possible source for gas supplies.

Gazprom spokesman Sergei Kupryanov confirmed the companys interest in the project, Kommersant reported.

It cited an unnamed official in the company as saying Gazprom could serve as the pipeline operator or also participate in its construction.

The start date for construction of the much-delayed pipeline is planned for September 2009 to be completed in June 2014, the paper reported.

Iranian officials have said the supply of gas to Pakistan could begin in three to four years.

The pipeline project, when initially mooted in 1994, had proposed to carry gas from Iran to Pakistan and India. But India withdrew last year from the talks over repeated disputes on prices and transit fees.

The 900-kilometre pipeline is being built between Asalooyeh in southern Iran and Iranshahr near the border with Pakistan and will carry the gas from Iran's South Pars field.

Iranian officials said Monday that the final contract would be signed in three weeks. AFP

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## BaburCM

Skeptic said:


> Which part do you stand to deny - Both are unstable or that India does not want to be a part of project?
> 
> Excuses don't stall the projects, circumstances do. India was always willing to join in the project and we might as well if all circumstances fall in place.
> *
> The truth is, you are not the only party in the project and the other party has shown sufficient keenness for India to join in.*



Well, let me burst your bubble. Your entire plea is based on mere speculation and excuses. *Fact remains that this gas will pass through our soil and we are a major break or make factor in the deal.* Just don't show too much teeth because you don't have any in this case. Iran also relies on Pakistan for gas to reach India. Never forget that. You're in no position to dictate or set the terms, always remember that. Also, first start negotiating about the cost before even dreaming about joining this project. The reality is that you have deliberately stalled the project, cannot bear that Iran and Pakistan have resolved all their issues and now fear that China might join. All attributes of a cowardly sour loser. In the meanwhile, let's not even *speculate* about India joining the project even if so-called circumstances allow them so. Let's not blame everyhting on circumstances, shall we? That's a convenient way to discard the actual malign intentions. You're not part of the project, but are still in the negotiation phase. Just some spicy facts for you to digest.


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## niaz

I had lunch with LNG Trader of Shell today and was informed the Qatar is puttng up LNG train No. 4 ( 2-milion ton per annum capacity or approx 48,500 bbls per day) and offering LNG at $3.50 per million BTU FOB Qatar. Indians are very keen to term up. Since Qatar own largest gas field in the world, they can go on increasing the capacity ad inifitim. Iranian price is closer to $8 per million BTU.

It is possible that one of the reasons of India being luke warm about this project could be the price.

Incidentally if India joins the IPI project, Pakistan could earn as much as $500-million per annum in transit fees.

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## Musalman

niaz said:


> I had lunch with LNG Trader of Shell today and was informed the Qatar is puttng up LNG train No. 4 ( 2-milion ton per annum capacity or approx 48,500 bbls per day) and offering LNG at $3.50 per million BTU FOB Qatar. Indians are very keen to term up. Since Qatar own largest gas field in the world, they can go on increasing the capacity ad inifitim. Iranian price is closer to $8 per million BTU.
> 
> It is possible that one of the reasons of India being luke warm about this project could be the price.
> 
> Incidentally if India joins the IPI project, Pakistan could earn as much as $500-million per annum in transit fees.



3.5 per mmbtu is good price, its nearly as same as Pakistani gases


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## ajpirzada

i remember few weeks back one of our ministers was in Qatar to talk about the similar deal.


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## ajpirzada

*Pipelineistan goes Iran-Pak *
By Pepe Escobar 

The earth has been shaking for a few days now all across Pipelineistan - with massive repercussions for all the big players in the New Great Game in Eurasia. United States President Barack Obama's AfPak strategists didn't even see it coming. 

A silent, reptilian war had been going on for years between the US-favored Turkmenistan-Afghanistan-Pakistan-India (TAPI) pipeline and its rival, the Iran-Pakistan-India (IPI) pipeline, also known as the "peace pipeline". This past weekend, a winner emerged. And it's none of the above: instead, it's the 2,100-kilometer, US$7.5 billion IP (the Iran-Pakistan pipeline), with no India attached. 

This whole saga started way back in 1995 - about the time

California-based Unocal started floating the idea of building a pipeline crossing Afghanistan. Now, Iran and Pakistan finally signed a deal this week in Tehran, by which Iran will sell gas from its mega South Pars fields to Pakistan for the next 25 years. 

According to Iranian energy officials speaking to the ISNA news agency, the final deal will be signed in less than three weeks, slightly after the first round of the Iranian presidential election. The last 250 km of a 900-km pipeline stretch in Iran between Asalouyeh and Iranshahr, near the border with Pakistan, still needs to be built. The whole IP pipeline should be operational by 2014. 

The fact that Islamabad has finally decided to move on is pregnant with meaning. For the George W Bush administration IPI was simply anathema; imagine India and Pakistan buying gas from "axis of evil" Iran. The only way to go was TAPI - an extension of the childish neo-conservative belief that the Afghanistan war was winnable. 

Now, IP reveals Islamabad's own interests seemed to have prevailed against Washington's (unlike the virtually US-imposed Pakistan army offensive against the Taliban in the Swat Valley). The Barack Obama administration has been mum about IP so far. But it will be very enlightening to hear what former Bush pet Afghan Zalmay Khalilzad - who's been infiltrating himself as the next CEO of Afghanistan - has to say about it. (Please see Slouching towards Balkanization, May 22, 2009, Asia Times Online.) Khalilzad's Pipelineistan dream, since the mid-1990s, has always been a trans-Afghan pipeline capable of bypassing both Iran and Russia. 

*IP, IP, hurrah*
India, for a number of reasons (the pricing system, transit fees and above all, security) de facto shelved the IPI idea last year. Had it not been the case, IPI would become a powerful vector in terms of South Asian regional integration - doing more to stabilize India-Pakistan relations than any diplomatic coup. Nevertheless, both Iran and Pakistan still have left an open door to India. 

India's (momentary?) loss will be China's gain. Since 2008, with New Delhi having second thoughts, Beijing and Islamabad had set up an agreement - China would import most of this Iranian gas if India dropped out of IPI. China anyway is more than welcome business-wise to both Iran and Pakistan. Only in transit fees, Islamabad could collect as much as $500 million a year. 

For Beijing, IP could not be more essential. Iranian gas will flow to the Balochistan province port of Gwadar, in the Arabian Sea (which China itself built, and where it is also building a refinery). And Gwadar is supposed to be connected to a proposed pipeline going north, mostly financed by China, along the Karakoram Highway (which by the way was largely built from the 1960s to the 1980s by Chinese engineers ... ). 

Pakistan is the absolutely ideal transit corridor for China to import oil and gas from Iran and the Persian Gulf. With IP in place and with multi-billion-dollar, overlapping Tehran-Beijing gas deals, China can finally afford to import less energy via the Strait of Malacca, which Beijing considers exceedingly dangerous, and subject to Washington's sphere of influence. 

With IP, not only China wins; Russia's Gazprom also wins. And by extension, the Shanghai Cooperation Organization (SCO) wins. Russian deputy Energy Minister Anatoly Yankovsky told the Kommersant business daily, "We are ready to join the project as soon as we receive an offer." 

The reason is so blatant that Gazprom officials have not even bothered to disguise it. For Russia, IP is a gift-from-above tool in rerouting gas from Iran to South Asia, and away from competing with Russian gas. The big prize, in this case, is the Western European market, dependent almost 30&#37; on Gazprom and the source of 80% of Gazprom's export profits. 

The European Union is desperately trying to keep the Nabucco pipeline project - which bypasses Russia - afloat, so it may reduce its dependence on Gazprom. But as anyone in Brussels knows, Nabucco can only work if it is provided enough gas by either Iran or Turkmenistan. The Turkmenistan distribution system is controlled by Russia. And a deal with Iran implies no more US sanctions - still a long way away. With IP in place, Gazprom reasons, Nabucco is deprived of a key supply source. 

*All eyes on Balochistan* 
With IP firmly in place, the strategic spotlight focuses even more on Balochistan. (Please see Balochistan is the greatest prize, May 9, 2009, Asia Times Online.) First of all, there's an internal Pakistani question to be settled. An editorial in the Pakistani daily Dawn has stressed how Islamabad must be serious about hiring indigenous Balochi labor and making sure "the gains of the economic activity ... are focused on Balochistan for the benefit of its poverty-stricken people". 

The port of Gwadar, in southwest Balochistan, near the Iranian border, is indeed bound to become a new Dubai - but not the way the vice president Dick Cheney and gang in Washington once dreamed of. Gas from the South Pars fields in Iran will definitely flow though it. As for gas from the Daulatabad fields in Turkmenistan, assuming TAPI ever gets built though war-torn Afghanistan, that's much more unlikely. 

This all raises the crucial question: how will Islamabad deal with ultra-strategic Balochistan - east of Iran, south of Afghanistan, and boasting three Arabian sea ports, including Gwadar, practically at the mouth of the Strait of Hormuz? 

The New Great Game in Eurasia rules that Pakistan is a key pivot to both North Atlantic Treaty Organization (NATO) and the SCO, of which Pakistan is an observer. Balochistan de facto incorporates Pakistan as a key transit corridor to Iranian gas from the monster South Pars fields, and not to a great deal of the Caspian wealth of "gas republic" Turkmenistan. For the Pentagon, the birth of IP is mega bad news. The ideal Pentagon scenario is the US controlling Gwadar - in yet one more prime confluence of Pipelineistan and the US Empire of Bases. 

With Gwadar directly linked to Iran and developed virtually as a Chinese warehouse, the Pentagon also loses the mouth-watering opportunity of a long land route across Balochistan into Helmand, Nimruz, Kandahar or, better yet, all of these three provinces in southwest Afghanistan, where soon, not by accident, there will be another US mega-base in the "desert of death". From a Pentagon/NATO perspective, after the "loss" of the Khyber Pass, that would be the ideal supply route for Western troops in the perennial, now rebranded, GWOT ("global war on terror"). 

*Balochis surging*
Islamabad has promised an all-parties conference "within days" to seriously deal with Balochistan. No one is holding their breath. Over a year ago, Balochistan was promised greater control over its immense natural resources - the undisputed, number-one Baloch grievance - and a massive aid package. Not much has happened. 

Punjabis derisively refer to Balochistan's "backwardness". But the heart of the matter is systematic, hardcore pillage by Islamabad - combined with hardcore repression and serial Latin America-in-the-1970s-style "disappearances" of political activists and senior Baloch nationalists. Not to mention virtually no investment in health, education and job creation. This Third World dictatorship catalogue of disasters fuels Baloch nationalism and separatism. 

Islamabad's paranoia is "foreign involvement" in the different strands of Balochistan's nationalist movements. That would be, in fact, the CIA, MI5 and the Israeli Mossad, all engaged in overlapping agendas which manipulate Balochistan for balkanization of Pakistan purposes and/or as a base for the destabilization of neighboring Iran's southeast. While the Taliban, Afghan or Pakistani, can roam free across Balochistan, Baloch nationalists are intimidated, harassed and killed. 

Sanaullah Baloch, a secretary of the Balochistan National Party-Mengal, told Dawn how "several Baloch political parties tried to file charges against [former president General Pervez] Musharraf, but the country's institutions lack the will or courage to accept our plea against him." Studies show that rural poverty in Balochistan when Musharraf was in power increased 15% between 1999 and 2005. 

Sanaullah Baloch roundly denounces the "civil-military elites" of Pakistan as implicated in the systematic repression going on in Balochistan; "Without their consent, no political regime can undo their policy of continued suppression." 

And his analysis of why Islamabad has made a deal with the Taliban in Swat but won't do a deal with Balochis could not be more enlightening: "The establishment in Pakistan has always felt comfortable with religious groups as they do not challenge the centralized authority of the civil-military establishment. The demands of these groups are not political. They don't demand economic parity. They demand centralized religious rule which is philosophically closer to the establishment's version of totalitarianism. Islamabad's elite are stubborn against genuine Baloch demands: governing Balochistan, having ownership of resources, and control over provincial security." 

So Islamabad still has all it takes to royally mess up what it has accomplished by approving IP. For the moment, Iran, Pakistan, China and Russia win. The SCO wins. Washington and NATO lose, not to mention Afghanistan (no transit fees). But will Balochistan also win? If not, all hell will break loose, from desperate Balochis sabotaging IP to "foreign interference" manipulating them into creating an even greater, regional, ball of fire. 

*Pepe Escobar *is the author of Globalistan: How the Globalized World is Dissolving into Liquid War (Nimble Books, 2007) and Red Zone Blues: a snapshot of Baghdad during the surge. His new book, just out, is Obama does Globalistan (Nimble Books, 2009). 

He may be reached at pepeasia@yahoo.com. 
Asia Times Online :: South Asia news, business and economy from India and Pakistan


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## MZUBAIR

Thats good and will create new friendship chapter


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## Interceptor

HAIDER said:


> following Musharraf foot step...



NO Progressing away Musharraf's blunders. Plus IPI wasn't patented by him.


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## Interceptor

murshid said:


> good news , india is OUT , i am more then happy..



But now the whole financial mass would fall on Pakistan, I am sure the Indians should reconsider their decisions to withdraw from the project.


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## Skeptic

BaburCM said:


> Well, let me burst your bubble. Your entire plea is based on mere speculation and excuses. *Fact remains that this gas will pass through our soil and we are a major break or make factor in the deal.* Just don't show too much teeth because you don't have any in this case. Iran also relies on Pakistan for gas to reach India. Never forget that. You're in no position to dictate or set the terms, always remember that. Also, first start negotiating about the cost before even dreaming about joining this project. The reality is that you have deliberately stalled the project, cannot bear that Iran and Pakistan have resolved all their issues and now fear that China might join. All attributes of a cowardly sour loser. In the meanwhile, let's not even *speculate* about India joining the project even if so-called circumstances allow them so. Let's not blame everyhting on circumstances, shall we? That's a convenient way to discard the actual malign intentions. You're not part of the project, but are still in the negotiation phase. Just some spicy facts for you to digest.



Finally I have decided that you are not worthy of a civilized discussion and you have done your doctrate in hostile writing. You can keep holding onto your self-indulging beliefs and till you learn how to put your point across in a more civil and less provocative manner, you can continue with your jingoism and will have nothing new to learn.Have a nice time provoking others for a harsh reply. I'm not chewing it. 

Keep you opinions and your bubble. You can keep on bursting them at your will.


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## Musalman

ajpirzada said:


> i remember few weeks back one of our ministers was in Qatar to talk about the similar deal.



Pakistan is doing that for past 15 years


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## ajpirzada

Musalman said:


> Pakistan is doing that for past 15 years



lolzzz....... ya this IPI talk was also goin on for last 15 yrs. lets hope this qatar one gets sorted as well.

btw i would love india to be a part of this. IPI, TAPI etc etc. it will be gud for the region and espacially for relations bw us two countries. that way india will stop medlin iin balochistan as well coz pakistan wont be the only one gettin effected. that gas would finally have to go to india. however i think there is some understandin bw US and india about this IPI project


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## Neo

*Pakistan and Gazprom sign MoU ​* 
ISLAMABAD (May 29 2009): Pakistan and Gazprom, the largest extractor of natural gas in the world and largest Russian company, have signed a Memorandum of Understanding (MoU) for laying the 950 km gas pipeline under the Iran-Pakistan-India (IPI) project. Pakistan and Iran have recently finalised the draft of Gas Sales Purchase Agreement (GSPA) and are close to signing the deal.

Work on the IPI gas pipeline project is scheduled to commence in September 2009 and completed in four years. "Gazprom and Pakistan have already signed the MoU to carry out the project," sources in Petroleum Ministry revealed to the Business Recorder.

A pre-feasibility study of the IPI project was undertaken in 2006; to further develop the project, a bankable feasibility study as well as Front End Engineering Design (FEED) will be undertaken that would enable the project managers to approach prospective investors and financiers. Sources said that a Pakistani company would undertake feasibility study and design.

The country is facing a massive power shortage, which has led to widespread load shedding across the country. As many as 48 percent of thermal power generation is based on furnace oil of which 62 percent was imported costing over $2 billion in financial year 2007-08. Official sources said that gas imported from Iran would be utilised mainly for power generation that would be 25 percent cheaper as compared to the power generated through furnace oil. Pakistan has made a commitment to Iran to import minimum 750 million cubic feet gas per day and maximum one billion cubic feet gas per day.

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## BaburCM

Skeptic said:


> Finally I have decided that you are not worthy of a civilized discussion and you have done your doctrate in hostile writing. You can keep holding onto your self-indulging beliefs and till you learn how to put your point across in a more civil and less provocative manner, you can continue with your jingoism and will have nothing new to learn.Have a nice time provoking others for a harsh reply. I'm not chewing it.
> 
> Keep you opinions and your bubble. You can keep on bursting them at your will.



 I love it when I touch a sensitive snare.  I know that people like you like to brandish the truth as hostile and uncivilized. That, however, doesn't change the reality one bit. Hope you don't choke on the Gazprom news.

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## ajpirzada

Neo said:


> *Pakistan and Gazprom sign MoU ​*
> ISLAMABAD (May 29 2009): Pakistan and Gazprom, the largest extractor of natural gas in the world and largest Russian company, have signed a Memorandum of Understanding (MoU) for laying the 950 km gas pipeline under the Iran-Pakistan-India (IPI) project. Pakistan and Iran have recently finalised the draft of Gas Sales Purchase Agreement (GSPA) and are close to signing the deal.
> 
> Work on the IPI gas pipeline project is scheduled to commence in September 2009 and completed in four years. "Gazprom and Pakistan have already signed the MoU to carry out the project," sources in Petroleum Ministry revealed to the Business Recorder.
> 
> A pre-feasibility study of the IPI project was undertaken in 2006; to further develop the project, a bankable feasibility study as well as Front End Engineering Design (FEED) will be undertaken that would enable the project managers to approach prospective investors and financiers. Sources said that a Pakistani company would undertake feasibility study and design.
> 
> The country is facing a massive power shortage, which has led to widespread load shedding across the country. As many as 48 percent of thermal power generation is based on furnace oil of which 62 percent was imported costing over $2 billion in financial year 2007-08. Official sources said that gas imported from Iran would be utilised mainly for power generation that would be 25 percent cheaper as compared to the power generated through furnace oil. Pakistan has made a commitment to Iran to import minimum 750 million cubic feet gas per day and maximum one billion cubic feet gas per day.



its a really big strategic move. i was never expactin it despite all the news in the media

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## luckyy

india is not a party in the deal..
request to pakistani members on this forum , to be specific , it's not a Iran-Pakistan-India (IPI) pipeline , it's now a Iran-Pakistan pipeline...


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## merkaat

I am eager to see whether the gas is able to cross Balochistan and reach main consumption centers as the tribes are known to blow up even the power lines.

If the pipeline is constructed then finally the balochis will have upperhand with rest of pak as any such attempt to stiffle them will lead to bombing pipeline.


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## ajpirzada

merkaat said:


> I am eager to see whether the gas is able to cross Balochistan and reach main consumption centers as the tribes are known to blow up even the power lines.
> 
> If the pipeline is constructed then finally the balochis will have upperhand with rest of pak as any such attempt to stiffle them will lead to bombing pipeline.



well its actually Bugti area which like blowin up pipelines otherwise rest all is fine. 
but yes gov does needs to take care of baloch ppl by workin agressively for their development. if this isnt done then this thing will spread from few tribes to many tribes which we definately dont want

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## BaburCM

luckyy said:


> india is not a party in the deal..
> request to pakistani members on this forum , to be specific , it's not a Iran-Pakistan-India (IPI) pipeline , it's now a Iran-Pakistan pipeline...



Finally, luckyy gets the point.


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## Neo

*Gazprom and IPI​*
EDITORIAL (June 01 2009): Gazprom, the largest extractor of natural gas in the world and the largest Russian company, has indicated an interest in participating in the pipeline project carrying gas from Iran to Pakistan. Gazprom has more than adequate experience in the field. By end 2004 Gazprom produced 19.4 trillion cubic feet, or 85 percent of Russia's total gas production.

With reserves of 28,800 cubic kilometres, Gazprom controls 16 percent of the world's gas reserves and after acquisition of the oil company Sibneft, Gazprom, with 119 billion barrels (18.9 km3) of reserves, ranks behind only Saudi Arabia, with 263 billion barrels (41.8 km3), and Iran, with 133 billion barrels (21.1 km3), as the world's largest owner of oil and oil equivalent in natural gas. It supplies gas to European countries and the European Union as a whole gets about 25 percent of its gas supplies from this company. However concerns about funding of the Iran-Pakistan-India (IPI) gas pipeline were attributed to the Bush administration's resistance to this project which, in turn, resulted in drying up of many a possible financial source.

The Obama policy on this issue is not yet clear however it is relevant to point out that Gazprom has the necessary finances to turn this deal into reality as, apart from its gas reserves and the world's longest pipeline network (150,000 km), Gazprom also controls assets in banking, insurance, media, construction and agriculture.

There is speculation that Gazprom's interest in the IPI pipeline project maybe due to Russia's geo-political considerations: Russia's resistance to the American supported Central Asia South Asia Regional Electricity Market (CASAREM) project that is focused on supplying energy deficient South Asia from energy surplus Central Asia. It maybe recalled that Gazprom, with the backing of the Russian government, agreed to purchase all surplus energy from the Central Asian Republics as a countermove to US efforts to open Central Asia's energy to South Asia. This latest show of interest in the IPI by Gazprom, therefore, may be seen as a countermove to previous American efforts to stall the deal.

However, there is an additional advantage to Gazprom for supporting the IPI deal. In the words of Kommersant, a Russian daily, "this project (IPI) is advantageous to Russia since its realisation would carry Iranian gas toward South Asian markets so that in the near future it would not compete with Russian gas to Europe." Spokesman of the company, Kupryanov, has confirmed Gazprom's interest in the project.

From the perspective of Pakistan, Gazprom may well provide an opportunity to translate IPI finally into reality. Gazprom not only has the expertise to lay the pipeline but also has access to financing if the government of Pakistan requests it. The 950-kilometre pipeline to be laid inside Pakistan territory carries a cost of 1.2 billion dollars if the pipeline is 42-inch that precludes India's buy in into the project at some future date.

A 56-inch pipeline costing 2 billion dollars would enable India to come into the project anytime later. Russian-Indian relations have traditionally been good, almost comparable to ours with China, and Gazprom's involvement, if guaranteed, may reactivate Indian interest in the project - an interest that would pay Pakistan dividends in terms of annual transit fee of millions of dollars.


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## AgNoStiC MuSliM

*Pakistan, Iran quietly sign gas deal in Turkey*​
Wednesday, June 10, 2009

By Rauf Klasra

ISLAMABAD: Pakistan has finally signed the IPI gas pipeline deal with Iran in Turkey on June 5, in relative silence, days before the Iranian election and without any major discussion or debate within Pakistan on whether it was prudent to pay a high price compared to the one originally agreed by Tehran.

Details of the agreement obtained by The News reveal the PPP government was in an unprecedented rush to go through the deal while the Iranians took the deal to their parliament and demanded an upward revision of the gas price after their parliament rejected the original deal.

President Asif Zardari signed the Inter-governmental Framework Declaration with Iranian President Mahmoud Ahmadinejad on May 24, agreeing to the export of Iranian gas to Pakistan for domestic use. Export of Iranian gas to India was made conditional by adding the words if applicable in the May 24 declaration.

According to salient features of the gas sales and purchase agreement (GSPA), Pakistan has decided to purchase only 750 mmcfd gas for 25 years, renewable for another five years. Delivery point of the gas will be at the Iran-Pakistan border near Gwadar at a minimum pressure of 55 Barg (800 psig). The project on completion will be able to support 4,000 MW of power generation capacity.

The documents show Pakistan and Iran agreed in January 2007 on a gas price formula, which linked the delivered gas price at Pakistans border to Japanese Crude Cocktail (JCC), on an average crude oil parity of 45 per cent.

Interestingly, the Pakistani document reveals that Iran took the plea that its parliament had decided that the price of gas to be exported should match the price being paid by its other buyers, namely Turkey and Armenia. Accordingly, Iran offered a revised price having an average crude oil parity of 78 per cent.

The document defends the decision of allowing Iran 78 per cent parity instead of 45 per cent by arguing that a rigorous analysis was conducted and it was concluded that imported natural gas even at the revised price remains the cheapest and most suitable fuel for power generation. It claimed annual savings would range from $735 million to $1.2 billion for LNG, depending on the crude oil price if it was between $50 and $100 per barrel.

*According to the documents, Iran has already completed a 900 km, 56 inch pipeline from Assaluyeh to Iranshehr and the remaining 250 km from Iranshehr to the border near Gwadar will be completed in less than two years. Pakistan has to construct an 800 km pipeline from the border, traversing along the Makran Coastal highway to Nawabshah.*

*But the interesting revelation was that while the size of the pipeline in Iran was 56 inches diameter, in Pakistan only a 42 inch pipe will be laid, which would cost around $1.25 billion in four years. So, any export of gas to India later through this pipeline was out of question and Pakistan and Iran have practically removed India from the IPI definition.*

While documents say detailed and rigorous analysis was done, the fact was that in Pakistan the deal was never taken to any parliamentary forum or the house as done by Iran and it was never discussed.

Talking to The News, Petroleum and Natural Resources Secretary Mehmud Saleem Mehmud confirmed the deal was signed in Turkey on last Friday by the managing-directors of concerned gas companies of both the countries.

Saleem strongly defended the deal signed between the two countries, saying it was done after a lot of comprehensive negotiations between Iran and Pakistan. When asked why Iran had sold the gas at 78 per cent parity against its earlier offer of 45 per cent in Jan 2007  a shocking raise of 33 per cent over the price offered hardly two years back, he replied actually, on the one hand, the demand for the Iranian gas was rising in the international market while, on the other hand, the Iranian parliament, too, had made it mandatory for its government to sell the gas at the price which was offered to Turkey and Armenia.

Although, Saleem did not say this, but his reply gave a clear idea that the Iranian government did not give any preferential treatment to Islamabad at the time of gas deal. When asked why the deal was made in such a rush as neither side waited for the new government in Iran after the presidential elections on June 10, the secretary replied the negotiations were going on for a very long time and there was nothing left to discuss.

He said the positive impact of this gas deal would be felt in the long run when cheap electricity would be produced in the country for domestic consumers and the rising requirements of the energy would be met to boost the industrial sector.

Pakistan, Iran quietly sign gas deal in Turkey

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## ajpirzada

very interestin...
meanin if india want to join in then they will have to lay another line in pakistan parallel to ours. this will not be economical for india in any case. though india is offically still a part of this pipeline but i guess we can now start callin it a 'peace pipeline'


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## AgNoStiC MuSliM

ajpirzada said:


> very interestin...
> meanin if india want to join in then they will have to lay another line in pakistan parallel to ours. this will not be economical for india in any case. though india is offically still a part of this pipeline but i guess we can now start callin it a 'peace pipeline'



More than the economic impact of the pipeline is the strategic impact of strengthening ties with a very important neighbor of Pakistan's, especially as the Afghan government continues to act as an Indian proxy, and with karzai largely expected to win re-election.

The other widely known presidential candidate, Abdullah Abdullah, is also likely to be closer to India, given that he was a former close associate of Ahmed Shah Massoud.

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## ironman

AgNoStIc MuSliM said:


> According to salient features of the gas sales and purchase agreement (GSPA), Pakistan has decided to purchase only 750 mmcfd gas for 25 years, renewable for another five years. Delivery point of the gas will be at the Iran-Pakistan border near Gwadar *at a minimum pressure of 55 Barg (800 psig)*. The project on completion will be able to support 4,000 MW of power generation capacity.
> 
> *According to the documents, Iran has already completed a 900 km, 56 inch pipeline from Assaluyeh to Iranshehr and the remaining 250 km from Iranshehr to the border near Gwadar will be completed in less than two years. Pakistan has to construct an 800 km pipeline from the border, traversing along the Makran Coastal highway to Nawabshah.*
> 
> *But the interesting revelation was that while the size of the pipeline in Iran was 56 inches diameter, in Pakistan only a 42 inch pipe will be laid, which would cost around $1.25 billion in four years. So, any export of gas to India later through this pipeline was out of question and Pakistan and Iran have practically removed India from the IPI definition.*



First of all CONGRATULATION..

Quoting some Facts:

*1*. Actually size of the pipeline doesn't matter. Transmitting gas under high pressure increases the volume. The news itself reveals that this pipeline is capable of carrying high pressure. Pipelines operating at pressure between 100 and 200 bars and from 65 to 130 bars have double and triple the capacity of pipelines with the same diameter working in the 50 to 75 range.(current proposal is 55).

*2*. Read carefully the pipeline to Pakistan border is already built with 56 inched pipes with a length of 900 km (Mr.Ahmadinejad or Mr.Mousavi or whoever it will  to India).

The point is only rest of the pipeline will be the 42 inched one's. Obviously Pakistan requested for this to reduce cost and the end user India is not ready yet.She doesn't want this over sized dress to her minimal requirement(compared to India).

*3*. Also the former proposal to India was 22 bcm gas per annum and gradually raise this into 55 bcm per annum.That means building another parallel lines. (Remember India only has to build extra 900 km pipeline not the entire length). 

*4*. Lastly please don't think that Iran would scrap the deal of 150 bcm potential future customer to the favour of 750 mcm customer because this is only a business.


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## ajpirzada

ironman said:


> First of all CONGRATULATION..
> 
> Quoting some Facts:
> 
> *1*. Actually size of the pipeline doesn't matter. Transmitting gas under high pressure increases the volume. The news itself reveals that this pipeline is capable of carrying high pressure. Pipelines operating at pressure between 100 and 200 bars and from 65 to 130 bars have double and triple the capacity of pipelines with the same diameter working in the 50 to 75 range.(current proposal is 55).
> 
> *2*. Read carefully the pipeline to Pakistan border is already built with 56 inched pipes with a length of 900 km (Mr.Ahmadinejad or Mr.Mousavi or whoever it will  to India).
> 
> The point is only rest of the pipeline will be the 42 inched one's. Obviously Pakistan requested for this to reduce cost and the end user India is not ready yet.She doesn't want this over sized dress to her minimal requirement(compared to India).
> 
> *3*. Also the former proposal to India was 22 bcm gas per annum and gradually raise this into 55 bcm per annum.That means building another parallel lines. (Remember India only has to build extra 900 km pipeline not the entire length).
> 
> *4*. Lastly please don't think that Iran would scrap the deal of 150 bcm potential future customer to the favour of 750 mcm customer because this is only a business.



wats ur point??
that india will have to build another pipeline startin from pak iran border?
well we are sayin the same thing.

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## ironman

ajpirzada said:


> wats ur point??
> that india will have to build another pipeline startin from pak iran border?
> well we are sayin the same thing.



I am saying that the already proposed plan to India was also not enough to fulfill the requirement. This eventually make possible by laying more parallel lines. *The point is India will have to lay more pipeline in the former plan also*. (The installation of further pipes will not cost the same as first because the land and infrastructure are already there).


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## ajpirzada

ironman said:


> I am saying that the already proposed plan to India was also not enough to fulfill the requirement. This eventually make possible by laying more parallel lines. *The point is India will have to lay more pipeline in the former plan also*. (The installation of further pipes will not cost the same as first because the land and infrastructure are already there).



this is much more clearer than before.
thanks


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## dbc

Id be more concerned about the Russian involvement (read Gazprom) remember there is hardly any industry worth mentioning in Russia with the exception of Oil. Recall how aggressive Russia got when oil was over a 100$ a barrel. Russia cut off gas to Ukraine early this year when Ukraine refused to accept the revised pricing of $100 per 1,000 cubic meters which represented a 100% increase over the 2008 pricing.

India has several options; to her west she has several extremely friendly Oil & Gas rich Middle Eastern countries non friendlier than Oman and Qatar. To the east they have Indonesia, Malaysia, Brunei and Myanmar. The Indians are currently working on a deal with Myanmar(Bruma) for piped gas via Bangladesh (rejoice my Bangladeshi friends now Bangladesh can turn off Indias gas if India cuts her water supply  nice to have leverage!! ). They also have their own oil and gas, the brown fields of Bombay High has increased production by 32% using advanced recovery techniques such as extended reach drilling. Not bad for a field that started producing in 1976 and was expected to run out well before the start of the new millennium. The icing on the cake is a relatively recent deep sea find in the Krishna Godavari basin and another more recent discovery in the Deccan plateau, the only challenge with the former is the current capability of Indias premier engineering company is limited to a 1000 meters while the gas needs to be piped from 6000 meters from the ocean surface. 
The funny thing is the gas that Pakistan will receive will likely come from Irans South Pars field  youll never guess who has equity in the South Pars field  India!!!

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## ajpirzada

*
Official: Iran, Pakistan in Talks with Gazprom over Gas Pipeline *

TEHRAN (FNA)- A senior Iranian oil official said that Tehran and Islamabad is talking with Russian Gazprom about the company's participation in Iran-Pakistan gas pipeline. 





"Both we and Pakistan are talking with Gazprom and we have agreed that Gazprom can be a partner (to construct) the pipeline inside Pakistan," Deputy Head of the National Iranian Oil Company (NIOC) for Investment Hojjatollah Ghanimifard said in an interview with Financial Times. 

"I was in Russia, I had the pleasure of talking to high authorities in Gazprom and I proposed to them that this was in the interest of Pakistan and invited them to become involved," Ghanimifard said, who is also the Iranian oil minister's special representative in the pipeline talks. 

Reminding that the Pakistani portion of the pipeline would stretch about 900 km, the Iranian official noted, "They liked this idea and accepted. We are going to see each other trilaterally in Tehran." 

Earlier in May, Iranian and Pakistani officials exchanged documents of Iran-Pakistan gas pipeline deal in Istanbul, Turkey. 

The 2700-kilometer-long plan was to send Iran's gas to the energy-hungry India and Pakistan to meet their needs but India evaded talks. Iran and Pakistan then declared they would finalize the agreement bilaterally if India continued to be absent in meetings. 

According to the project proposal, the pipeline will begin from Iran's Assalouyeh Energy Zone in the south and stretch over 1,100 km through Iran. In Pakistan, it will pass through Baluchistan and Sindh but officials now say the route may be changed if China agrees to the project. 

The gas will be supplied from the South Pars field. The initial capacity of the pipeline will be 22 billion cubic meters of natural gas per annum, which is expected to be later raised to 55 billion cubic meters. It is expected to cost $7.4 billion. 

In a major breakthrough on March 20, the Pakistani government approved Iran's proposed pricing formula for gas supplies to the South Asian nation. 

The pipeline project supposed to be completed by 2013. 

Commenting on India participation, Ghanimifard told the paper that India still has an option to join the project, although the country has not yet been included in the gas pipeline project. 

"When you're talking about a long relationship that will last decades, we cannot say that even though they are out for a few years, they will be out forever," he concluded.

Fars News Agency :: Official: Iran, Pakistan in Talks with Gazprom over Gas Pipeline


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## K^se

KARACHI, Pakistan, Aug. 25 (UPI) -- The Pakistani government moved forward with approval for the development and route of the Iran-Pakistan-India gas pipeline at a cost of $1.2 billion.
The Economic Coordination Committee at a conference in Karachi announced it gave its approval for the long-delayed IPI pipeline project.

Federal Minister for Petroleum and Natural Resources Syed Naveed Qamar announced that much of the pipeline would run through the southern province of Baluchistan.

"The pipeline will travel via Baluchistan to Kirthar, finally to reach Nawabshah, the hub from where the gas pipelines travel to the country," he said.

Pakistani Prime Minister Yousaf Raza Gilani had asked for considerations of the IPI route to include offshore routes to allay parliamentary concerns over the price and security of the gas pipeline, though lawmakers complained that consideration caused undue delays.

Qamar added the majority of the work on the pipeline would be conducted by foreign companies, Pakistani newspaper The Nation reports.

Islamabad is considering financial plans for the project that include government and private-sector funding as well as equity from stock offerings.

IPI was envisioned in 1989, though political, security and economic complications plagued development. The pipeline would run more than 2,000 miles from the South Pars gas field.

India's role in the project remains in doubt, though Qamar said he would give New Delhi special consideration should it reconsider.

"India has withdrawn from the project by itself, but if it wants to join the project in future, a separate pipeline will be laid for this purpose," he said.

Source:Can't post because I'm a new member lol, but you can google it..

-Sure is a slap in the face of U.S trying to pressure Pakistan out of the Gas Pipeline project prior to this. Also now India is also going to invest in and Energy plant that is worth 5 billion dollars, It's probably safe to say their won't be any strategic offensive attacks on Iran in the months to come.. Because so many regional powers have there interests their..


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## TOPGUN

I think its good news for all three countires!


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## Sprint

K^se said:


> KARACHI, Pakistan, Aug. 25 (UPI) -- The Pakistani government moved forward with approval for the development and route of the Iran-Pakistan-India gas pipeline at a cost of $1.2 billion.
> The Economic Coordination Committee at a conference in Karachi announced it gave its approval for the long-delayed IPI pipeline project.
> 
> Federal Minister for Petroleum and Natural Resources Syed Naveed Qamar announced that much of the pipeline would run through the southern province of Baluchistan.
> 
> "The pipeline will travel via Baluchistan to Kirthar, finally to reach Nawabshah, the hub from where the gas pipelines travel to the country," he said.
> 
> Pakistani Prime Minister Yousaf Raza Gilani had asked for considerations of the IPI route to include offshore routes to allay parliamentary concerns over the price and security of the gas pipeline, though lawmakers complained that consideration caused undue delays.
> 
> Qamar added the majority of the work on the pipeline would be conducted by foreign companies, Pakistani newspaper The Nation reports.
> 
> Islamabad is considering financial plans for the project that include government and private-sector funding as well as equity from stock offerings.
> 
> IPI was envisioned in 1989, though political, security and economic complications plagued development. The pipeline would run more than 2,000 miles from the South Pars gas field.
> 
> India's role in the project remains in doubt, though Qamar said he would give New Delhi special consideration should it reconsider.
> 
> "India has withdrawn from the project by itself, but if it wants to join the project in future, a separate pipeline will be laid for this purpose," he said.
> 
> Source:Can't post because I'm a new member lol, but you can google it..
> 
> -Sure is a slap in the face of U.S trying to pressure Pakistan out of the Gas Pipeline project prior to this. Also now India is also going to invest in and Energy plant that is worth 5 billion dollars, It's probably safe to say their won't be any strategic offensive attacks on Iran in the months to come.. Because so many regional powers have there interests their..




My two cent take on this issue; India joining this project in near future is not going to happen. The logic is simple, India would not be interested in the pipeline until there is a pro-US govt in Iran (coz. even with the word from Pakistan govt and the pipeline company (US based) in the past about the securiety of pipe line India was reluctant in joining) so at least we have to wait till 2013 if not longer. So until then India would be happy to spend $5 or $10 billion to develop energy fields in Iran and bring this gas via sea route. 

Second I read in some newspaper today that India is going to construct 5000 MW power plant (gas based) in iran and would import electricity from iran (only limitation is that my severely challenged intellect was unable to understand what it meant. My sincere apologies for being dumb ***).


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## jeypore

TOPGUN said:


> I think its good news for all three countires!



It is not good for all three countries, until Iran changes the payment structure. The surpresing thing is Pakistan already know's this, yet keeps re-iterating this pipe line deal, which is basically dead.

The money is there for Pakistan, but in this deal to be possible it is not India, but Iran. That is where Pakistan diplomacy should be concentrating.


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## K^se

You guys should have read my last segment, where I said, now India has invested a $5 billion 5000 Mw energy plant in Iran goes onto saying it will be much harder to put new sanctions on Iran and further completely isolate itself from the rest of the world.. Now that so many countries have their interests to protect now. But I can see where you guys are coming from keeping your interests safe, that I'm referring to the IPI project.. But this new Energy plant in Iran how are you guys going to transmit the energy back to India, via through Pakistan, or a possible undersea route, which is probably even more expensive..


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## Hyde

India had denied to participate in past so why is Pakistan approving the project again? they had already approved this project without India....... now is India willing to join again or what?


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## DesiGuy

K^se said:


> KARACHI, Pakistan, Aug. 25 (UPI) -- The Pakistani government moved forward with approval for the development and route of the Iran-Pakistan-India gas pipeline at a cost of $1.2 billion.
> The Economic Coordination Committee at a conference in Karachi announced it gave its approval for the long-delayed IPI pipeline project.
> 
> Federal Minister for Petroleum and Natural Resources Syed Naveed Qamar announced that much of the pipeline would run through the southern province of Baluchistan.
> 
> "The pipeline will travel via Baluchistan to Kirthar, finally to reach Nawabshah, the hub from where the gas pipelines travel to the country," he said.
> 
> Pakistani Prime Minister Yousaf Raza Gilani had asked for considerations of the IPI route to include offshore routes to allay parliamentary concerns over the price and security of the gas pipeline, though lawmakers complained that consideration caused undue delays.
> 
> Qamar added the majority of the work on the pipeline would be conducted by foreign companies, Pakistani newspaper The Nation reports.
> 
> Islamabad is considering financial plans for the project that include government and private-sector funding as well as equity from stock offerings.
> 
> IPI was envisioned in 1989, though political, security and economic complications plagued development. The pipeline would run more than 2,000 miles from the South Pars gas field.
> 
> India's role in the project remains in doubt, though Qamar said he would give New Delhi special consideration should it reconsider.
> 
> "India has withdrawn from the project by itself, but if it wants to join the project in future, a separate pipeline will be laid for this purpose," he said.
> 
> Source:Can't post because I'm a new member lol, but you can google it..
> 
> -Sure is a slap in the face of U.S trying to pressure Pakistan out of the Gas Pipeline project prior to this. Also now India is also going to invest in and Energy plant that is worth 5 billion dollars, It's probably safe to say their won't be any strategic offensive attacks on Iran in the months to come.. Because so many regional powers have there interests their..






As India and Pakistan depend more and more on each other by economically, than there will be very few chances of war between them.

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## AgNoStiC MuSliM

*Iran to Start Gas Exports to Pakistan Through Pipeline in 2013*​
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By Ali Sheikholeslami

Sept. 1 (Bloomberg) -- Iran will start exporting natural gas to Pakistan from 2013, after the neighbors agreed yesterday to build a $7.6 billion pipeline.

Construction of the so-called Peace Pipeline, which may be extended to India, will begin next year, Iranian state television reported, citing negotiations in Islamabad. The link will be able to export 30 million cubic meters of gas a day to Pakistan, the channel said.

If India joins the project, the pipeline would be longer than 2,500 kilometers (1,550 miles). The project has been delayed more than a decade because of political and security concerns as Pakistan fights Taliban militants in its northwest. The U.S. wants the South Asian nation to abandon the pipeline to isolate Iran, which it says is building nuclear weapons.

Iran, which has the worlds second-largest natural-gas reserves after Russia, is in talks with Pakistan and India to export gas through the pipeline from its South Pars field, which extends from Qatars North Field to form the largest known gas deposit in the world. Tensions between India and Pakistan, which have fought three wars since independence from Britain in 1947, have delayed the project.

Pakistan and Iran have said they will go ahead with the project even if India doesnt participate. 

Iran to Start Gas Exports to Pakistan Through Pipeline in 2013 - Bloomberg.com
*
Iran, Pakistan Start Technical Talks On Gas Pipeline - SPA​*
DUBAI (Zawya Dow Jones)--Iran and Pakistan started talks Monday to finalize the technical terms of a deal to build a pipeline to supply Iranian gas to the energy-hungry south Asian nation, state-run Saudi Press Agency, or SPA, reported late Monday.

The talks, which will last until Sept.2, will also discuss the gas delivery point in Pakistan, the agency reported.

Iran and Pakistan formalized an agreement on the pipeline in May after years of negotiations over the terms of the deal.

The two parties have agreed to complete the project by 2013, SPA said.

Iran has the world's second-biggest gas reserves after Russia, but U.S. sanctions, in existence for nearly three decades, are making it increasingly difficult for the country to access technology to develop its gas industry. 

Iran, Pakistan Start Technical Talks On Gas Pipeline - SPA - WSJ.com


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## Lankan Ranger

*Pakistan-Iran gas pipeline project finalised*

ISLAMABAD: The Federal Minister for Petroleum, Naveed Qamar on Wednesday said that the Pak-Iran gas pipeline project has been finalised and an accord is going to be signed next week between both the governments. 

Speaking to the media in Mansehra, the petroleum minister said that the federal government is taking serious measures to combat the current energy crisis in the country. 

He said that to enhance the current energy resources, undersea drilling was also being launched in the country on February 11.

Qamar ruled out the differences between Punjab and the federal government and said that although Punjab had some reservations, a cordial relationship still existed. 

DAWN.COM | Pakistan | Pak-Iran gas pipeline project finalised

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## Lankan Ranger

*Iran-Pakistan Wind Power to set up 50MW wind farm*

KARACHI: Iran-Pak Wind Power (Pvt) Ltd, a joint venture between private sectors of Iran and Pakistan will set up a 50 megawatts wind farm in Pakistan. According to the chief executive officer of the project, Khurram Sayeed this was the first of its kind project in the private sector among companies of Iran and Pakistan. 

He said the company had been incorporated in Pakistan along with the Iranian Group Sunir, which had a 50 percent stake in the project. Sayeed is the chairman of the Alternate Energy Committee at the FPCCI. 

Pakistan News Service - PakTribune

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## ajpirzada

and here ppl were sayin that pak will cave into US pressure


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## Hyde

how many times do we need to sign Pak-Iran gas pipeline project? may be its over a dozen times i heard that in past 2 years


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## Red Dwarf

Mr X said:


> how many times do we need to sign Pak-Iran gas pipeline project? may be its over a dozen times i heard that in past 2 years



Yeah me too. May be the more you sign the more gas you will get.


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## Kompromat

ajpirzada said:


> and here ppl were sayin that pak will cave into US pressure



you took my words .. I am just enjoying the fact that we have refused the preassure of yankees...keep it up.

Mashallah thanks to Pak Iran friendship ...


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## Kompromat

Mr X said:


> how many times do we need to sign Pak-Iran gas pipeline project? may be its over a dozen times i heard that in past 2 years



relax...

A project has multiple agreements such as MOU sales and purchase agreement . 

Operational terms and conditions . Price agreement etc


this one is the final agreement and it is legally binding.

Im happy India is out and yankeez are shut up now..


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## Hyde

Black blood said:


> relax...
> 
> A project has multiple agreements such as MOU sales and purchase agreement .
> 
> Operational terms and conditions . Price agreement etc
> 
> 
> this one is the final agreement and it is legally binding.
> 
> Im happy India is out and yankeez are shut up now..



final agreement was signed during Zardari's visit to Iran, later on they said one more agreement is to be signed in coming days, later on another agreement was signed later on this agreement also.............  i won't be shocked after 6 months i read similar news again 

Just start the project now we have already wasted about a decade in this project........ it should have been operational by now and we haven't even started building the pipeline yet (i think)


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## rizhussain44

Black blood said:


> you took my words .. I am just enjoying the fact that we have refused the preassure of yankees...keep it up.
> 
> Mashallah thanks to Pak Iran friendship ...




Yeah.. Same here. Glad to see that Pakistan did not crunch under the US pressure this time. I hope it remains like this, at least for this project, and we soon see it getting materialized. There should never be any compromise when it comes to national interest.


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## TechLahore

Sri Lankan said:


> *Pakistan-Iran gas pipeline project finalised*



Excellent news. Keen to see Pakistan and Iran implement this project post haste.


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## idea123

Good News.
I thought pakistan is self sufficient in gas as it has highest per capita consumption of gas in Indian subcontinent.


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## RiazHaq

The current completion date for Iran-Pakistan gas pipeline project is June, 2014, if things go smoothly. There is significant investor interest. Russia's Gazprom is very keen on the project. "We are ready to join the project as soon as we receive an offer," Russia's deputy energy minister Anatoly Yankovsky has been quoted as saying by the media. Another top Russian government official has said Moscow sees the pipeline as a means to divert Iranian gas from competing with Russian exports on the European market.

Iranian Consul General in Pakistan, Masoud Mohammad Zamani has told Pakistani news site the Dawn that Iran has completed major portion of work on Iran-Pakistan gas pipeline project and within couple of months the pipeline will at Iran-Pakistan border. Hopefully, by 2013 Iran gas will be used in Pakistan, Iranian envoy explained during a meeting with members of Karachi Chamber of Commerce and Industry.

India, too, needs to import gas to meet its growing energy needs. But it pulled out of the pipeline project after the US-India nuclear deal. If and when India does come back to the table, the pipeline built from Iran to Nawabshah in Pakistan can be extended to support additional capacity for India.

Haq's Musings: Pakistan's Twin Energy Shortages of Gas and Electricity


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## SSGPA1

This is good news but please keep in mind that delays are part of such mega projects and specially with political conditions in Pakistan, this project may be delayed by a year or more.

GoP has signed the paperwork but where is the infrastructure? I don't think 3 yrs will be enough to build infrastructure. 

We also need cantts to protect the pipeline from insurgents etc and GoP has recently ordered to stop on going work on cantts.


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## illuminatus

*Accord on Pak-Iran gas pipeline in few weeks: Naveed Qamar*

Updated at: 1945 PST, Thursday, January 21, 2010 
ISLAMABAD: Federal Minister for Oil and Gas Naveed Qamar has said that the agreement on Pak-Iran gas pipeline project will be finalized in the next few weeks.

He was talking to media in Islamabad on Thursday.

The Minister told the reporters that that a summary for import of Liquefied Natural Gas (LNG) will be presented at the upcoming meeting of Economic Coordination Committee (ECC).

The price of LNG is being kept at par with crude oil and its import will begin from 2011. 

Source: Accord on Pak-Iran gas pipeline in few weeks: Naveed Qamar


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## pkd

*Pak-Iran gas pipeline pact to be signed on March 8: Qamar*

SANGHAR: Federal Minister for Petroleum and Minerals Syed Naveed Qamar Sunday said the completion of Pak-Iran gas pipeline project will help overcome the countrys gas crisis. 

Speaking to media persons after the inauguration ceremony of a gas processing plant in Sanjar Junejo village here, he said all the matters relating to Pak-Iran gas pipeline project have been finalized and that all is set to sign the project on March 8.

He said 12.5 per cent royalty of Pakistans oil and gas is going to the provinces, which, he said, have been directed to spend this amount on the uplift projects of the areas.

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## AZADPAKISTAN2009

Iran is on fast track to complete their side of the pipeline, pakistan needs to move fast and finish the lines so it can establish and fix growing demands of nation's energy needs


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## pkd

*Pakistan Stresses Resolve to Continue Gas Pipeline Project *



TEHRAN (FNA)- Pakistani Foreign Minister Shah Mehmood Qureshi underlined his country's rigid determination to continue the project for importing gas supplies from Iran irrespective of the US pressures. 
"Despite the US conditions for Iran-Pakistan gas pipeline, we will continue this great project," Qureshi said in an exclusive interview with FNA in Islamabad on Sunday. 

Pointing to the ineffectiveness of the ongoing pressures by Washington to hinder the project, the minister stated, "Pakistan is currently facing an energy crisis and Iran-Pakistani gas project, thus, serves Pakistan's interests." 

Earlier, India rejected a call from the US to walk away from the pipeline project carrying natural gas from Iran through Pakistan, saying "energy security" is a priority for its rapidly growing economy. 

The Indian external affairs ministry stressed that energy security was of prime concern to the country and the Iran-Pakistan-India pipeline was an important part of its plans. 

The US is currently pursuing additional sanctions against Iran in the UN Security Council. 

The 2700-kilometer long pipeline was to supply gas for Pakistan and India which are suffering a lack of energy sources, but India has evaded talks. Last year Iran and Pakistan declared they would finalize the agreement bilaterally if India continued to be absent in meetings. 

In a major breakthrough on March 20, 2009, the Pakistani government approved Iran's proposed pricing formula for gas supplies to the South Asian nation. 

According to the project proposal, the pipeline will begin from Iran's Assalouyeh Energy Zone in the south and stretch over 1,100 km through Iran. In Pakistan, it will pass through Baluchistan and Sindh but officials now say the route may be changed if China agrees to the project. 

The gas will be supplied from the South Pars field. The initial capacity of the pipeline will be 22 billion cubic meters of natural gas per annum, which is expected to be later raised to 55 billion cubic meters. It is expected to cost $7.4 billion. 

Fars News Agency :: Pakistan Stresses Resolve to Continue Gas Pipeline Project


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## ameer219

Looks like USA now should start getting it in their head that Pakistan's interests come first!

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## Abdussamad

I'll believe it when I see it! AFAIK they've been talking about this pipeline since the mid 90s  . Its an excellent example of how mind numbingly slow governments can be.


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## graphican

This government is one of the best examples of how bad a democracy can actually be. The same government publicly vowed halt the drone strikes but privately they have been supporting them and rather encouraging them to keep the game on. PPP government is too weak to stand before Americans as they are volatile within their own country and like Musharaf, they need strong backing of every international support that could keep their government intact, for few more months if possible. With this aspect in view, no matter what our incompetent foreign minister says, actions are actually going to reflect what Americans are saying. 

In the past few months the rigid stance about Afghanistan had come from the Army and not the political government and no wonder all the strategics dialog have been directly taking place between PA and US-Army while government's involvement has only be ceremonial. The current matter of Iran-Pakistan and possibily Iran-Pakistan-China gas pipeline has more of social and commercial value and is more in the hands of civil government. For that reason, it is likely that Shah Mehmood Qureshi would keep saying what public in Pakistan wants to listen but alongside, keep doing what Americans want this clan to do. The only thing which this Government needs to do is "delay" the development and keep en-cashing this delay in the form of American Aid that looters need to stuff their accounts more.


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## bc040400065

*Pakistan, Iran sign gas pipeline accord *

By Kalbe Ali 
Saturday, 29 May, 2010 

ISLAMABAD: *Pakistan and Iran signed on Friday an agreement for supply of gas from Iran through the $7.5 billion pipeline project to be completed by the end of 2014. The cost for the Pakistan section of the project is estimated at $1.65 billion.* 
The sovereign guarantee agreement was signed by S.R. Kasaezadeh, Managing Director of the National Iranian Oil Company, and Irshad Kaleemi, Joint Secretary of the Ministry of Petroleum and Natural Resources. Petroleum Minister Naveed Qamar and Secretary Kamran Lashari attended the signing ceremony. 

Under the gas sale and purchase agreement (GSPA), *Pakistan will import 750 million cubic feet a day (mmcfd) with a provision to increase it to one billion cubic feet a day (bcfd). *
The volume of imported gas will be about 20 per cent of Pakistans current gas production and the agreement is for a period of 25 years, renewable for another five years. The gas will be provided to the power sector to generate about 5,000 megawatts of electricity. 

As a part of the conditions precedent (CPs) to be completed by the parties to make the agreement effective, the government of Pakistan is providing a performance guarantee on behalf of the InterState Gas Company. 

Since all other CPs of the agreement have been completed, the project is ready to enter the implementation phase. 

The petroleum minister said that construction of the pipeline would create jobs, provide vocational training and develop backward areas of Balochistan and Sindh. 

The IP project will be another testimony of the long historic and cordial relations between Pakistan and Iran, Mr Qamar said.

http://www.dawn.com/wps/wcm/connect...e/pakistan,-iran-sign-gas-pipeline-accord-950


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## Contrarian

*Iran pipeline will be Pakistan's Enron*
S A Aiyar, 06 June 2010, 12:27 AM IST

Swaminomics declared last week that India must forget the proposed Iran-Pakistan-India gas pipeline because of the outrageously high cost of Iranian gas. Some readers have asked, Why is Pakistan willing to pay the Iranian price, and go ahead with the project minus India?

Answer: The pipeline is going to become Pakistans Enron. It will drive Pakistan towards bankruptcy and be aborted, just as Enron drove the Maharashtra government towards bankruptcy and was aborted.

Iran and other Gulf producers have long linked the price of gas to that of oil. This was acceptable for decades when oil prices, and hence linked gas prices, were subdued. But oil shot up from $14/barrel in 1995 to a peak of $150/barrel in 2008, and it is still around $75/barrel today.

Iran and Pakistan have agreed on a gas price linked to 80% of the Brent crude oil price. This would have been fair in 1995 but not any longer as oil is up from $14/barrel to $75/barrel. 

In a recent interview with Newsline magazine, former Pakistan petroleum secretary Gulfraz Ahmed declared bluntly, I am now appalled to know that the present negotiations are in the region of 80% of Brent crude. He adds, We need this gas urgently, but on the other hand, not at this price.

He recalls that his original negotiation in the 1990s was for a gas price of $2.05/mmbtu (million metric British thermal unit) from Iran. But the new gas deal implies a price of $8/mmbtu if oil is $60/barrel. If oil goes up to $100/barrel  very likely in the next year or so  the gas price will soar to $13/mmbtu. And if oil returns to its 2008 level of $150/barrel  entirely possible when the Iran-Pakistan pipeline is completed in 2015  gas will cost a mind-boggling $20/mmbtu, or 10 times as high as originally negotiated in the 1990s.

The cost of 5,000 MW of power to be generated from the gas will rise correspondingly. If oil costs $100/barrel, the linked gas price will translate into an electricity price of around Rs 7.50/ unit. Remember that Enron had to be closed when its price rose to just Rs 4.25/unit: the Maharashtra government said this would empty its coffers.
When Pakistan begins generating power with Iran gas in 2015, oil could be as high as $150/barrel. If so, the corresponding cost of electricity will be Rs 11/unit. Producing power at that price will be economic suicide.
Why has Pakistan got itself into such a trap? Well, dont be surprised: many Indians still want to join this project. Politicians and strategy wonks can be so fascinated by projects with political appeal that they forget commercial sense. The Left Front is dying to join the project just to spite the US. Pakistan too has foreign policy wonks who see the pipeline as a way to kick the US and display solidarity with Islamic neighbours, oblivious of the suicidal cost.

When Enron proposed its 2000 MW plant in India, this was seen as a fabulously strategic project, worth paying a premium for. At the time the state electricity boards were bust, and India had a terrible power shortage. In this energy desperation, the Enron project was grasped eagerly and cleared at record speed, notwithstanding warnings about the cost. Many hoped this strategic deal would open the gate for dozens more foreign investments.
Fifteen years later, Pakistan also has a terrible power shortage. It too suffers from energy desperation, and so is eagerly grasping a massive power project based on Iranian fuel, ignoring warnings from its own experts about the cost.

Gulfraz Ahmed mentions a third reason for Pakistans behaviour: lack of negotiating skills to understand the risks of a 40-year deal with an unfavourable pricing formula. This happened in Enrons case as well. In both cases the negotiators failed to realize the risks of a contract linked to world oil prices (which could shoot up) and denominated in dollars (the electricity price shot up every time the rupee declined).

Critics of Enron shouted corruption. More than 20 cases were filed against the project but all were dismissed by the courts  there was no hard evidence. However, many Indians remained convinced that money had changed hands because Indian politicians are so obviously corrupt. I predict that the Iran gas deal will also be widely condemned as corrupt in Pakistan once the high cost of electricity becomes patently obvious.

Corruption charges are a distraction. The Enron fiasco was caused by a combination of energy desperation, incompetent negotiation, and fanciful notions of strategic importance. Pakistan faces a similar fiasco for the same three reasons.
Iran pipeline will be Pakistan's Enron : World : S A Aiyar : TOI Blogs

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## ajpirzada

interesting article.....

wat will happen when the oil prices will rise to 150?? something to think about. if we go for gas which we are gettin at 15&#37; less than oil, we are still saving money by not using oil. arent we?


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## Marxist

According to I-P gas pipe deal Pakistan will get Gas at *the rate of 78 per cent of the crude oil price*,I think author missed that point



> in 2015, oil could be as high as $150/barrel. If so, the corresponding cost of electricity will be Rs 11/unit



so an unit will cost around 8.58 not 11/unit.

and if India joins this Pakistan can further reduce this price.


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## sulemani keeda

malaymishra123 said:


> Pakistan too has foreign policy wonks who see the pipeline as a way to kick the US and display solidarity with Islamic neighbours, oblivious of the suicidal cost.



 very corect.


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## Aslan

And also what i think is that for now the gas prices are not being regulated by an international body such as OPEC because of every country independently going forward with it. But with Qatar emerging as a major exporter of GAS, and also Kuwait building a pipeline to Qatar to export their gas from Qatar as well. The market balance will change and will force Iran and may others to be more competitive, hence offer lower rates on the market.


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## Contrarian

khalidali said:


> This article reads more like a sour grapes syndrome, where he is trying to make a point by bringing a whole host of facts, as non negotiating skills of Pakistan to rendering criticism where not needed. And as you said sir if the petroleum prices will rise up to 150 a Barrel still the gas will be cheaper. And I would want to see some others from Pakistan, some independent analyst making the same case for me to agree to the author completely. And as far as I remeber the fall of Enron had every thing to do with fraud on paper and nothing to operations. (correct me if I am wrong)
> 
> *Why Did Enron Fail?
> Posted: Tuesday, April 29, 2008
> *


*

You have read this completely wrong then. One of the main reasons why India is not joining is that the price of gas at which Iran is selling is absolutely unacceptable. While Pakistan is going for it. What is expensive for India is also expensive for Pakistan. There are alternative sources of energy. Gas you may get, not necessarily from Iran.

And he is not talking about why Enron the company failed. He is talking about their power plant project in India which was basically economically catastrophic for Maharashtra.*


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## Evil Flare

We have CNG Infrastructure all over Pakistan , Gas Power Stations , Fertilizers industries powered by Gas etc etc etc ..

This Gas will benefits alot to our economy with uninterrupted supply which help us reduce dependency on Petroleum , also helps us cut carbon emissions .


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## Marxist

Aamir Zia said:


> We have CNG Infrastructure all over Pakistan , Gas Power Stations , Fertilizers industries powered by Gas etc etc etc ..
> 
> This Gas will benefits alot to our economy with uninterrupted supply which help us reduce dependency on Petroleum , also helps us cut carbon emissions .



Article is about electricity production from LNG..


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## Aslan

malaymishra123 said:


> You have read this completely wrong then. One of the main reasons why India is not joining is that the price of gas at which Iran is selling is absolutely unacceptable. While Pakistan is going for it. What is expensive for India is also expensive for Pakistan. There are alternative sources of energy. Gas you may get, not necessarily from Iran.
> 
> And he is not talking about why Enron the company failed. He is talking about their power plant project in India which was basically economically catastrophic for Maharashtra.



Well my friend 2 things;

1- I was talking about the authors attitude and not that of Indias. 
2- I stand corrected to an extent. What I had thought was that the author was talking about the Enron dealings as of whole. I am not aware of their projects in Maharashtra. So wont comment on that. 

---------- Post added at 03:07 PM ---------- Previous post was at 03:06 PM ----------




Marxist said:


> Article is about electricity production from LNG..



yes but the whole nine yards are to be considered when making a deal dont they.


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## ajpirzada

dont know wat r u all talking about....

there is only one valid question asked in this article... which is wat will happen when oil price will reach 150$?
and the answer to this is that we will still be saving money by not using oil to produce electricity but gas which will be 78&#37; of oil price. 

or is there somehting which im missing


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## Aslan

ajpirzada said:


> dont know wat r u all talking about....
> 
> there is only one valid question asked in this article... which is wat will happen when oil price will reach 150$?
> and the answer to this is that we will still be saving money by not using oil to produce electricity but gas which will be 78% of oil price.
> 
> or is there somehting which im missing



Well I had partially misread the article, as I have already pointed out in my previous post. But the question that is there that I dont know about, that are we importing this gas only for the production of electricity or it will be used for local consumption as well. And also are we not importing gas from Qatar as well.


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## ajpirzada

khalidali said:


> Well I had partially misread the article, as I have already pointed out in my previous post. But the question that is there that I dont know about, that are we importing this gas only for the production of electricity or it will be used for local consumption as well. And also are we not importing gas from Qatar as well.



its only for industrial use (largely for electricity) ... not for households.

and yes u r right. LNG from Qatar will be for other consumption purposes


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## Marxist

ajpirzada said:


> dont know wat r u all talking about....
> 
> there is only one valid question asked in this article... which is wat will happen when oil price will reach 150$?
> and the answer to this is that we will still be saving money by not using oil to produce electricity but gas which will be 78% of oil price.
> 
> or is there somehting which im missing



ya ur missing this point..



> When Pakistan begins generating power with Iran gas in 2015, oil could be as high as $150/barrel. If so, the corresponding *cost of electricity will be Rs 11/unit. Producing power at that price will be economic suicide*.


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## ajpirzada

Marxist said:


> ya ur missing this point..



actually thats the only point im looking at.

if we dont import this gas then we ll be using oil to generate electricity. wont that be much worse??

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## Marxist

ajpirzada said:


> actually thats the only point im looking at.
> 
> if we dont import this gas then we ll be using oil to generate electricity. wont that be much worse??



in such a scenario both (LNG&OIL) wont be economically viable for Developing countries.then what about billions of dollar that Pakistan Invested on the Infrastructure and development of I-P Pipeline & electricity projects.(imo investments on power projects)


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## Spring Onion

ajpirzada said:


> actually thats the only point im looking at.
> 
> if we dont import this gas then we ll be using oil to generate electricity. wont that be much worse??



 yes for the time being its the situation. 

Once the gas transportation starts and we use it only then we will be having results how much it helps.

Besides Iran also offered us electricity which is far better to get for Balochistan and other areas


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## Spring Onion

What about TAPI ?? wasnt it suppose to start supply by 2015??


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## Hutchroy

Jana said:


> What about TAPI ?? wasnt it suppose to start supply by 2015??



Maam, you being a Journalist should know that all Turkmenistan Natural Gas will go to Europe via Russia, China and for Northern Iran.

Of the three parties involved Iran will very aggressively ensure that no Turkmenistan Natural Gas competes with Iranian Natural Gas for Pakistan and India!


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## ice_man

ajpirzada said:


> actually thats the only point im looking at.
> 
> if we dont import this gas then we ll be using oil to generate electricity. wont that be much worse??



i don't agree completely.... reason being 

RENTAL POWER PROJECT will still be cheaper! hydel power will be cheaper! 

and keeping any BASIC need linked to oil is disaster because oil effects production anyway.. and in this case it will b affecting the COST of input (oil to run machines) and produce good ..and also the non productive loss caused because oil will b used to light bulbs in pakistan
we dont use crude oil directly!!

the trick here is 


i am selling u bronze (CNG) at 80&#37; price of GOLD (oil) and 0% duty on good using bronze.. if i sell GOLD my margin of profit is 5-10% as gov because gold rates are known by everyone.. but because NO ONE can afford gold so they will anyday by bronze even if its 5% cheaper than GOLD.. so now pakistan is selling gas at higher rates closer to oil.. so their profit margin is higher selling gas now .


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## Neither Right Nor Wrong

ajpirzada said:


> dont know wat r u all talking about....
> 
> there is only one valid question asked in this article... which is wat will happen when oil price will reach 150$?
> and the answer to this is that we will still be saving money by not using oil to produce electricity but gas which will be 78% of oil price.
> 
> or is there somehting which im missing



Well the oil which used to produce electricity is not petrol or Diesel but heavy oil or residual oil , which is considerably cheaper 

Couple of years ago when crude oil prices were at $150 per barrel , but heavy oil prices did not increase more than $1000 per tonne.

This point is rather significant from India's pov , since India mainly uses coal and not oil to produce electricity.

So if gas prices start fluctuating wrt oil prices , then electricity prices will have to be revised and re-revised very frequently , which might not be very convenient.


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## Dr.Evil

ajpirzada said:


> actually thats the only point im looking at.
> 
> if we dont import this gas then we ll be using oil to generate electricity. wont that be much worse??



I Think It would be lot cheaper for pakistan to produce electricity by using its Huge coal reserves, that would be the cheapest after Hydel energy.

*The point being - LNG price fixed to Oil prices ( Pakistan signing 40 Years Contract ). The global stock of Oil is only going to reduce thus increasing the price of both in the near future.*


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## Cheetah786

Russell pretty much sums it up


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## Cheetah786

Ok so u think pakistan and the rest of the world will be paying the full price of oil and other fuels while india will some how magically get it for 1980s price specially if the so called fuel is running out


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## Hyde

well i am not impressed again with yet another article from Times of India

First of all its 78&#37; of crude oil and not 80%. Secondly the OPEC nations have repeatdly been saying that they will put all effors to keep the oil prices down below 100 dollars and ideally between 70 dollars to 100 dollars for the next 10 years or so and me being a forex trader, energy trader does not think 150 dollars of oil will take another jump any time soon. I trade oil on daily basis and after oil reaches 85 dollars, all nations get together to lower its prices once again for one reason or another  and it fall below to 67 once again  (perhaps to avoid recession once again as they are heavily relying upon oil)

I seriously don't think Oil will go 150 within next 10 years or so and we don't know what the future is holding for us, do we?

Btw some oil news websites are saying that it is expected to fall around 40 dollars per barrel once again before jumping any further  i am not sure how accurate they are 

and last but not last, this gas deal has been inked keeping future prices of oil in mind and still as per Pakistani experts it will be far cheaper than our imported oil that we use to generate electricity and there is another clause in the agreement that says if any other nation manages to ink a gas deal with Iran that is cheaper than us then as per agreement Iran will have to offer us the same price that is offering to any third nation


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## Dr.Evil

Cheetah786 said:


> Ok so u think pakistan and the rest of the world will be paying the full price of oil and other fuels while india will some how magically get it for 1980s price specially if the so called fuel is running out



Chettah you are just taking it in a negative way b'cs an indian is saying it. Think about the article from a logical point of view.

Pakistan has such large reserves of coal, why cant it be used to generate electricity cheaply.

You have more options than other countries, as you have not usedup your coal reserve.

If you still think Indians are just trying to undermine pakistan, feel free to think so.


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## Spring Onion

Hutchroy said:


> Maam, you being a Journalist should know that all Turkmenistan Natural Gas will go to Europe via Russia, China and for Northern Iran.
> 
> Of the three parties involved Iran will very aggressively ensure that no Turkmenistan Natural Gas competes with Iranian Natural Gas for Pakistan and India!



Yes i know but in TAPI its US that has to play a bigger role to ensure it and it is also going to undermine Iranian desires for cashing in the market. 


Its a pitty that wrong policies of US to go for war in Afghanistan have messed up this project.

I still dont see any progress or supply by 2015 as announced by US


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## Hyde

ajpirzada said:


> actually thats the only point im looking at.
> 
> if we dont import this gas then we ll be using oil to generate electricity. wont that be much worse??


Exactly, you see the matter is we have linked our deal at 78&#37; of crude oil now wherever the crude oil moves it should not matter much. The experts says the electricity in this gas deal at 78% will be cheaper than importing crude oil from other countries. So wherever the oil price is heading it will remain cheaper thanks to the fixed price of 78%. For example at the moment crude oil is around 75 dollars per barrel so our gas price is its 78% and count the number of MW of electricity we generate in our country.So when the price goes 150 dollars per barrel, our gas price will be its 78% once again and back in 2008 we were generating electricity at 150 dollars per barrel in Pakistan. The plants were still working indicating we need electricity at all costs. So overall if at 75 dollars per barrel the price for the electricity generated by gas is cheaper for us, it will remain cheaper for us if the price goes 150 dollars or whatever price she wishes to move on. Overall because of its fixed price it won't effect us much so it will be a cheaper alternative comparing to oil at any price

Secondy this is not the only project in our country. We have cheaper energy sources in our country and at the moment we need electricity at all costs. Once the hydro power projects and coal projects are completed it will bring the costs down to overall electricity generation. This gas project may be a bit expensive but when you see cheaper hydro power projects generating electricity the overall/average costs of our country's electricity will be down and will be affordable (i hope it makes sense  )



Jana said:


> yes for the time being its the situation.
> 
> Once the gas transportation starts and we use it only then we will be having results how much it helps.
> 
> Besides Iran also offered us electricity which is far better to get for Balochistan and other areas


Frankly speaking the electricity iran offering to us in rent power plants is far cheaper than the electricity we will be generating from the Iran-Pakistan gas pipeline. Both countries are in negotiations and it is expected to sign an agreement by next year and the electricity will start receiving by 2014/2015. Lot of infrastructure required for this project (i.e. Transformers ) and Iran is willing to provide assistance by funding this project herself.


Jana said:


> What about TAPI ?? wasnt it suppose to start supply by 2015??



Americans pressued all relevent nations to join TAPI to isolate Iran but Pakistan moved ahead with Iran-Pakistan gas pipeline so this project is temporarily shelved. It is still under consideration but both India and Pakistan are not seems to be interested by bringing this gas from Afghanistan route for security purposes and Pakistan will be fullfilling her requirements from Iran Gas pipeline and India by generating electricity on nuclear so in my opinion It may form reality in future but definitely not 2015.

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## Cheetah786

> Cheetah you are just taking it in a negative way b'cs an indian is saying it. Think about the article from a logical point of view.



OK so actually believe a fuel thats in high demand all over the world and is running out some how magically producers will sell it to india for lot less then they can sell it for on the open market. 




> Pakistan has such large reserves of coal, why cant it be used to generate electricity cheaply.



Cause we have leaders that can see beyond there pockets.



> If you still think Indians are just trying to undermine pakistan, feel free to think so.



Natural gas isnt only used to generate electricity in pakistan its used By industry its used at homes for cooking its used in cars as alternative to petrol.

If pakistan can sign a deal and get fuel even 10% below the trading price its a win win situation but since indians seems to think they can score a better price for it i can give you a greate deal on Taj Mahal. 

Instead of defending a poorly written self pumping article cause its written by indian at all cost and suggesting all who disagree are stupid i suggest use your brian and call it what it is desprate TIMES OF INDIA.


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## Hyde

Jana said:


> Yes i know but in TAPI its US that has to play a bigger role to ensure it and it is also going to undermine Iranian desires for cashing in the market.
> 
> 
> Its a pitty that wrong policies of US to go for war in Afghanistan have messed up this project.
> 
> I still dont see any progress or supply by 2015 as announced by US



in my opinion, we will rent some electricity from Tajikistan and will not go ahead in this project "TAPI" for now  - It will be shelved for another 10 years or so

Tajikistan is a small country with a lot of electricity in excess and it is only few miles away from Pakistan. All three countries (Afghanistan, Pakistan and China) are negotioating with Tajikistan to rent electricity for their neighbouring states. Tajikistan's Nurek Dam is more than enough to fullfill their country's energy requirements and anything besides that is electricity in excess. They have a huge hydropower potential and can offer us cheaper electricity than even Iran


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## Contrarian

ajpirzada said:


> actually thats the only point im looking at.
> 
> if we dont import this gas then we ll be using oil to generate electricity. wont that be much worse??



Point is that your making a mistake by linking the price of that gas to oil-or linking it to _that_ extent.

You should have that gas, but with different pricing mechanism. 

You might be saving money from producing electricity from gas rather than oil in _relative_ terms but it is not sustainable because other countries would be sourcing gas at cheaper rates. That would make your country's industries less competitive vis-a-vis others, more expensive for households to consume electricity-a net negative effect in absolute terms.


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## Marxist

*Iran to approve Pakistan gas pipeline deal this week*

* Gas by 2015 seen crucial for Pakistan's energy crisis

* Iran needs revenues to develop energy sector, economy

TEHRAN, June 6 (Reuters) - Iran hopes to finalise a deal this week for a much-delayed pipeline to export natural gas to Pakistan by 2015, an energy official said on Sunday.

"The $7-billion Iran-Pakistan gas pipeline contract will be finalised this week, and based on the approved time framework the export of gas to Pakistan will be launched by the end of 2015," said Hojjatollah Qanimifard, deputy director in charge of investment at the National Iranian Oil Company.

"In a meeting in Tehran on Tuesday (June 8), the final approval on pipeline by the NIOC board of directors will be delivered to Pakistani officials and their letter of guarantee will be received," he said in the comments on semi-official news agency ILNA.

The project is crucial for Pakistan to avert a growing energy crisis already causing severe electricity shortages in the country of about 170 million, at the same time as it confronts Islamist militancy.

The pipeline will connect Iran's giant South Fars gas field with Pakistan's southern Baluchistan and Sindh provinces.

Iran has the world's second-largest gas reserves after Russia. But sanctions by the West, political turmoil and construction delays have slowed its development as an exporter.

Dubbed the "peace pipeline," the project has been planned since the 1990s and originally would have extended from Pakistan to its old rival, India.

However, India has been reluctant to join the project given its long-running distrust of Pakistan, with which it has fought three wars since they achieved independence in 1947.

Under a deal signed in March, Pakistan will be allowed to charge a transit fee if the proposed pipeline is eventually extended to India.

The United States has tried to discourage India and Pakistan from any deal with Iran because of Tehrans' uranium enrichment activities and suspicions it wants to build nuclear weapons.

Iran, whose economy has been hit by U.N. sanctions over the dispute, denies any such ambitions.

Iranian media reported on Sunday that the oil minister had ordered an end to talks with Anglo-Dutch Shell (RDSa.L) and Spain's Repsol (REP.MC) over the development of South Pars after the majors failed to meet ultimatums on their involvement.

Iran has the world's second largest gas reserves but has struggled for years to develop its oil and gas reserves.

Iran says it already makes $18 billion annually from production at 10 phases of South Pars but that income could leap to at least $96 billion a year when all phases are completed. China's National Petroleum Corporation is developing part of it.

The Islamic republic says it needs around $25 billion a year in oil and gas industry investment.

Hossein Noghrekar Shirazi, deputy oil minister in charge of international affairs, told Abrar daily on Sunday Iran's gas production capacity of 600 million cubic metres per day could rise to 1.1 billion cubic metres by 2015.

Iran to approve Pakistan gas pipeline deal this week | Reuters


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## psychedelic_renegade

Cheetah786 said:


> If pakistan can sign a deal and get fuel even 10&#37; below the trading price its a win win situation but since indians seems to think they can score a better price for it i can give you a greate deal on Taj Mahal.
> 
> Instead of defending a poorly written self pumping article cause its written by indian at all cost and suggesting all who disagree are stupid i suggest use your brian and call it what it is desprate TIMES OF INDIA.



Dude the guy has argued why India shouldn't join the project, no where he advised neither he has the authority to advise Pakistan administration to join or leave the project. Don't get too worked up!

TOI is more of a tabloid sort of journo, but Swaminathan Aiyar is noted economist, check his profile for more information. There are some learned men blogs for TOI, MJ Akbar, Jug Suraiya, Pritish Nandi to name a few. In debate you either support a view or oppose it, seems if you say anything in this forum which doesn't go well with majority, you are either supporting terrorism or brain-dead!


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## Marxist

*Iran, Pakistan to seal gas pipeline deal tomorrow *

Tehran, Jun.7 (ANI): Iran and Pakistan are likely to finalise all formalities regarding the much delayed seven billion dollar gas pipeline project on Tuesday (June 8).


Deputy director (investment) of the National Iran Oil Company (NIOC) Hojjatollah Qanimifard said officials of both countries would be meeting here tomorrow during which they would handing over letters of approval regarding the project to each other. 

The seven billion dollars Iran-Pakistan gas pipeline contract would be finalised this week, and based on the approved time framework, the export of gas to Pakistan would be launched by the end of 2015," The Daily Times quoted Qanimifard, as saying.


"In a meeting in Tehran on Tuesday (tomorrow), the final approval would be delivered to officials in Pakistan and their letter of guarantee would be received," he added.


The pipeline will connect the South Fars gas field of Iran, which has the world's second-largest gas reserves after Russia, with Balochistan and Sindh.


Out of the total 7.6 billion dollars, which would be incurred on the project, Pakistan expects to spend 1.65 billion dollars.


Earlier, the said pipeline was to be extended to India
also, but it backed out of the project, as Pakistan refused to forego its demand for a hefty gas transit fee.


The Iran-Pakistan-India (IPI) project was conceived in 1995 and after almost 13 years India finally decided to quit the project in 2008. (ANI)

Iran, Pakistan to seal gas pipeline deal tomorrow


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## M8R

Expect a lot of negative psy-ops against Pakistan from Western Media tomorrow.

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## Sparten80

The Iran - Pakistan Gas pipeline is long overdue. We have such an energy crisis in our country due to lack of planning and foresight as well many other factor that we dont need to go into here. Nonetheless, the signing of this pipeline deal is a step in the right direction. I was never a fan of having india join in on this project in the first place. That was the most foolish and irresponsible thing to do in the first place. Trying to include india, delayed the project by a decade and increased the price astronomically. Furthermore, the continued subjugation and occupation of Kashmir by india, failing to hold a plebiscite and the support of militant groups-Baloch and TTP whom kill innocent civilians in Pakistan) is further reason not to deal with them. The cost of the pipeline project has gone up considerably, but its better late than never, and in the long term, it will pay off for Pakistan to go it alone with Iran, and possibly at a later date, include China who would be more than happy to expand it to their western borders and improve our northern grid in the process. Acutely though, this project is needed by Pakistan itself, irrespective of others.

Pakistan needs the pipeline first and foremost for itself. We have an extensive and continually expanding Natural gas grid in our country and the import of cheap Iranian gas will help further in many additionally important fields like electricity generation and alternative fuels as well as job creation. The current load shedding occuring in our country on a daily basis should act as a catalyst to expedite this project. 

Pakistan needs to be aggressive and seek out multiple ways to increase power generation not just to meet its immediate extreme shortfalls, but to encompass future growths in energy needs as well, especially with our expanding population, expanding gas grids and rapid urban mobilization and to maintain a high growth rate which inturn fuels our economy. 

This should entail 
-more Nuclear power plants, 
-coal power (thar-Sindh), 
-hydro-electic, 
-import from Tajikistan, 
-Solar energy 
-Wind Energy (along Baloch/Sindh CoastLine), 
-extension of Iranian surplus electricity lines from Balochistan-sistan into Pakistani Balochistan
** most importantly and acutely, this Iranian pipeline from the Pars field. 

time if flying, 2014 is just around the corner as well.

We need to be pro-active and solve this issue on multiple fronts, energy is very important to our prosperity.


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## Sparten80

&#9770;&#9770;&#9770;&#9770;;913944 said:


> Expect a lot of negative psy-ops against Pakistan from Western Media tomorrow.



agreed, and also, not just western media, you'll be surprised who else will imitate the chorus(domestic ones too). But this time, we dont have time to be swayed, Energy is a must in our current deficit state.

we just need stay principalled and keep focused because the energy issue is in our national interest irrespective of who and what others may say.

We need this project, the energy crisis in Pakistan is very serious and needs to addressed immediately and on multiple fronts. This Iranian Gas pipeline is vital and should be done on urgent basis along with other projects(Coal, nuclear, hydro etc..)


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## scrumpy

malaymishra123 said:


> Point is that your making a mistake by linking the price of that gas to oil-or linking it to _that_ extent.
> 
> You should have that gas, but with different pricing mechanism.
> 
> You might be saving money from producing electricity from gas rather than oil in _relative_ terms but it is not sustainable because other countries would be sourcing gas at cheaper rates. That would make your country's industries less competitive vis-a-vis others, more expensive for households to consume electricity-a net negative effect in absolute terms.



The article is preceded by the article about Shale gas and how the price of gas is falling relative to the price of oil because of better technology for extracting gas from shale is now available. Linking the price of gas to oil is wrong because more options for gas production is now available and this is expected to drive down the price of gas even as the price of oil goes up due to lack of available resources. I think it is very important for readers to read that article before reading this article.

When the author mentions Enron in the heading, he is pointing to the deal the Government of Maharashtra signed with Enron. He is not pointing to the bankruptcy of Enron as some readers have mistaking assumed. The circumstances were similar in the sense there was an acute energy crises created due to lack of generation capacity. The deal ended up bankrupting the Maharashtra Government and the deal had to be cancelled. A similar situation in Pakistan is now generating a lot of clamour for this deal. What he warns is that the pricing mechanism for this gas is wrong and the deal could turn out to be very costly for Pakistan and for India if it decides to join them.


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## Marxist

*Iran approves "peace pipeline" deal with Pakistan*

TEHRAN June 13 (Reuters) - Iran finalised a $7 billion "peace pipeline" deal on Sunday to export natural gas to Pakistan by 2015, Iran's state television reported.

"The deal was signed. Export of Iran's gas to Pakistan will be launched by the end of 2015," state TV reported.

"For 25 years Iran will export one million cubic metres of natural gas to Pakistan per day," it said.

The project is crucial for Pakistan to avert a growing energy crisis already causing severe electricity shortages in the country of about 170 million, at the same time as it confronts Islamist militancy.

Iran has the world's second largest gas reserves after Russia but has struggled for years to develop its oil and gas resources. Iranian officials say the country needs $25 billion to develop its crucial energy industry.

Sanctions by the West, political turmoil and construction delays have slowed Iran's development as an exporter.

The pipeline will connect Iran's giant South Fars gas field with Pakistan's southern Baluchistan and Sindh provinces.

State television said the pipeline was 1,000 km (620 miles) long, with about 907 km of it already built.

Dubbed the "peace pipeline," the project has been planned since the 1990s and originally would have extended from Pakistan to its old rival, India. New Delhi has been reluctant to join the project because of its long-running distrust of Pakistan, with whom it has fought three wars since independence in 1947.

Under a deal signed in March, Pakistan will be allowed to charge a transit fee if the proposed pipeline is eventually extended to India.

The United States has tried to discourage India and Pakistan from any deal with Iran because of Tehran's disputed nuclear programme, which the West fears is a cover to build bombs.

Iran, hit by a fourth round of U.N. sanctions on Wednesday over its refusal to suspend its uranium enrichment activities, denies any such ambitions.

Iran approves peace pipeline deal with Pakistan | Energy & Oil | Reuters


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## sparklingway

*Iran, Pakistan sign gas export deal*​
(AFP) &#8211; 7 hours ago

TEHRAN &#8212; Iran and Pakistan formally signed on Sunday an export deal which commits the Islamic republic to supplying its eastern neighbour with natural gas from 2014.

The contract is the latest step in completing a multi-billion dollar gas pipeline between Iran and Pakistan within the next four years.

"This is a happy day," Iran's Deputy Oil Minister Javad Ouji told reporters at the contract signing ceremony in Tehran.

*"After decades of negotiations, we are witnessing today the execution of the agreement... to export more than 21 million cubic metres (742 million cubic feet) of natural gas daily from 2014 to Pakistan," he added.*

*He said that from Monday, Iran will start building the next 300-kilometre (187.5 miles) leg of the pipeline from the southeastern city of Iranshahr to the Pakistani border, through the Iranian port of Chabahar.*

Iran has already constructed 907 kilometres of the pipeline between Asalooyeh, in southern Iran, and Iranshahr, which will carry natural gas from Iran's giant South Pars field.

Pakistan's Deputy Energy Minister Kamran Lashari, who was present at the signing ceremony, said that Islamabad will conduct a one-year feasibility study for building its section of the pipeline.

It will then "take three years for constructing the 700-kilometre pipeline" from the Iranian border to the Pakistani city of Nawabshah, he added.

The pipeline was originally planned between Iran, Pakistan and India, but the latter pulled out of the project last year.

Pakistan plans to use the gas purchased from Iran for its power sector.

Ouji said that Iran, which has the second largest gas reserves in the world, currently produces 600 million cubic metres of natural gas, of which 430 to 440 million cubic metres is consumed domestically.

It plans to raise output to 900 million cubic metres over the next three years with the expansion of South Pars and hopes to further hike it to 1,100 million cubic metres by 2015.


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## ejaz007

*Pakistan, Iran sign $7.5 bn gas pipeline project *
Monday, June 14, 2010
*Peace pipeline to start supply from 2014; Pakistan to lay 700-km, Iran to build 300-km leg of pipeline; project enters implementation phase*


ISLAMABAD: Pakistan and Iran on Sunday finalised the $7.5 billion gas project dubbed as a peace pipeline to start the supply of natural gas to Islamabad from 2014.

The landmark agreement was signed by the managing director of the National Iranian Gas Export Company Reza Kasaeizadeh, and his Pakistani counterpart from Inter State Gas Limited, Mohammad Naeem Sharafat.

The Pakistani delegation, included Secretary Ministry of Petroleum and Natural Resources Kamran Lashari. After decades of negotiations, we are witnessing today the execution of the agreement... to export more than 21 million cubic metres (742 million cubic feet) of natural gas daily from 2014 to Pakistan, Ouji said.

He said that from Monday (today), Iran will start building the next 300-kilometre leg of the pipeline from the southeastern city of Iranshahr to the Pakistani border, through the Iranian port of Chabahar.

Iran has already constructed 907 kilometres of the pipeline between Asalooyeh, in southern Iran, and Iranshahr, which will carry natural gas from Irans giant South Pars field. Now the project has entered into its implementation phase and there are no further formalities left in way, Sharafat said. According to him, the IP project was another testimony of the long historic and cordial relations between Pakistan and Iran.

The pipeline will connect Irans giant South Fars gas field with Pakistans Balochistan and Sindh provinces. Pakistan has to construct about a 700-kilometre leg of the pipeline from the border, traversing along the Makran Coastal Highway to connect with its existing gas transmission network at Nawabshah. A 42-inch diameter pipeline is planned to be built, which is estimated to cost $1.65 billion.

The project is crucial for Pakistan to avert a growing energy crisis, already causing severe electricity shortages in the country and the project would help generate around 5,000 megawatts of electricity.

Under the gas sale and purchase agreement (GSPA), Pakistan will import about 750 million cubic feet a day (mmcfd) with provision to increase it to one billion cubic feet a day (bcfd).The volume of imported gas will be about 20 per cent of Pakistans current gas production and the agreement is for a period of 25 years, renewable for another five years.

Iran has the worlds second largest gas reserves after Russia but has struggled for years to develop its oil and gas resources. Sanctions by the West, political turmoil and construction delays have slowed down Irans development as an exporter.

Iran state television said the pipeline was 1,000 kilometres long, with about 907 kilometres of it already built. The Pakistan-India (IPI) gas pipeline project was conceived in early ë90s. However, the project could not take off for various reasons, including the new gas discoveries in Pakistan of Miano, Sawan and Zamzama, Indian concerns on pipeline security and Iranian indecisiveness on certain issues.

Pakistan would be allowed under an agreement signed in March to charge a transit fee if the proposed pipeline is eventually extended to India. The project was revived and bilateral Iran-Pakistan Joint Working Group (JWG) was constituted and the first meeting was held on December 29-30, 2003 in Islamabad.

Iranian officials say the country needs $25 billion to develop its crucial energy industry. The United States has tried to discourage India and Pakistan from any deal with Iran because of Tehrans disputed nuclear programme, which the West fears is a cover to build bombs. Iran, hit by a fourth round of UN sanctions on Wednesday over its refusal to suspend its uranium enrichment activities, denies any such ambitions. 

Pakistan, Iran sign $7.5 bn gas pipeline project

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## PakSher

This will be great for the Pakistan economy. One of the best economic projects in Pakistan-Iran relations.


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## bc040400065

*No objection to Pak-Iran pipeline deal: Holbrooke*


By Online / Sumera Khan 
June 20, 2010



ISLAMABAD: US Special Representative for Pakistan and Afghanistan Richard Holbrooke has said his country has no objection to the Pakistan-Iran gas pipeline project.

*&#8220;Pakistan is facing an energy crisis. The US has no objection to the Pak-Iran gas pipeline project as it is an internal matter of Islamabad,&#8221; *Holbrooke said at a joint news conference with Foreign Minister Shah Mehmood Qureshi on Saturday as they emerged out of a meeting between chairpersons of the US-Pakistan Strategic Dialogue at the Foreign Office.

*Holbrooke went on to say that Pakistan was a great country and it had assumed vital significance all over the world. The entire world had acknowledged the unparalleled sacrifices rendered by Pakistan in the war on terror, he added.*

&#8220;But it doesn&#8217;t mean that we&#8217;ve reached the end of the road. This is a tough, long struggle and much more needs to be done,&#8221; he said.

Referring to the sectoral dialogue, he said, &#8220;We are discussing real policy issues and how to work together to advance our common agenda&#8221;.

&#8220;This was the first time we have discussed water issues with Pakistan in such detail. Having provincial and federal water experts working together is essential to overcome Pakistan&#8217;s water scarcity issue,&#8221; he added. Responding to a question regarding development of Pakistan&#8217;s economy, he said, &#8220;We have discussed efforts to advance through Congress the Reconstruction Opportunity Zones (RoZ) legislation.&#8221;

He said Pakistan&#8217;s efforts to advance measures on labour rights and inspections for these ROZs also figured in the discussion.

&#8220;We also discussed efforts to promote business opportunities for Pakistani textile and apparel manufacturers. I am pleased to announce that the US will support Pakistani producers at a major trade show in New York, being held from July 13 to 15,&#8221; he said.

Holbrooke said, &#8220;We want to give the US business community a chance to learn that Pakistan is open for business, and we want to help you showcase the quality of your great Pakistani products.&#8221;

On trust deficit, he said Pakistan is most important ally in the war on terror and that we&#8217;ll never leave it alone in difficulties. He said terrorism is our common enemy and Pakistan had to face more losses as compared to any country.

Asked whom he would hold responsible if al Qaeda leader Osama bin Laden and Afghan Taliban chief Mullah Omar were hiding somewhere along the border between Pakistan and Afghanistan, Holbrooke said: &#8220;Many of their associates have been apprehended or killed. Even though these two people &#8230; are still at large, they are under intense pressure.&#8221;

Shah Mahmood Qureshi said the ongoing Pak-US strategic dialogue will be completed by July 9. He said seven rounds of dialogue have been undertaken while US secretary of state Hillary Clinton will visit Pakistan in July to kick off the second phase.

Holbrooke favoured bilateral engagement in the energy sector and said, &#8220;We only announced our initiatives on energy nine months ago when Clinton was here in October. Now the progress and measures put in place since Prime Minister Gilani convened your energy summit in April are clear&#8221;. He went on to note that power cuts have decreased in the urban areas &#8220;and we have seen a clear government commitment to put energy on a more solid financial footing&#8221;.



No objection to Pak-Iran pipeline deal: Holbrooke &#8211; The Express Tribune


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## GUNNER

*US says new sanctions on Iran could impact Pakistan*

Sun Jun 20, 2010 7:24am GMT

By Chris Allbritton

ISLAMABAD June 20 (Reuters) - *Pakistan should be wary of committing to an Iran-Pakistan natural gas pipeline because anticipated U.S. sanctions on Iran could hit Pakistani companies, the U.S. special representative to the region said on Sunday*.

While sympathetic to Pakistan's energy needs, the U.S. special representative to the region, Richard Holbrooke, told reporters that new legislation, which targets Iran's energy sector, is being drafted in the U.S. Congress and that Pakistan should "wait and see".

"Pakistan has an obvious, major energy problem and we are sympathetic to that, but in regards to a specific project, legislation is being prepared that may apply to the project," he said, referring to the pipeline. *"We caution the Pakistanis not to over-commit themselves until we know the legislation."*

Pakistan is plagued by chronic electricity shortages that have led to mass demonstrations and battered the politically shaky government of President Asif Ali Zardari.

U.S. Senator Joseph Lieberman said last week he expects Congress to finish shortly legislation tightening U.S. sanctions on Iran that will include provisions affecting the supply of refined petroleum products to Tehran, and add to sanctions on its financial sector.

Lieberman, an independent, is a member of a House-Senate committee of negotiators working on final details of the bill and said it could pass by July 4.

The $7.6 billion natural gas pipeline deal, signed in March, doesn't directly deal with refined petroleum products and was hailed in both Iran and Pakistan as highly beneficial.

The U.S. has so far been muted in its criticism of the deal, balancing its need to support Pakistan, a vital but unstable ally in the global war against al Qaeda, with its desire to isolate Iran.

But the legislation could be comprehensive enough to have major implications for Pakistani companies, Holbrooke said.
*"We caution Pakistan to wait and see what the legislation is."*

This was Holbrooke's tenth trip to Pakistan since President Barack Obama appointed him special representative to the region. His visit followed a series of working groups this week that are part of the U.S.-Pakistan strategic dialogue, which both countries say will lay the groundwork for a new relationship.


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## GUNNER

ISLAMABAD, Pakistan, June 20, 2010 (AFP) - The US special envoy to Pakistan said Sunday he had warned Islamabad against signing a deal with Iran on a gas pipeline, saying the US was preparing laws that could affect the project.

"We cautioned the Pakistanis not to over-commit themselves until we know the legislation," Richard Holbrooke, US President Barack Obama's special envoy to Afghanistan as well as Pakistan, told reporters.

"Pakistan has an obvious major energy problem. We are very sympathetic to it. In regard to the specific project, legislation is now being prepared which may apply to this project," said Holbrooke.
He declined to give details, saying he was not involved in drawing up the legislation, but cautioned that it could be "comprehensive."

"This can range from legislation which could be so comprehensive that something like this could create a major problem for any company or country," Holbrooke said.

Iran and Pakistan last week formally signed an export deal which commits Iran to selling natural gas to its eastern neighbour from 2014.

Iran has already constructed 907 kilometres of the pipeline between Asalooyeh, in southern Iran, and Iranshahr, which will carry natural gas from Iran's giant South Pars field.

The pipeline was originally planned to connect Iran, Pakistan and India, but the latter pulled out of the project last year.

Pakistan plans to use the gas purchased from Iran for its power sector.

The Obama administration on Wednesday added Iranian individuals and firms to a blacklist as part of US and European efforts to tighten the screws on Iran a week after UN approved sanctions against its nuclear programme.

The new US sanctions target insurance companies, oil firms and shipping lines linked to Iran's nuclear or missile programmes as well as the Islamic Revolutionary Guards Corps (IRGC) and Iran's defence minister Ahmad Vahidi.

The United States has long offered Iran trade and other incentives in exchange for halting its uranium enrichment programme, which western powers fear masks a drive to build a nuclear bomb.

Iran claims its aims are peaceful.


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## you are fired

now that's bad news what Pakistan is going to do now


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## mjnaushad

you are fired said:


> now that's bad news what Pakistan is going to do now


No sanction can stop any country to sell its natural resources. And the contract is inked so no need to worry.


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## Awesome

Power through and do not give in to blackmail.

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## Hyde

yesterday US said it has nothing to do with Iran-Pak gas pipeline as it is an internal matter of Pakistan 

in my humble opinion nothing is going to happen as it has now become a part of law and will be complied by both respective countries. If US had some serious issues they would have objected over this pipeline back in 2008 when it was about to be inked.

Now nothing can happen and nothing serious will happen. This pipeline will go ahead without any hurdle and i see its already a success

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## forcetrip

Here is the Link.

No objection to Pak-Iran pipeline deal: Holbrooke &#8211; The Express Tribune



ISLAMABAD: US Special Representative for Pakistan and Afghanistan Richard Holbrooke has said his country has no objection to the Pakistan-Iran gas pipeline project.

&#8220;Pakistan is facing an energy crisis. The US has no objection to the Pak-Iran gas pipeline project as it is an internal matter of Islamabad,&#8221; Holbrooke said at a joint news conference with Foreign Minister Shah Mehmood Qureshi on Saturday as they emerged out of a meeting between chairpersons of the US-Pakistan Strategic Dialogue at the Foreign Office.

Holbrooke went on to say that Pakistan was a great country and it had assumed vital significance all over the world. The entire world had acknowledged the unparalleled sacrifices rendered by Pakistan in the war on terror, he added.

&#8220;But it doesn&#8217;t mean that we&#8217;ve reached the end of the road. This is a tough, long struggle and much more needs to be done,&#8221; he said.

Referring to the sectoral dialogue, he said, &#8220;We are discussing real policy issues and how to work together to advance our common agenda&#8221;.

&#8220;This was the first time we have discussed water issues with Pakistan in such detail. Having provincial and federal water experts working together is essential to overcome Pakistan&#8217;s water scarcity issue,&#8221; he added. Responding to a question regarding development of Pakistan&#8217;s economy, he said, &#8220;We have discussed efforts to advance through Congress the Reconstruction Opportunity Zones (RoZ) legislation.&#8221;

He said Pakistan&#8217;s efforts to advance measures on labour rights and inspections for these ROZs also figured in the discussion.

&#8220;We also discussed efforts to promote business opportunities for Pakistani textile and apparel manufacturers. I am pleased to announce that the US will support Pakistani producers at a major trade show in New York, being held from July 13 to 15,&#8221; he said.

Holbrooke said, &#8220;We want to give the US business community a chance to learn that Pakistan is open for business, and we want to help you showcase the quality of your great Pakistani products.&#8221;

On trust deficit, he said Pakistan is most important ally in the war on terror and that we&#8217;ll never leave it alone in difficulties. He said terrorism is our common enemy and Pakistan had to face more losses as compared to any country.

Asked whom he would hold responsible if al Qaeda leader Osama bin Laden and Afghan Taliban chief Mullah Omar were hiding somewhere along the border between Pakistan and Afghanistan, Holbrooke said: &#8220;Many of their associates have been apprehended or killed. Even though these two people &#8230; are still at large, they are under intense pressure.&#8221;

Shah Mahmood Qureshi said the ongoing Pak-US strategic dialogue will be completed by July 9. He said seven rounds of dialogue have been undertaken while US secretary of state Hillary Clinton will visit Pakistan in July to kick off the second phase.

Holbrooke favoured bilateral engagement in the energy sector and said, &#8220;We only announced our initiatives on energy nine months ago when Clinton was here in October. Now the progress and measures put in place since Prime Minister Gilani convened your energy summit in April are clear&#8221;. He went on to note that power cuts have decreased in the urban areas &#8220;and we have seen a clear government commitment to put energy on a more solid financial footing&#8221;.


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## T-Faz

Ughh, such deceitful cowards. I cannot stand this cunning play from the masters of deceit and destruction.

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## Spring Onion

Pressure tactics. Hmmm we should go ahead with the project. would see what can be happen if US puts sanctions on Iran.

---------- Post added at 05:17 PM ---------- Previous post was at 05:16 PM ----------

BTW we are already going for China civilian nuke deal when failed to put much pressure on that front Yankees are now doing this.

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## jha

It was the time for india to support IRAN..but i guess that is not possible now..
I whole heartedly wanted IPI pipeline project to become a reality but sadly this will have to wait....


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## Frankenstein

jha said:


> It was the time for india to support IRAN..but i guess that is not possible now..
> I whole heartedly wanted IPI pipeline project to become a reality but sadly this will have to wait....



If it was IPI gas pipe line then US wont even poke its nose into the matter, since India is out of the loop US is having some problems, 

*US is testing our patients not our Loyalty, i hope GoP go through anyway*

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## Fighter488

Renewed pressure tactics by Uncle SAM. Shameful and disgusting white house morons!

Fighter



*US envoy cautions Pakistan over Iran gas deal​*
By SEBASTIAN ABBOT (AP)  35 minutes ago

*ISLAMABAD * The U.S. warned Pakistan that a recently signed gas pipeline deal with Iran could run afoul of new sanctions being finalized in Congress, the U.S. special envoy to Pakistan and Afghanistan said Sunday.

Richard Holbrooke delivered the message during a visit to Pakistan, his first since Iran inked a contract earlier this month to export 21.5 million cubic meters (760 million cubic feet) of gas per day to Pakistan beginning in 2014.

"We cautioned the Pakistanis to try to see what the (Congressional) legislation is before deciding how to proceed because it would be a disaster if ... we had a situation develop where an agreement was reached which then triggered something under the law," said Holbrooke.

The U.S. has discouraged countries from doing business with Iran because of its refusal to suspend uranium enrichment, a process that can produce fuel for a nuclear weapon. Washington has worked with the U.N. to levy four sets of sanctions against Iran and has also unilaterally targeted companies and individuals helping Iran develop its atomic and missile programs.

The U.S. Congress is currently finalizing a new set of sanctions largely aimed at Iran's petroleum industry. Both houses have passed versions of the sanctions and are working to reconcile their differences.

While U.S. officials have expressed opposition to the Pakistan-Iran gas pipeline deal, the issue is complicated by Washington's reliance on Pakistan's cooperation to fight al-Qaida and the Taliban.

The U.S. also acknowledges that Pakistan faces a severe energy crisis and has made aid to the energy sector one of its top development priorities. Electricity shortages in Pakistan cause rolling blackouts that affect businesses and intensify suffering during the hot summer months.

Copyright © 2010 The Associated Press. All rights reserved


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## WillUSDemiseBePeaceful?

Ignore, after all, Pakistan isn't suppose to get those reactors from China.


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## Desert Fox

Jana said:


> Pressure tactics. Hmmm we should go ahead with the project. would see what can be happen if US puts sanctions on Iran.
> 
> ---------- Post added at 05:17 PM ---------- Previous post was at 05:16 PM ----------
> 
> BTW we are already going for China civilian nuke deal when failed to put much pressure on that front Yankees are now doing this.



so Pakistan is still getting the reactors from China?


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## TaimiKhan

Aaahhh the usual US hypocrisy, if you tell them to put sanctions on the export of oil being done by Iran, then the US will say it will have negative impact on the world, reason being oil prices will sky rocket and in the end US will be the one hit hard, so when it comes to their own objectives, no sanctions, but if it is others, then put sanctions. 

Wah wah ji, kiya kehnaaa


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## asq

Even if the so called lagislation goes through, it will not apply retroctivily, so contracts signed before this lagislation will not fall under it. 

My two cents worth.


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## SpArK

*New restrictions on Iran may affect Pak: Halbrooke*

.:: SAMAA - New restrictions on Iran may affect Pak: Halbrooke



ISLAMABAD: US Special Envoy for Pakistan and Afghanistan Richard Holbrooke has said new impositions on Iran may affect Pakistan, SAMAA reported Sunday.

While talking to media persons,* Halbrooke has said that US is aware of Pakistan&#8217;s power crisis, therefore he has stressed Pakistan to wait till the legislature procedures in American cabinet complete regarding the impositions on Iran. Thus he warns Pakistan not to rely on Pak Iran gas pipe line project as new restrictions on Iran may affect Pakistan too.*

Pakistan has a strategic importance, he said. SAMAA


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## forcetrip

The Sanctions will not affect the deal between Iran and Pakistan pipeline project. 


&#8216;UN sanctions will not harm Iran-Pakistan pipeline project&#8217; &#8211; The Express Tribune

Foreign Minister Shah Mehmood Qureshi rejected US concerns over the Pakistan-Iran gas pipeline project, saying that UN sanctions on Tehran will not harm the deal and that it is much needed for Pakistan in the wake of the current energy crisis.

The foreign minister was speaking to the media at Multan airport on Sunday. Talking about the strategic dialogue between Pakistan and the US, he said that a future plan would be drafted after the strategic dialogue is completed in July after Hillary Clinton arrives.

Qureshi said that the sanctions imposed on Iran were imposed by the Security Council, and that Pakistan would respect the sanctions. He also mentioned that China-Pakistan nuclear cooperation was not discussed during the meeting with Richard Holbrooke, and that Pakistan was well aware of how to protect its interests.

The foreign ministers statement comes after Holbrooke hinted that Pakistan should be wary of the gas pipeline deal with Iran.

US special representative for Pakistan and Afghanistan Richard Holbrooke arrived in Islamabad on Saturday. Holbrooke&#8217;s visit aims at reviewing developments in strategic dialogue, and to finalise an agenda for US Secretary of State, Hillary Clinton&#8217;s visit.


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## Hutchroy

TaimiKhan said:


> Aaahhh the usual US hypocrisy, if you tell them to put sanctions on the export of oil being done by Iran, then the US will say it will have negative impact on the world, reason being oil prices will sky rocket and in the end US will be the one hit hard, so when it comes to their own objectives, no sanctions, but if it is others, then put sanctions.
> 
> Wah wah ji, kiya kehnaaa



An US  UN Sanction on Iranian Oil Exports will effect Japan, China, India South Korea and India which in 2008 Imported 1,570 Billion Barrels Daily, Italy, Spain, Greece and France 500 Million Barrels Daily, South Africa 90 Million Barrels Daily and the Rest of the World 440 Million Barrels Daily.

As such the United States cannot go against Top Asian Importers of Iranian Crude. As far as the "US and other European Nations" are concerned Libya, Nigeria etc. will pick up the slack.

In the case of Pakistan the US has more leverage especially the Defence and Economic Aid coupled with the IMF and WB lending.

However, if Pakistan can allay Indias Fears so as to have an IPI pipeline then in my opinion the US will have to think many times before imposing sanctions on such a Pipeline.


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## Spring Onion

SilentNinja said:


> so Pakistan is still getting the reactors from China?



For the time being its positive unless Zardari doesnt bow to US or we are not able to extract something better than this from US

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## nwmalik

no gas from iran
no nuclear deal with china
sorry nothing from us for your energy problem. 

from your uncle
Sam
XXX

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## Fighter488

*Pakistan FM vows to implement Iran gas pipeline project despite U.S. warning ​* 
English.news.cn 2010-06-20 22:42:42 FeedbackPrintRSS 

*ISLAMABAD*, June 20 (Xinhua) -- *Pakistan's Foreign Minister Shah Mehmood Qureshi Sunday defended the 7.5 billion-U.S.-dollar gas pipeline with Iran and said Islamabad will take the project forward despite sanctions on Iran.​*
Qureshi's comments came hours after U.S. Special envoy for Pakistan and Afghanistan Richard Holbrooke warned Pakistan against the pipeline intended to bring the much-needed natural gas to the energy starved country.

Pakistan and Iran formally signed the deal in Tehran on June 13, under which Iran will supply Pakistan with natural gas from mid- 2014.

"The gas pipeline project with Iran is in Pakistan's interests, " the Pakistani Foreign Minister told a news conference in the city of Multan in Punjab.​
Qureshi said that Pakistani experts are of the opinion that sanctions on Iran will not affect gas pipeline project as it is a bilateral agreement and both countries have already finalized the deal.

He said that gas pipeline deal with Iran will not violate international laws, adding Pakistan will focus on its interests without violating international laws.

The Pakistani Foreign Minister said that the visiting U.S envoy Richard Holbrooke also remained silent when he was asked about the Iran gas pipeline deal on Saturday.

He said sanctions on Iran have not been imposed for the first time and that the Islamic republic had also been slapped with curbs three times before. He added that it is fourth time that Iran has been sanctioned, adding that if these sanctions have been imposed under chapter 7 of the UN then all UN members will apply and Pakistan will respect it like other countries.

The pipeline was initially mooted to carry gas from Iran to Pakistan and on to India. India withdrew from negotiations last year after signing a nuclear deal with the United States, but has kept open the option of rejoining the project at a later stage.

Iran will export more than 21 million cubic metres (742 million cubic feet) of natural gas daily, according to the deal.

Meanwhile Iranian ambassador in Islamabad Mash' Allah Shakeri has said the multi-billion Iran gas pipeline has enhanced Pakistan ' s strategic importance, particularly in relation to India.

*"In addition to the added economic value of billions of dollars, the Iran gas pipeline agreement has boosted the strategic value of Pakistan in the region. If there is any third country recipient, they have to recognize that Pakistan is going to provide a peaceful passage," Shakeri told Express Television in an interview.*

Pakistan FM vows to implement Iran gas pipeline project despite U.S. warning


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## Aeon

nwmalik said:


> no gas from iran
> no nuclear deal with china
> sorry nothing from us for your energy problem.
> 
> from your uncle
> Sam
> XXX



Yet they wonder why Pakistanis perceive them as having sinister intentions.


----------



## Frankenstein

Fighter488 said:


> *Pakistan FM vows to implement Iran gas pipeline project despite U.S. warning ​*
> English.news.cn 2010-06-20 22:42:42 FeedbackPrintRSS
> 
> *ISLAMABAD*, June 20 (Xinhua) -- *Pakistan's Foreign Minister Shah Mehmood Qureshi Sunday defended the 7.5 billion-U.S.-dollar gas pipeline with Iran and said Islamabad will take the project forward despite sanctions on Iran.​*
> Qureshi's comments came hours after U.S. Special envoy for Pakistan and Afghanistan Richard Holbrooke warned Pakistan against the pipeline intended to bring the much-needed natural gas to the energy starved country.
> 
> Pakistan and Iran formally signed the deal in Tehran on June 13, under which Iran will supply Pakistan with natural gas from mid- 2014.
> 
> "The gas pipeline project with Iran is in Pakistan's interests, " the Pakistani Foreign Minister told a news conference in the city of Multan in Punjab.​
> Qureshi said that Pakistani experts are of the opinion that sanctions on Iran will not affect gas pipeline project as it is a bilateral agreement and both countries have already finalized the deal.
> 
> He said that gas pipeline deal with Iran will not violate international laws, adding Pakistan will focus on its interests without violating international laws.
> 
> The Pakistani Foreign Minister said that the visiting U.S envoy Richard Holbrooke also remained silent when he was asked about the Iran gas pipeline deal on Saturday.
> 
> He said sanctions on Iran have not been imposed for the first time and that the Islamic republic had also been slapped with curbs three times before. He added that it is fourth time that Iran has been sanctioned, adding that if these sanctions have been imposed under chapter 7 of the UN then all UN members will apply and Pakistan will respect it like other countries.
> 
> The pipeline was initially mooted to carry gas from Iran to Pakistan and on to India. India withdrew from negotiations last year after signing a nuclear deal with the United States, but has kept open the option of rejoining the project at a later stage.
> 
> Iran will export more than 21 million cubic metres (742 million cubic feet) of natural gas daily, according to the deal.
> 
> Meanwhile Iranian ambassador in Islamabad Mash' Allah Shakeri has said the multi-billion Iran gas pipeline has enhanced Pakistan ' s strategic importance, particularly in relation to India.
> 
> *"In addition to the added economic value of billions of dollars, the Iran gas pipeline agreement has boosted the strategic value of Pakistan in the region. If there is any third country recipient, they have to recognize that Pakistan is going to provide a peaceful passage," Shakeri told Express Television in an interview.*
> 
> Pakistan FM vows to implement Iran gas pipeline project despite U.S. warning



Awesome


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## IceCold

GUNNER said:


> *US says new sanctions on Iran could impact Pakistan*
> 
> Sun Jun 20, 2010 7:24am GMT
> 
> By Chris Allbritton
> 
> ISLAMABAD June 20 (Reuters) - *Pakistan should be wary of committing to an Iran-Pakistan natural gas pipeline because anticipated U.S. sanctions on Iran could hit Pakistani companies, the U.S. special representative to the region said on Sunday*.
> 
> While sympathetic to Pakistan's energy needs, the U.S. special representative to the region, Richard Holbrooke, told reporters that new legislation, which targets Iran's energy sector, is being drafted in the U.S. Congress and that Pakistan should "wait and see".
> 
> "Pakistan has an obvious, major energy problem and we are sympathetic to that, but in regards to a specific project, legislation is being prepared that may apply to the project," he said, referring to the pipeline. *"We caution the Pakistanis not to over-commit themselves until we know the legislation."*
> 
> Pakistan is plagued by chronic electricity shortages that have led to mass demonstrations and battered the politically shaky government of President Asif Ali Zardari.
> 
> U.S. Senator Joseph Lieberman said last week he expects Congress to finish shortly legislation tightening U.S. sanctions on Iran that will include provisions affecting the supply of refined petroleum products to Tehran, and add to sanctions on its financial sector.
> 
> Lieberman, an independent, is a member of a House-Senate committee of negotiators working on final details of the bill and said it could pass by July 4.
> 
> The $7.6 billion natural gas pipeline deal, signed in March, doesn't directly deal with refined petroleum products and was hailed in both Iran and Pakistan as highly beneficial.
> 
> The U.S. has so far been muted in its criticism of the deal, balancing its need to support Pakistan, a vital but unstable ally in the global war against al Qaeda, with its desire to isolate Iran.
> 
> But the legislation could be comprehensive enough to have major implications for Pakistani companies, Holbrooke said.
> *"We caution Pakistan to wait and see what the legislation is."*
> 
> This was Holbrooke's tenth trip to Pakistan since President Barack Obama appointed him special representative to the region. His visit followed a series of working groups this week that are part of the U.S.-Pakistan strategic dialogue, which both countries say will lay the groundwork for a new relationship.




**** you and **** your sympathies Mr Holbrooke. Our country is not run your sympathies, it requires much more then that so if the US of A cannot help us in concrete steps and just words are used to consolidate us, better stay out. Either put up or shut up. 


After this statement i for one have serious reservations and doubts on the intentions of GOP since they cant bite the hands that feed them and the nation may hear another bad news in days to come.


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## fawwaxs

US cautions Pakistan on Iran pipeline 

ISLAMABAD: Pakistan should be wary of committing to an Iran-Pakistan natural gas pipeline because anticipated US sanctions on Iran could hit Pakistani companies, the US special representative to the region said on Sunday.

Richard Holbrooke told reporters that new legislation, which targets Irans energy sector, is being drafted in the US Congress and that Pakistan should wait and see.

Pakistan has an obvious, major energy problem and we are sympathetic to that, but in regards to a specific project, legislation is being prepared that may apply to the project, he said, referring to the pipeline.

We caution the Pakistanis not to over-commit themselves until we know the legislation.

Pakistan is plagued by chronic electricity shortages that have led to mass demonstrations and battered the PPP-led government.

US Senator Joseph Lieberman said last week he expected Congress to finish shortly the legislation tightening US sanctions on Iran that would include provisions affecting the supply of refined petroleum products to Tehran, and add to sanctions on its financial sector.

Lieberman, an independent, is a member of a House-Senate committee of negotiators working on final details of the bill and said it could pass by July 4.

The $7.6 billion natural gas pipeline deal, signed in March, doesnt directly deal with refined petroleum products and was hailed in both Iran and Pakistan as highly beneficial.

The US has so far been muted in its criticism of the deal, balancing its need to support Pakistan, a vital ally in the global war against Al Qaeda, with its desire to isolate Iran.

But the legislation could be comprehensive enough to have major implications for Pakistani companies, Holbrooke said. We caution Pakistan to wait and see what the legislation is.

This was Holbrookes tenth trip to Pakistan since President Barack Obama appointed him special representative to the region. His visit followed a series of working group meetings this week that are part of the US-Pakistan strategic dialogue, which both countries say will lay the groundwork for a new relationship.

Afghanistan was on the agenda in meetings with the Pakistani leadership, Holbrooke said, including talks on a Pakistani role in talks between the Afghan Taliban and the Kabul government.

Regardless of what happened in Afghanistan, he said, the United States would remain engaged with Pakistan.

Pakistan matters in and of itself. Whatever happens in Afghanistan, the US cannot turn away from Pakistan again, he said.

We are not going to repeat the mistakes that occurred  at least not on our watch  in the last 20 years.


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## Marxist

US special envoy Richard Holbrooke has warned Pakistan against committing itself to a gas pipeline project with Iran because of anticipated American sanctions against Tehran.

Mr Holbrooke said Islamabad should wait until it received more details on new US legislation that could affect the multi-billion dollar project.

Iran signed a deal with Pakistan to supply it with natural gas from 2014.

Pakistan says it needs the gas from Iran to ease its growing energy crisis.

The original plan was to carry gas from Iran to Pakistan and then to India, but Delhi withdrew from the project due to differences over prices and transit fees, and also apparently due to pressure from the US.

The US Congress is preparing new legislation which will impose more sanctions on Iran because of concerns over Tehran's nuclear programme.

Mr Holbrooke, who is on a visit to Pakistan, cautioned the country against going ahead with the gas pipeline project.

"We cautioned the Pakistanis to try to see what the (congressional) legislation is before deciding how to proceed because it would be a disaster if... we had a situation develop where an agreement was reached which then triggered something under the law," he said.

He admitted that Pakistan "has an obvious major energy problem" and that the US was "very sympathetic to it".

Pakistani Foreign Minister Shah Mahmood Qureshi said that the pipeline deal with Iran did not violate existing sanctions against Iran.

Iran signed a deal with Pakistan last week to supply it with natural gas from 2014.

The pipeline was originally planned to transport gas from Iran to India through Pakistan.

The deal with India was stalled by disputes over transit fees and security issues. 

BBC News - US cautions Pakistan over gas deal with Iran


----------



## Marxist

*Pakistan ignores US on Iran gas deal *

Pakistan's Foreign Minister says his country needs energy, emphasizing that Islamabad will continue a gas pipeline deal with Iran despite sanctions on Tehran.

Shah Mehmood Qureshi told reporters on Sunday that the present government has struck the gas pipeline deal with Iran in view of Pakistan's energy requirements.

"This agreement is in the interest of Pakistan and it will only see its interests and the international laws&#8230;&#8230; the Iran-Pakistan gas pipeline agreement will not come under the ambit of the sanctions on Tehran," he said, a Press TV correspondent reported.

Pakistan's Foreign Minister disclosed that all the different phases of the gas pipeline agreement have been finalized and Islamabad wants it to proceed as planned.

On Sunday, Tehran and Islamabad finished signing a multi-billion-dollar contract, which supplies Pakistan with Iranian natural gas from 2014.

That same day, the US special envoy to Pakistan and Afghanistan, Richard Holbrooke, warned Islamabad that a recently signed gas pipeline deal with Iran could run afoul of new sanctions being finalized in the US Congress.

"We cautioned the Pakistanis to try to see what the (Congressional) legislation is, before deciding how to proceed because it would be a disaster if ... we had a situation develop where an agreement was reached which then triggered something under the law," he said.

Under the $7.6 billion deal, the Islamic Republic has agreed to provide 50 million cubic feet of natural gas to Pakistan on a daily basis from mid-2014.

The pipeline will account for 20 percent of the recipient's demands once Iran's giant South Pars gas field is connected with Pakistan's Baluchistan province.

Iran has already constructed more than 900 kilometers of the pipeline, stating that as a country with huge gas reserves, it is capable of guaranteeing global energy security.

The project, which aims to transport gas from Iran to Pakistan through a 2,600-kilometer pipeline, was first advanced in 1994 but has been stalled by a series of disputes between Pakistan and India.

Pakistan ignores US on Iran gas deal


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## mehru

Marxist said:


> US special envoy Richard Holbrooke has warned Pakistan against committing itself to a gas pipeline project with Iran because of anticipated American sanctions against Tehran.
> 
> Mr Holbrooke said Islamabad should wait until it received more details on new US legislation that could affect the multi-billion dollar project.
> 
> Iran signed a deal with Pakistan to supply it with natural gas from 2014.
> 
> Pakistan says it needs the gas from Iran to ease its growing energy crisis.
> 
> The original plan was to carry gas from Iran to Pakistan and then to India, but Delhi withdrew from the project due to differences over prices and transit fees, and also apparently due to pressure from the US.
> 
> The US Congress is preparing new legislation which will impose more sanctions on Iran because of concerns over Tehran's nuclear programme.
> 
> Mr Holbrooke, who is on a visit to Pakistan, cautioned the country against going ahead with the gas pipeline project.
> 
> "We cautioned the Pakistanis to try to see what the (congressional) legislation is before deciding how to proceed because it would be a disaster if... we had a situation develop where an agreement was reached which then triggered something under the law," he said.
> 
> He admitted that Pakistan "has an obvious major energy problem" and that the US was "very sympathetic to it".
> 
> Pakistani Foreign Minister Shah Mahmood Qureshi said that the pipeline deal with Iran did not violate existing sanctions against Iran.
> 
> Iran signed a deal with Pakistan last week to supply it with natural gas from 2014.
> 
> The pipeline was originally planned to transport gas from Iran to India through Pakistan.
> 
> The deal with India was stalled by disputes over transit fees and security issues.
> 
> BBC News - US cautions Pakistan over gas deal with Iran



US is "very sympathetic" to our energy concerns but they will try their level best to block our nuclear deal with China and gas pipeline deal with Iran. Really a concerned "ally".


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## Awesome

Pakistan ignores US on Iran gas deal

Pakistan's Foreign Minister says his country needs energy, emphasizing that Islamabad will continue a gas pipeline deal with Iran despite sanctions on Tehran. 

Shah Mehmood Qureshi told reporters on Sunday that the present government has struck the gas pipeline deal with Iran in view of Pakistan's energy requirements. 

"This agreement is in the interest of Pakistan and it will only see its interests and the international laws the Iran-Pakistan gas pipeline agreement will not come under the ambit of the sanctions on Tehran," he said, a Press TV correspondent reported. 

Pakistan's Foreign Minister disclosed that all the different phases of the gas pipeline agreement have been finalized and Islamabad wants it to proceed as planned. 

On Sunday, Tehran and Islamabad finished signing a multi-billion-dollar contract, which supplies Pakistan with Iranian natural gas from 2014. 

That same day, the US special envoy to Pakistan and Afghanistan, Richard Holbrooke, warned Islamabad that a recently signed gas pipeline deal with Iran could run afoul of new sanctions being finalized in the US Congress. 

"We cautioned the Pakistanis to try to see what the (Congressional) legislation is, before deciding how to proceed because it would be a disaster if ... we had a situation develop where an agreement was reached which then triggered something under the law," he said. 

Under the $7.6 billion deal, the Islamic Republic has agreed to provide 50 million cubic feet of natural gas to Pakistan on a daily basis from mid-2014. 

The pipeline will account for 20 percent of the recipient's demands once Iran's giant South Pars gas field is connected with Pakistan's Baluchistan province. 

Iran has already constructed more than 900 kilometers of the pipeline, stating that as a country with huge gas reserves, it is capable of guaranteeing global energy security. 

The project, which aims to transport gas from Iran to Pakistan through a 2,600-kilometer pipeline, was first advanced in 1994 but has been stalled by a series of disputes between Pakistan and India.


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## Justin Joseph

mehru said:


> US is "very sympathetic" to our energy concerns but they will try their level best to block our nuclear deal with China and gas pipeline deal with Iran. Really a concerned "ally".



They are sympathetic but pak should be rational. Nuclear deal is out of question and can be misused as per old habits. 

And Iran is US's concern. I do feel they are wrong here but you can't claim to be a ally when you give a damn to your ally/facilitator/donor.

US of A will help u out but pak should also work as ally then they will do whatever they can. Historically it's US of A who has always helped Pakistan.


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## TaimiKhan

Justin Joseph said:


> *They are sympathetic but pak should be rational. Nuclear deal is out of question and can be misused as per old habits. *
> 
> And Iran is US's concern. I do feel they are wrong here but you can't claim to be a ally when you give a damn to your ally/facilitator/donor.
> 
> *US of A will help u out but pak should also work as ally then they will do whatever they can. Historically it's US of A who has always helped Pakistan.*



Who are you to judge us ??? Ever seen your own stealing nuke material record under the disguise of peaceful purposes, atleast we are not that much of hypocrites and liars who steal under the disguise of peaceful purposes. Our nuke material of whatever kind doesn't turns up on the streets and people getting dead or ill due to that. So check your own record and then lecture us. 

It must be Indian old habit of using nuke material for military purposes under the disguise of peaceful means, our record in that matter is 100% clear, we have been running 2 civilians nuclear plants under the IAEA monitoring and so far not a single report that we diverted thing to our military program from there, as we don't need to, we keep both things separate unlike others who steal and used the stolen material for military purposes. 

Our military purpose plants are separate and we are building more of them, we don't act like others. 

And as for your last para, you seriously need to read history and learn about it, copy pasting articles and giving colors to it won't make you learn history, US has harmed us more compared to have helped us, you need to read your history and get your facts right.

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## ice_man

fine let's *DROP THE GAS PIPE LINE DEAL IF THE FOLLOWING DEMANDS ARE MEET:*

1) USA GIVES US A NUCLEAR DEAL 

2) ALL US DEBT TO PAKISTAN IS WRITTEN OFF

3) USA ALSO PROVIDES US MARKETS TO SELL OUR GOODS


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## Hutchroy

Daily Times - Leading News Resource of Pakistan

*Pakistan wont violate intl law if Iran sanctions affect gas project: Qureshi*

MULTAN/ISLAMABAD: If the Iran-Pakistan gas pipeline project falls under the restrictions imposed by the US on Iran, Pakistan will not violate international laws, Foreign Minister Mukhdoom Shah Mahmood Qureshi said on Sunday. *Qureshi told reporters that Pakistani experts hoped that the accord would not be affected by the sanctions imposed on Iran.* He said energy was the need of the country and the gas pipeline project should remain intact unless it fell in the ambit of the US restrictions. The foreign minister said Pakistan would protect its interests with regards to energy. However, he said it would be premature to give a final opinion at this stage. Foreign Office spokesman Abdul Basit told Daily Times that Pakistan would continue with the project to meet its energy crisis. app/staff report


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## toxic_pus

TaimiKhan said:


> Who are you to judge us ??? Ever seen your own stealing nuke material record under the disguise of peaceful purposes, atleast we are not that much of hypocrites and liars who steal under the disguise of peaceful purposes. Our nuke material of whatever kind doesn't turns up on the streets and people getting dead or ill due to that. So check your own record and then lecture us.


Pakistani nukes have our address written on them. That gives us the right to be judgmental. 

Anyway, we never 'stole' any 'nuke material' from anyone. Educate yourself Mr Mod. Given that you had moderated on this thread, it is therefore a willful amnesia that you are indulging in.


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## Hyde

toxic_pus said:


> Pakistani nukes have our address written on them. That gives us the right to be judgmental.
> 
> Anyway, we never 'stole' any 'nuke material' from anyone. Educate yourself Mr Mod. Given that you had moderated on this thread, it is therefore a willful amnesia that you are indulging in.



you mean India re-invented the invented Nuclear bombs 

So the invention of Nuclear bomb took place in USA and after that in India 

And what is it to do with Pakistan-Iran gas pipeline?


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## Justin Joseph

*Pakistan says will abide by U.S. sanctions on Iran*

By Kamran Haider

*ISLAMABAD June 21 (Reuters) - Pakistan will abide by any U.S. sanctions on Iran, which Washington has warned could hit Pakistani companies involved in a $7.6 billion Iran-Pakistan gas pipeline deal, the prime minister said on Monday.*

*Prime Minister Yusuf Raza Gilani's remarks came the day after U.S. Special Envoy for Afghanistan and Pakistan Richard Holbrooke warned Islamabad against becoming too committed to the project because of the expected sanctions' effects.*

*"If the U.S. imposes sanctions, they will have international implications and Pakistan as a member of the international community will follow them," he told reporters at a press conference in the southern Sindh province.*

The U.S. Congress is finalising legislation tightening sanctions on Iran over its nuclear programme, which Washington believes is being used to develop weapons. Tehran denies that.

Holbrooke urged Pakistan to wait and see the final legislation before moving ahead on the deal, signed in March.

Pakistan is desperate for new energy sources, saddled with expensive power generation and a daily shortage of as much as 5,000 megawatts. Frequent power outages hamper industry and have sparked street protests against President Asif Ali Zardari's government.

The U.N. Security Council imposed a fourth round of sanctions on Iran on June 9 over its nuclear programme, which Washington believes is being used to develop weapons. Iran denies trying to develop a nuclear arsenal.

The pipeline, expected to be completed by 2015, originally would have terminated in India. However, New Delhi has been reluctant to join given its long-running rivalry with Pakistan.

Pakistan says will abide by U.S. sanctions on Iran | Energy & Oil | Reuters


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## Nahraf

ice_man said:


> fine let's *DROP THE GAS PIPE LINE DEAL IF THE FOLLOWING DEMANDS ARE MEET:*
> 
> 1) USA GIVES US A NUCLEAR DEAL
> 
> 2) ALL US DEBT TO PAKISTAN IS WRITTEN OFF
> 
> 3) USA ALSO PROVIDES US MARKETS TO SELL OUR GOODS



The Nuclear deal and Free Trade Agreement with US are paramount for Pakistan. We have been asking them for last three years but they refuse to talk. The nuclear deal with China and gas pipeline with Iran will never be quid pro quo for any agreement with USA.


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## TaimiKhan

toxic_pus said:


> Pakistani nukes have our address written on them. That gives us the right to be judgmental.
> 
> Anyway, we never 'stole' any 'nuke material' from anyone. Educate yourself Mr Mod. Given that you had moderated on this thread, it is therefore a willful amnesia that you are indulging in.



Before uttering out your trash in complete state of amnesia Mr. Toxic, do read the below link and then try to Google few things on the net to learn about your Indian history of stealing nuke material from a reactor provided by the Canadian under the peaceful nuke cooperation and program thing. 

http://www.defence.pk/forums/strate...-ties-india-cautions-china-22.html#post945864

And next time don't upon it up, until and unless you know facts and history of your own country's stealing.

And our nukes having your address is correct, as you are our enemy, the day we get another enemy, we will change the add on some of them and notify you. For the time being Indian nukes have also Pakistani addresses on them, don't give the China BS, as for now there is no Indo-China nuclear tensions or rivalry, for now its Pak-Indo nuclear rivalry, and the Indian missiles which work reliably for now are stationed at our borders, not Chinese one. 

And next time before trolling and letting me know about history, come with your facts checked and learned.

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## Justin Joseph

TaimiKhan said:


> Who are you to judge us ???



a.) Neighbor
b.) Country suffering due to Pakistan
c.) Regional Power
d.) Responsible nuclear state



> Ever seen your own stealing nuke material record under the disguise of peaceful purposes, atleast we are not that much of hypocrites and liars who steal under the disguise of peaceful purposes. Our nuke material of whatever kind doesn't turns up on the streets and people getting dead or ill due to that. So check your own record and then lecture us.



That's a joke. Believe me i had a good laugh.




> It must be Indian old habit of using nuke material for military purposes under the disguise of peaceful means, our record in that matter is 100&#37; clear, we have been running 2 civilians nuclear plants under the IAEA monitoring and so far not a single report that we diverted thing to our military program from there, as we don't need to, we keep both things separate unlike others who steal and used the stolen material for military purposes.
> 
> Our military purpose plants are separate and we are building more of them, we don't act like others.



Really????

But the International community don't thinks so.




> And as for your last para, you seriously need to read history and learn about it, copy pasting articles and giving colors to it won't make you learn history, US has harmed us more compared to have helped us, you need to read your history and get your facts right.



Sir, I hold u in high esteem but ur ruing ur image. As a Mod its not good to personally attack a person as its against the rules.

As for history if there was no US help then there is no pakistan today.

China is just a new born in economical or military strength. Before that US of A was supporting, facilitating and funding pak with rock solid support. It is like being ungrateful.


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## TaimiKhan

Justin Joseph said:


> a.) Neighbor
> b.) Country suffering due to Pakistan
> c.) Regional Power
> d.) Responsible nuclear state



a.) Thanks, but we don't need neighbors like you, better to have no neighbor then to have India as one. 
b.) Yeah yeah you guys are the angels, no one else suffers due to you, East Pakistan 71, The Kashmiri people, LTTE and Sri Lankans suffering due to that, Indian involvement in Pakistan through Afghanistan, bombings in Pakistan in the 80s and 90s and even still. 
c.) Regional Power ?? Seriously disillusioned you guys are in thinking that, anyway can't stop it, keep on going. Regional power for Bhutan, Maldives, Sri Lanka may be, not for us. 
d.) Yeah we know how much responsible state you guys are, who stole nuclear material under disguise of peaceful nuke tech through nuke reactor provided for peaceful purposes & the radiated material popping up here and there killing people and making them ill. 



> That's a joke. Believe me i had a good laugh.



What else to be expected from immature person, this  

Go and read history. 




> Really????
> 
> But the International community don't thinks so.



Instead of posting this sarcastic BS, show your sources. And read the post again and what i wrote, if you come with some childish source or story which is not linked to what i said, you will be gone for good.



> Sir, I hold u in high esteem but ur ruing ur image. As a Mod its not good to personally attack a person as its against the rules.
> 
> As for history if there was no US help then there is no pakistan today.
> 
> China is just a new born in economical or military strength. Before that US of A was supporting, facilitating and funding pak with rock solid support. It is like being ungrateful.



Everything all right up there ??? Where is the personal attack thing ?? As said go and read history instead of copy pasting things and doing the bold and coloring part, these things don't tell you history. By the way this is not personal attack, this is an advice. Personal attack is something else. Understand the difference.

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## AgNoStiC MuSliM

*Can we stick with the IPP discussion please.

There are three threads on the Sion-Pak nuclear deal, dealing with Indian concerns, US opposition and a general discussion on the deal itself. Keep it there please.*


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## Justin Joseph

*
Pakistan may bow to US pressure over Iran pipeline*
 
Monday, 21 June 2010 16:45

*Pakistan may bow to US sanctions over Iran gas pipeline that the two countries last week formally signed an export deal which commits Iran to selling natural gas to its eastern neighbour from 2014.
*
Pakistan will abide by any U.S. sanctions on Iran, the prime minister said on Monday.

Prime Minister Yusuf Raza Gilani's remarks came the day after U.S. Special Envoy for Afghanistan and Pakistan Richard Holbrooke pressured Islamabad over the deal.

Pakistan is desperate for new energy sources, saddled with expensive power generation and a daily shortage of as much as 5,000 megawatts. Frequent power outages hamper industry and have sparked street protests against President Asif Ali Zardari's government.

*"If the U.S. imposes sanctions, they will have international implications and Pakistan as a member of the international community will follow them," he told reporters at a press conference in the southern Sindh province.*

The U.S. Congress is finalising legislation tightening sanctions on Iran over its nuclear programme.

Iran and Pakistan last week formally signed an export deal which commits Iran to selling natural gas to its eastern neighbour from 2014.

Iran has already constructed 907 kilometres of the pipeline between Asalooyeh, in southern Iran, and Iranshahr, which will carry natural gas from Iran's giant South Pars field.

The pipeline was originally planned to connect Iran, Pakistan and India, but the latter pulled out of the project last year.

Pakistan plans to use the gas purchased from Iran for its power sector.

*"We cautioned the Pakistanis not to over-commit themselves until we know the legislation," Richard Holbrooke, US President Barack Obama's special envoy to Afghanistan as well as Pakistan, told reporters.*

Turkey and Brazil voted against the resolution at the United Nations Security Council, the first time a sanctions vote on Iran has failed to pass unanimously.

Pakistan may bow to US pressure over Iran pipeline [ WORLD BULLETIN- TURKEY NEWS, WORLD NEWS ]


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## AgNoStiC MuSliM

^^^ I believe the PM was referring to the UN sanctions, not US sanctions, given the context from his other comments.

US sanctions could play a role in terms of deterring some specific kinds of investments by companies (US ones especially), but I would be surprised if they impact the actual sale of Iranian gas to Pakistan, given that Iran already exports significant amounts of oil and gas to other countries.


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## Iggy

Hey Taimi ...you shouldnt have deleted Toxic plus posts..he was refuting your arguments...apart from the last line i didnt see anything trolling in it..This is not fair ..if you think that was offtopic then why yours and Justins posts about nuclear issue are still here in this thread??


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## asq

Hay U Indians, since when U.S. gave you the right to speak on their behalf.

As per u, You are our neighbour, are u or are u trying to back stab.

Regardless of your strange acts of suporting anything and every thing against Pakistan, Pakistan will stand firm to protect its interests and its soveriegnty.

just for ur info Pakistan has handled all problems very bravely in a very posative manners and will continue to do so even when our adversaries misbehave and use every opertunity no matter how miniscual to undermine by blowing others horns.


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## Lankan Ranger

*Pak PM ignores US warning on Iran gas deal, to go ahead with gas import*

Defying a warning from Washington, Pakistan's prime minister promised Tuesday to go ahead with a plan to import natural gas from Iran even if the U.S. levies additional sanctions against the Mideast country. 

Prime Minister Yousuf Raza Gilani's comments came two days after the U.S. special envoy to Pakistan, Richard Holbrooke, cautioned Pakistan not to ``overcommit'' itself to the deal because it could run afoul of new sanctions against Iran being finalized by Congress. 

The deal has been a constant source of tension between the two countries, with Pakistan arguing that it is vital to its ability to cope with an energy crisis and the U.S. stressing that it would undercut international pressure on Iran over its nuclear program. 

Gilani said Pakistan would reconsider the deal if it violated U.N. sanctions, but the country was ``not bound to follow'' unilateral U.S. measures. He said media reports that quoted him as saying that Pakistan would heed Holbrooke's warning were incorrect. 

The U.N. has levied four sets of sanctions against Iran for failing to suspend uranium enrichment, a process that can produce fuel for a nuclear weapon. The latest set of U.N. sanctions was approved earlier this month. 

The U.S. has also applied a number of unilateral sanctions against Iran, and Congress is currently finalizing a new set largely aimed at the country's petroleum industry. Both houses have passed versions of the sanctions and are working to reconcile their differences. 

Pakistan and Iran finalized the gas deal earlier this month. Under the contract, Iran will export 760 million cubic feet (21.5 million cubic meters) of gas per day to Pakistan through a new pipeline beginning in 2014. The construction of the pipeline is estimated to cost some $7 billion. 

While U.S. officials have expressed opposition to the Pakistan-Iran gas pipeline deal, the issue is complicated by Washington's reliance on Pakistan's cooperation to fight al-Qaida and the Taliban. 

The U.S. also acknowledges that Pakistan faces a severe energy crisis and has made aid to the energy sector one of its top development priorities. Electricity shortages in Pakistan cause rolling blackouts that affect businesses and intensify suffering during the hot summer months. 

Pak PM ignores US warning on Iran gas deal, to go ahead with gas import - Pakistan - World - The Times of India


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## Hyde

* US sanctions on Iran not binding for Pakistan: Gilani*
Updated at: 1631 PST, Tuesday, June 22, 2010
US sanctions on Iran not binding for Pakistan: Gilani ISLAMABAD: Prime Minister Syed Yusuf Raza Gilani on Tuesday said *Pakistan was not bound to follow the US restrictions placed on Iran, but would consider implementing the UN sanctions under its international obligations.*

*&#8220;As far as the US is concerned, we are not bound to follow these [sanctions], but if these are put in place by the United Nations, we will consider these under the obligation of international laws,&#8221; Prime Minister Gilani said.
*
Addressing a luncheon in honour of parliamentarians the Prime Minister clarified his remarks made on Monday at Garhi Khuda Bux about the impact on the over US 7 billion dollars Iran-Pakistan gas pipe line project, if sanctions were imposed by the US or the UN on Iran.

Pakistan has recently inked the ambitious project with Iran, scheduled to get operational by 2014, and will provide fuel to its electricity generation plants to help meet the huge energy shortfall.

Source: US sanctions on Iran not binding for Pakistan: Gilani - GEO.tv


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## DESERT FIGHTER

hahahaha... lets see wat the new chamchas of uncle sam has to say about this deal now? the same guys who were doubting and 10000101&#37; surely saying the IPI pipeline deal between PAK-IRAN wont happen and we will abandon it on US pressure like indians did.


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## Creder

Pakistani PM ignores US warning on Iran gas deal

By SEBASTIAN ABBOT (AP)  3 hours ago

ISLAMABAD  Defying a warning from Washington, Pakistan's prime minister promised Tuesday to go ahead with a plan to import natural gas from Iran even if the U.S. levies additional sanctions against the Mideast country.

Prime Minister Yousuf Raza Gilani's comments came two days after the U.S. special envoy to Pakistan, Richard Holbrooke, cautioned Pakistan not to "overcommit" itself to the deal because it could run afoul of new sanctions against Iran being finalized by Congress.

The deal has been a constant source of tension between the two countries, with Pakistan arguing that it is vital to its ability to cope with an energy crisis and the U.S. stressing that it would undercut international pressure on Iran over its nuclear program.

Gilani said Pakistan would reconsider the deal if it violated U.N. sanctions, but the country was "not bound to follow" unilateral U.S. measures. He said media reports that quoted him as saying that Pakistan would heed Holbrooke's warning were incorrect.

The U.N. has levied four sets of sanctions against Iran for failing to suspend uranium enrichment, a process that can produce fuel for a nuclear weapon. The latest set of U.N. sanctions was approved earlier this month.

The U.S. has also applied a number of unilateral sanctions against Iran, and Congress is currently finalizing a new set largely aimed at the country's petroleum industry. Both houses have passed versions of the sanctions and are working to reconcile their differences.

Pakistan and Iran finalized the gas deal earlier this month. Under the contract, Iran will export 760 million cubic feet (21.5 million cubic meters) of gas per day to Pakistan through a new pipeline beginning in 2014. The construction of the pipeline is estimated to cost some $7 billion.

While U.S. officials have expressed opposition to the deal, Washington acknowledges that Pakistan faces a severe energy crisis and has made aid to the energy sector one if its top development priorities. Electricity shortages in Pakistan cause rolling blackouts that affect businesses and intensify suffering during the hot summer months.

U.S. opposition to the gas deal has also been tempered by Washington's reliance on Pakistani cooperation to fight al-Qaida and Taliban militants staging attacks against NATO troops in Afghanistan.

The Pakistani military is also engaged in fierce battles with Taliban fighters along the Afghan border who have declared war against the state.

Pakistani troops backed by fighter jets killed 43 militants and wounded two dozen others in the Orakzai tribal region Tuesday, said Jahanzeb Khan, the deputy political administrator in the area.

Four soldiers were killed in the fighting and 18 others were wounded, said Khan.

The military declared victory against the Taliban in Orakzai at the beginning of June, but regular clashes with the militants have continued.

Meanwhile, a purported Pakistani Taliban spokesman warned that the group would kill 35 Pakistani soldiers unless the government agreed to a demand to release captured militants. Security officials confirmed last week that nearly three dozen soldiers were missing, though they have not said if they were kidnapped.

"We have 35 Frontier Corps men in our custody and we will start killing them if our arrested fellows are not released soon," Ikramullah Mohmand told The Associated Press over the phone from undisclosed location.

Mohmand did not mention how many militants the group wanted freed and refused to give a deadline, but said "we will not wait for long."

He confirmed that the paramilitary soldiers were the same ones who went missing after a militant attack on a border checkpoint in Mohmand tribal region more then a week ago. Six Frontier Corps soldiers were killed in the attack.

Attempts to reach a spokesman for the military were not immediately successful.

---------- Post added at 10:52 PM ---------- Previous post was at 10:52 PM ----------

is ka sir ghoom gaya hai, kabhi kuch kehta hai kabhi kuch


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## ejaz007

*Pakistan not to follow US curbs on Iran: PM *
Wednesday, June 23, 2010
*Gilani backtracks, says only UN sanctions could affect Pak-Iran gas deal*
By Mariana Baabar & Asim Yasin

ISLAMABAD: Prime Minister Syed Yousuf Raza Gilani on Tuesday flip-flopped over his remarks regarding expected US sanctions on Iran that Pakistan would abide by the US sanctions on Iran that could affect the $7.5 billion Iran-Pakistan natural gas pipeline from going ahead. 

Prime Minister Gilani made it clear that Pakistan is not bound to follow the United States restrictions on the Pakistan-Iran gas project. But, if the United Nations imposed sanctions, then Pakistan will take decision keeping in view the international laws, he said while addressing a luncheon in honour of parliamentarians at a local hotel here on Tuesday.

Gilani had created a surprise on Monday, when without any thought of what he was saying, he told the media at Garhi Khuda Bux that, If the US imposes sanctions, they will have international implications and Pakistan, as a member of the international community, will follow them, Gilani had been quoted as saying on Monday.

He had said this in response to what US Special Representative for Afghanistan and Pakistan Richard Holbrooke had said on Sunday that he had warned Islamabad against signing a deal with Tehran on the gas pipeline as the US is preparing sanctions that could affect the project.

Holbrooke told reporters that Pakistan should not over-commit itself to the project till the comprehensive sanctions are finalized. The prime minister on Tuesdays luncheon reiterated the determination to resolve all political and economic issues by following the path of reconciliation. He said the government achieved tremendous success on various issues confronting the country following the vision of Shaheed Benazir Bhutto. 

He said the government after having in-depth consultation with the political forces asked the armed forces to launch a massive operation in Malakand and other areas to overcome the terrorists and now they are on the run.

The prime minister said it is obligation of the government to serve the masses and we will discharge our duty with full zeal during the next three years. He said the government is committed to provide relief to the common man and urged the political forces to join hands with the government to overcome the challenges of price hike, terrorism and unemployment. We believe in constructive politics and would welcome all political forces to join us in resolving national challenges, he added.

He said all the state organs should work in their constitutional ambit, but the parliament is a supreme body which has to overlook the performance of all state institutions. The judiciary is working freely, media is free and parliament is supreme, he said.

The prime minister said his government respected the judiciary and had a firm belief that the free and independent judiciary is must for providing justice to people. However, some elements are giving an impression that there is confrontation between the executive and judiciary but all this was wrong and did not have any reality, he said.

The prime minister said there was no confrontation between the government and judiciary as all such things existed only in the minds of some individuals. 

Our ministers were appearing before the courts and if needed we will continue to give due respect to the courts, he said and added that, we are not afraid of the courts because we have no skeletons in our cupboards. We always respect the law as we are not law breakers but legislators.

The prime minister reminded that Zulifikar Ali Bhutto appeared before the court though he did not have any confidence in it. Nusrat Bhutto and Benazir Bhutto faced the army courts while President Asif Ali Zardari and other leadership of the party appeared before the courts. I myself appeared before the courts but my first order after being elected as the prime minister was to release the judges from detention, he said.

The prime minister said the parliament is working smoothly and it has done a marvelous job by undoing unconstitutional steps of dictators and restoring the Constitution in its true spirit. The supremacy of the parliament is must for the democratic society and all the national as well as political issue should only be resolved in the parliament, he added.

He said the federal government has recently announced a federal budget and the provincial government had also announced their budgets. These budgets reflect the issue that the country was facing such as terrorism, price hike, unemployment and load shedding and the federal government was working hard to face these challenges, he said. He said the government has taken some unpopular decisions to put the economy on the right path.

Pakistan not to follow US curbs on Iran: PM


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## PakSher

Pakistan needs energy and this is in our national interest to pursue the gas pipeline. We may not agree with Iran on every foreign policy issue, but that should not impact the average Pakistani or our business relations with Iran. 

Good project for Pakistan's future.


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## fawwaxs




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## fawwaxs

*Pakistan not bound by US sanctions against Iran: Gilani *

ISLAMABAD: Pakistan will go ahead with a plan to import natural gas from Iran even if the US levies additional sanctions on the country, Prime Minister Yousuf Raza Gilani said.

Gilani's comments Tuesday come two days after the US special envoy to Pakistan, Richard Holbrooke, cautioned Pakistan not to ''over commit'' itself to the deal because it could run afoul of new sanctions against Iran.

The deal has been a constant source of tension between the two countries, with Pakistan arguing that it is vital to its ability to cope with an energy crisis and the US stressing that it would undercut international pressure on Iran over its nuclear program.

Gilani said Pakistan would reconsider the deal if it violated UN sanctions, but the country was ''not bound to follow'' unilateral US measures. He said media reports that quoted him as saying that Pakistan would heed Holbrooke's warning were incorrect.

The UN has levied four sets of sanctions against Iran for failing to suspend uranium enrichment, a process that can produce fuel for a nuclear weapon. The latest set of UN sanctions was approved earlier this month.

The US has also applied a number of unilateral sanctions against Iran, and Congress is currently finalising a new set largely aimed at the country's petroleum industry. Both houses have passed versions of the sanctions and are working to reconcile their differences.

Pakistan and Iran finalised the gas deal earlier this month. Under the contract, Iran will export 760 million cubic feet of gas per day to Pakistan through a new pipeline beginning in 2014. The construction of the pipeline is estimated to cost some $7 billion.

While US officials have expressed opposition to the Pakistan-Iran gas pipeline deal, the issue is complicated by Washington's reliance on Pakistan's cooperation to fight al-Qaeda and the Taliban.

The US also acknowledges that Pakistan faces a severe energy crisis and has made aid to the energy sector one of its top development priorities. Electricity shortages in Pakistan cause rolling blackouts that affect businesses and intensify suffering during the hot summer months.

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## ice_man

*UK says Pakistan sovereign to decide about IP gas pipeline*

Updated at: 1635 PST, Wednesday, June 23, 2010 

ISLAMABAD: The new British government on Wednesday said it would not interfere in any sovereign decision of Pakistan. He, however, said that his country supports the United Nations Security Council resolutions on Iran.

Regarding its relations with Pakistan British Foreign Secretary said that Pakistan is a long-term strategic partner and we desire "deeper" and "stronger" bilateral ties in all areas.

The British Foreign Secretary who is here on a three-day official visit also vowed to deepen the "strategic dialogue" with Pakistan, besides increasing its development assistance to 665 million pounds Sterling over a period of four years.

Foreign Minister Qureshi said the prime minister has explained his position, which clearly states that Pakistan was a responsible country and was aware of its international obligations.

He said Pakistan needed energy for power generation and was working on a multi pronged strategy to address the shortfall, with the assistance of Friends of Democratic Pakistan, the EU and China, and will take a decision keeping in view all these matters.

FM Qureshi and British Secretary of State for Foreign and Commonwealth Affairs William Hague at a joint press conference following their meeting said they reviewed bilateral relations and exchanged views on regional and international issues of mutual interest.

Qureshi described the talks as good and said both the sides decided to carry forward the process and expand the areas of cooperation.

The British foreign secretary said his new government was committed to "a long term productive friendship with Pakistan" and would put in a new momentum.

He also spoke high of the around one million Pakistani-born diaspora in the UK and said the two sides discussed the issue of visas and other matters.

He paid rich tributes to the "sacrifices" and the resilience shown by the Pakistani people in fighting extremism and terrorism.

"I salute the efforts of Pakistan in fighting extremism and terrorism."

He acknowledged the enormous sacrifices made by Pakistan and the thousands of casualties at the hands of extremists and violent incidents.

To a question Britain's ties with India and would they have any impact on its relations with Pakistan, William Hague said he was in Pakistan to emphasize that there was vast potential of improvement and broadening of bilateral relations between the two countries.

He said Britain has relations with many countries and these do not impact ties with others.

He however said that Britain would not like to lecture either India or Pakistan how to resolve the contentious issues like the water dispute, as he believed that both the countries have the ability to resolve it on their own.

FM Qureshi said he would take up the matter when he meets his Indian counterpart in Islamabad.

Qureshi when asked about the points raised by India regarding the Mumbai attacks said, Pakistan was studying these. 

UK says Pakistan sovereign to decide about IP gas pipeline

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## Hutchroy

DAWN.COM | Letters to the Editor | An excess of ceremonies: Iran gas

*An excess of ceremonies: Iran gas* 

Monday, 28 Jun, 2010

This is with reference to the news item concerning the Iranian gas pipeline to Pakistan. May I be permitted to succinctly comment as I was somewhat intimately involved with our petroleum industry while based in Islamabad for about seven years working for two multinational oil and gas companies and being on the task force, advising the Petroleum Ministry on reforming our obsolete petroleum laws and drafting the countrys new petroleum policy. 

*I think successive Pakistani governments have been trying to pull off this Iran-pipeline publicity scam. First of all there have been so many signing ceremonies that it gives one a sense of deja vu, having to witness the signing over and over again. The reason is obvious: both the countries want to exploit it to the max for political purposes.* 

The Iranian government wants to reassure its people that it is not isolated and is successfully marketing its petroleum resources. Pakistan is trying to show its people that it is working hard to overcome the energy shortages and is increasing ties with a rich and powerful Muslim country. 

In this connection, it is plain that our government continues to use various ploys and gimmicks to induce the people into believing that its policy of obtaining gas from Iran is an attractive proposition, one that would solve the nations energy problems for a long time. Notice that our government and our complicit media always use the word obtaining rather than importing gas from Iran. 

Importing is the correct word for buying the Iranian gas at an international rate and importing it by paying for it in foreign exchange. People should know that Iran is not, I repeat not, giving this gas gratuitously or freely to Pakistan. 

Geological data clearly shows that we have significant reserves of available natural gas in Balochistan (Kohlu, Zamardan, Bugti regions, etc). 

Instead of wisely investing in developing these national resources, which would improve local infrastructure, create jobs, develop expertise and give us control over the supply of gas, the government would rather foolishly spend billions of our precious foreign exchange openly in importing this gas at high international prices. 

Of course, exploitation and development of gas reserves in Balochistan would entail reaching a political accommodation with the people of the province. 

Why would our government choose to ignore negotiating and reaching a settlement with Balochistan and instead import gas at great cost defies logic. It flies in the face of Pakistans national and security interests to bypass our own national resources. 

*It is obvious that the government is trying to hide and downplay from the public the true, prohibitive cost of this Iran gas venture. Not only the construction cost of the pipeline that is tremendous (about 5-8 billion dollars), but also the annual, recurring cost of paying for this gas (about 2 to 4 billion dollars per year). 

Where is all this money going to come from? US/IMF and international banks are not going to finance it in view of the UN sanctions. 

Furthermore, even if this pipeline is built there will always be lurking the real and ever - present risk of it being sabotaged. If we are unable to protect the Sui Gas pipeline from being consistently blown up, how can we protect a longer, international pipeline?*

DR. TAUSIF KAMAL
US


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## Hyde

Hutchroy said:


> Where is all this money going to come from? US/IMF and international banks are not going to finance it in view of the UN sanctions.



the money will come from the public. Whoever will use this gas will have to pay the bills and the government will be able to pay back to Iran 

Secondly this gas will be cheaper than using imported oil any day. So if we are willing to buy oil..... we will use same money to buy this gas

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## Hutchroy

Zaki said:


> the money will come from the public. Whoever will use this gas will have to pay the bills and the government will be able to pay back to Iran
> 
> Secondly this gas will be cheaper than using imported oil any day. So if we are willing to buy oil..... we will use same money to buy this gas



You are being Selective.

Read the Post Again.

Pakistan will need US$ Five to Eight Billion for building the Pipeline - surely the consumers are not going to pay in advance to build the pipeline!

So no need to get Angry


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## Hyde

Hutchroy said:


> You are being Selective.
> 
> Read the Post Again.
> 
> Pakistan will need US$ Five to Eight Billion for building the Pipeline - surely the consumers are not going to pay in advance to build the pipeline!
> 
> So no need to get Angry


Iran already expressed her desire to fund this whole project herself and China too expressed her desire to invest 2 billion dollars in this project. I heard some russian companies too involved in this project and willing to invest it.

The investors are there Sir, the article is written by an idiot. He just wanted to criticize no matter how

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## Nahraf

Pakistan needs to invest from its resources to build the pipeline. I think we should build highway and railway along the pipeline. That will connect Bandar Abbas and Karachi. The Pakistan will have railway link to Europe via Iran and Turkey.


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## Hyde

Nahraf said:


> Pakistan needs to invest from its resources to build the pipeline. I think we should build highway and railway along the pipeline. That will connect Bandar Abbas and Karachi. The Pakistan will have railway link to Europe via Iran and Turkey.



We already have one railway track from Pakistan to Iran. Why we need a second track considering the poor economy of our country?

First thing we need to do is focus on existing railway track and promote trilateral trade between Pakistan, Iran and Turkey


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## Hutchroy

Zaki said:


> Iran already expressed her desire to fund this whole project herself and China too expressed her desire to invest 2 billion dollars in this project. I heard some russian companies too involved in this project and willing to invest it.
> 
> The investors are there Sir, the article is written by an idiot. He just wanted to criticize no matter how



Yes indeed, what does the rest of the World know!

So we will have to wait, won't we?

Meantime best of Luck to Pakistan in finding "Funds" as I believe the IMF is being "asked" for another US$ Five Billion for next year.


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## Nahraf

Zaki said:


> Iran already expressed her desire to fund this whole project herself and China too expressed her desire to invest 2 billion dollars in this project. I heard some russian companies too involved in this project and willing to invest it.



Exactly. We need to initiate this project immediately. It will be our stimulus cash to revive our economy.


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## Nahraf

Zaki said:


> We already have one railway track from Pakistan to Iran.



That link is a small gauge railway line from Quetta ending at Zahidan. You cannot run regular freight trains on that track. This new railway line should run along the coast from Bandar Abbas connecting all ports along Balochistan coast.


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## Hyde

Hutchroy said:


> Yes indeed, what does the rest of the World know!
> 
> So we will have to wait, won't we?
> 
> Meantime best of Luck to Pakistan in finding "Funds" as I believe the IMF is being "asked" for another US$ Five Billion for next year.



well yes they are,

but do not mix both projects together. If India is lending 9.3 billion dollars from World Bank year, is that mean their on-going projects will be effected? No!


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## AZADPAKISTAN2009

Well from what I know , The Ottomons were building a rail link in 1920 before the world war 1 broke out , as they wanted to build a rail road to far east , obviously these railways are I think still present connecting from turkey all the way to Iran / iran

Basically we need an extension of the railway from iran into Pakistan and to china

Railway links with adjacent countries
Armenia - closed (see Kars Gyumri Akhalkalaki railway line) [28] 
Bulgaria - open - 1,435 mm (4 ft 8+1&#8260;2 in) 
Greece - open - 1,435 mm (4 ft 8+1&#8260;2 in) 
Georgia - under reconstruction - break-of-gauge 1,435 mm (4 ft 8+1&#8260;2 in)/1,520 mm (4 ft 11+5&#8260;6 in). 
Iran - via Lake Van train ferry - same gauge 
Iraq - No direct link, traffic routed via Syria - same gauge 
Syria - open - 1,435 mm (4 ft 8+1&#8260;2 in)

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## Hutchroy

Zaki said:


> well yes they are,
> 
> but do not mix both projects together. If India is lending 9.3 billion dollars from World Bank year, is that mean their on-going projects will be effected? No!



India has also deposited possibly US$ 10 Billion in IMF. This is in addition to the US$ Six Billion that India invested in buying about 200 Tons of Gold from the IMF.

Finally : India's Foreign Exchange Reserves (about US$ 270 Billion) are more than India's Foreign Exchange Debt (about US$ 230 Billion).

Of the HUGE National Debt incurred by India 90&#37; is in Indian Hands!

All the same I wish Pakistan the Best of Luck in its getting Natural Gas via a Pipeline from Iran.


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## indian_warrior

Guyz, 

When was the first pakistan and iran signed gas pipeline agreement. 

- Warrior


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## proud007

fawwaxs said:


>



Hey! Hello man! How are you?? Not going to Israel Military forums???


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## fawwaxs

Foreign Minister Shah Mehmood Qureshi rejected US concerns over the Pakistan-Iran gas pipeline project, saying that UN sanctions on Tehran will not harm the deal and that it is much needed for Pakistan in the wake of the current energy crisis.

The foreign minister was speaking to the media at Multan airport on Sunday. Talking about the strategic dialogue between Pakistan and the US, he said that a future plan would be drafted after the strategic dialogue is completed in July after Hillary Clinton arrives.

Qureshi said that the sanctions imposed on Iran were imposed by the Security Council, and that Pakistan would respect the sanctions. He also mentioned that China-Pakistan nuclear cooperation was not discussed during the meeting with Richard Holbrooke, and that Pakistan was well aware of how to protect its interests.

The foreign ministers statement comes after Holbrooke hinted that Pakistan should be wary of the gas pipeline deal with Iran.

US special representative for Pakistan and Afghanistan Richard Holbrooke arrived in Islamabad on Saturday. Holbrooke&#8217;s visit aims at reviewing developments in strategic dialogue, and to finalise an agenda for US Secretary of State, Hillary Clinton&#8217;s visit.


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## sparklingway

*Pak portion of Iran gas pipeline to cost $1.2b*
By Ghazanfar Ali

July 08, 2010

KARACHI: The Pakistani segment of the gas pipeline from Iran will cost $1.2 billion and work will be completed in four years, an official said.

Managing Director Interstate Gas Systems, Naim Sharafat, said the project is planned to be funded through a debt-equity ratio of 70:30, requiring debt financing of $872 million and equity investment of $373 million. The Interstate Gas Systems is a joint venture of Sui Southern Gas Company and Sui Northern Gas Pipelines.

He was giving a presentation to the Senate standing committee for Petroleum and Natural Resources on the status of Iran-Pakistan gas pipeline project at the Sui Southern Gas Company (SSGC).

This was the first Senate committee meeting at the SSGC since Iran and Pakistan inked the historic agreement in Tehran in June for the supply of natural gas from 2015.

Chairman Standing Committee Sabir Ali Baloch chaired the meeting, which discussed salient features of the 1,150-kilometre pipeline that will connect Iran&#8217;s South Pars gas field with Balochistan and Sindh provinces.

*Sharafat said the project&#8217;s debt portion is expected to be secured from domestic and international financiers including Sindh and Balochistan governments, Sui Southern Gas Company, Sui Northern Gas Pipelines, Oil and Gas Development Company, Pak Petroleum, Pak-Arab Refinery Company and National Bank. The NBP will contribute $190 million or 51 per cent of equity structure.*

Besides, potential private investors include Petronas of Malaysia and Gazprom of Russia which will contribute $183 million or 49 per cent of the equity structure.

*Further elaborating, Sharafat said Pakistan will construct about a 780-kilometre 42-inch diameter pipeline from the border, traversing along the Makran Coastal Highway to connect with existing gas transmission network at Nawabshah. Almost 665 km of the pipeline will pass through Balochistan while about 115 km of the pipeline will be laid in Sindh.*

He said under the Gas Sale and Purchase Agreement (GSPA), Pakistan will import 750 million cubic feet per day (mmcfd) of gas with a provision to increase it to one billion cubic feet a day (bcfd).

*The senators suggested that the stakeholders in the pipeline routes must be taken into confidence, majority of which are remote and less-developed areas, with clear-cut assurances about providing new schools, hospitals and vocational training centres.*

In response to queries, the MD Interstate Gas Systems said being one of the largest infrastructure projects, the Iran-Pak pipeline will create new job opportunities in the provinces of Balochistan and Sindh, thus improving income level and standard of living of citizens.

Sharafat stated the Gas Sale and Purchase Agreement was broad enough to allow force majeure in the event the project is hampered due to United Nations sanctions on Iran. He said in case the project does not materialise, a liquefied natural gas terminal will be set up at Gwadar to allow re-gasified LNG to the system.

Giving the current status of the project, Sharafat said a detailed route survey was in progress to pave the way for engineering and design of pipeline facilities.

Later talking to media, the chairman Senate committee said it was important that the project start as soon as possible to bridge the rising natural gas demand-supply gap.

Published in The Express Tribune, July 8th, 2010.

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## AgNoStiC MuSliM

$1.2 billion eh ... that is a lot lower than I expected, and therefore very feasible as well.


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## sparklingway

AgNoStIc MuSliM said:


> $1.2 billion eh ... that is a lot lower than I expected, and therefore very feasible as well.



Did you read this :- DAWN.COM | Pakistan | An unfair deal

It's the only report in our media that at least seemed to question the economic benefits of the deal (leaving aside the geo-political gains). The geo-political clap trap and Iran's need to show it off as a sign of not being isolated in the world, heavy media focus only on the "friendship" and the monthly "agreement signings" resulted in hardly anybody focusing on the economic pay offs (or lack thereof) from the project.


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## AgNoStiC MuSliM

sparklingway said:


> Did you read this :- DAWN.COM | Pakistan | An unfair deal
> 
> It's the only report in our media that at least seemed to question the economic benefits of the deal (leaving aside the geo-political gains). The geo-political clap trap and Iran's need to show it off as a sign of not being isolated in the world, heavy media focus only on the "friendship" and the monthly "agreement signings" resulted in hardly anybody focusing on the economic pay offs (or lack thereof) from the project.



I had missed that.

I am not sure I agree with everything Sanaullah Baloch has to say (I have read previous articles by him), but he does make a good point here:

_Pakistan could also encourage electricity-generating units to be installed within Balochistan near the border towns and supply the produced electricity through the existing power transmission system to the rest of the country._

The question would then be about the cost of installing the necessary electricity-generating units, whether the transmission lines would need to be upgraded (cost for the up-gradation), and whether the GoP is planning on converting existing electricity-generating units to Natural Gas and therefore saving on the cost of constructing new ones.

I do think that there is a potentially significant pay-off from a geo-political standpoint with the IPP, since it just might realign us with our immediate region (ending our attachment to the Saudis) and gain Iran's cooperation in Afghanistan, provided we coordinate our 'reconciliation strategy' with them and address their concerns.

On a slightly different point:

_However, those 63 cents go straight to the kitty of the central government and Balochistan receives only 12.5 per cent royalty against the gas produced. The level of discrimination and exploitation of Baloch wealth can only be gauged by these figures &#8212; Balochistan produces $1.4bn worth of gas annually but receives only $116m in royalties._

This has been addressed in the new NFC award has it not, where revenues from exploitation of natural resources will be split 50-50 between the Center and Provinces?


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## sparklingway

AgNoStIc MuSliM said:


> _However, those 63 cents go straight to the kitty of the central government and Balochistan receives only 12.5 per cent royalty against the gas produced. The level of discrimination and exploitation of Baloch wealth can only be gauged by these figures  Balochistan produces $1.4bn worth of gas annually but receives only $116m in royalties._
> 
> This has been addressed in the new NFC award has it not, where revenues from exploitation of natural resources will be split 50-50 between the Center and Provinces?



I'll have to research this. Well let you know accordingly.


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## ejaz007

*Pakistan-Iran pipeline*

*Pakistan to construct 780-km, 42 inch diameter pipeline*

KARACHI: Pakistan will construct about 780-km, 42 diameter pipeline from the border, traversing along the Makran Coastal Highway to connect with its existing gas transmission network at Nawabshah, said Naim Sharafat, MD, Interstate Gas Systems (Pvt) Ltd (ISGS) here on Wednesday.

Briefing the Senate Standing Committee for Petroleum and Natural Resources about the status of the Iran-Pakistan Pipeline project, he said almost 665-km of the pipeline will pass through Balochistan while about 115-km of the pipeline will be laid in the Sindh province, he said. 

This was the first Senate Committee meeting held at SSGC since Iran and Pakistan inked the historic agreement in Tehran in June 2010 for the supply of natural gas to Pakistan from 2015.

The meeting was chaired by Sabir Ali Baloch, the Standing Committee Chairman. Naim Sharafat, MD, ISGS who was accompanied by his CFO Mobin Saulat dilated on the salient features of the 1,150 km pipeline, which will connect Irans South Pars gas field with Balochistan and Sindh provinces. 

The estimated cost of Pakistan segment is $1.2 billion to be incurred over a 4-year period, Mr. Sharafat added. 

He further explained the project is planned to be funded at a debt-equity ratio of 70:30 requiring an equity investment of $373 million and debt financing of $872 million. Mr Sharafat said the projects debt portion is expected to be secured from a combination of domestic and international financiers including Sindh and Balochistan governments, SSGC, SNGPL, OGDCL, PPL, PARCO and NBP (whose contribution will be $190 million or 51% of equity structure) as well as potential private investors including Petronas and Gazprom (whose contribution will be $183 million or 49% of the equity structure). MD, ISGS stated that under the Gas Sale and Purchase Agreement (GSPA), Pakistan will import 750 mmcfd gas with a provision to increase it to one billion cubic feet a day (bcfd). 

The senators suggested that the stakeholders in the routes traversing the pipeline must be taken into confidence, majority of which are remote and less developed areas, with clear-cut assurances for the provision of new schools, hospitals and vocational training centres. In response to the senators queries, MD, ISGS said that being one of the largest infrastructure projects the country has ever seen, the IP project will create new job opportunities in the provinces of Balochistan and Sindh, thus improving the income level and the standard of living of its citizens. 

In response to the senators apprehensions, Mr. Sharafat stated that Iran-Pakistan Projects GSPA was broad enough to allow force majeure relief in the event the project is hampered due to UN sanctions on Iran. MD, ISGS said that in case the project does not materialize, an LNG terminal will be set up in Gwadar to allow re-gasified LNG to the system. 

Explaining the current status of the project, MD, ISGS said that a detailed route survey was in progress to pave way for the engineering and design of the pipeline facilities. staff report

Daily Times - Leading News Resource of Pakistan


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## AgNoStiC MuSliM

sparklingway said:


> I'll have to research this. Well let you know accordingly.



I made an error there - a more equitable distribution of proceeds from the exploitation of natural resources was addressed in the constitutional reforms, not the NFC.



> ISLAMABAD: In a major breakthrough on Thursday, the parliamentary committee on constitutional reforms resolved the issue of controlling mineral and natural resources between the provinces and the federal government as* it recommended to have joint control of the Federation and the provinces on these resources with 50 per cent share in profit.*
> 
> The committee, which met here on Thursday at the Parliament House with Mian Raza Rabbani in the chair, resolved the issue regarding the control of mineral and natural resources between the federal government and provinces.
> Control over natural resources Provinces-Centre row settled


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## sparklingway

*Pakistan set to award $25m consultancy to German firm*
By Saad Hasan

KARACHI: Pakistan is set to appoint ILF Consulting Engineers as the consultant for the Iran gas pipeline within six days, making first step toward the much-delayed project to meet energy shortage, a senior petroleum ministry official said on Wednesday.

&#8220;The cost of the consultancy project will be $25 million and they will have to complete the technical feasibility within 12 months,&#8221; Secretary Petroleum, Ejaz Chaudhry, told The News. The Germany-based consultants would be working on the pipeline along with National Engineering Services Pakistan Ltd. (Nespak), he said.

According to the Iran&#8217;s state-run television, Tehran has already built most of the 1,000 km pipeline on its territory. However, the work on the remaining 900 kilometres at the Pakistani side has been pending for years.
Chaudhry said that the project was very much in hand and the ministry understood its importance in securing energy supplies for the country. &#8220;We have taken every scenario into consideration, including the sanctions against Iran.&#8221;

The petroleum ministry official said that despite threats of losing ties with US companies, investors from Dubai, China and Germany had shown interest in financing the deal, Chaudhry said. &#8220;We have targeted January 2012 to start construction of the pipeline and trust me, financiers are out there,&#8221; he added.
Iran and Pakistan signed the historic pipeline deal in March this year under which 750 million cubic feet of gas will be pumped daily by mid-2015. The 7.5-billion-dollar project, dubbed as &#8220;peace pipeline&#8221;, will snake out of Iran&#8217;s South Fars field into Balochistan and Sindh provinces.

Chaudhry said that there was a proposal to involve state-run companies in arranging funds for the project. &#8220;There is EOBI, OGDCL and State Life for making the initial investment.&#8221;

Pakistan has been looking at internal sources to fund the gas pipeline as financing from international lenders becomes shaky in the wake of UN sanctions on Iran.

According to the secretary, the Petroleum Ministry had sought legal opinion of international experts to &#8216;go around&#8217; the sanctions. &#8220;We are studying every option,&#8221; he added.

Under a force majeure clause of the gas sale purchase agreement, the project can be stopped if sanctions are imposed on Iran. According to a government official, the government would setup a Liquefied Natural Gas (LNG) terminal in Gwadar if the project failed to materialise.

Pakistan set to award $25m consultancy to German firm

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## Nothing

*Iran-Pak gas pipeline unlikely to take off: Wikileaks*

Despite Iran and Pakistan signing on an ambitious gas pipeline deal with its possible extension to India , the multi-billion project is unlikely to take off, according to the text of an American diplomatic cable released by WikiLeaks
A source, whose name has been removed, in the cable confided to the US diplomat in a private conversation on June 4, 2009 that he viewed* near-term implementation of the Iranian-Pakistani gas link project as "very unlikely",* the cable said.
"The downbeat comment by the was made despite the recent signing in Istanbul by President Ahmadinejad and President Zardari of an Iranian-Pakistani MoU committing to the gas project," it said.
"According to this source, indicated that he had several reasons for this opinion, but the only one he elaborated was that *"the Pakistanis don't have the money to pay for either the pipeline, or the gas," the cable said.*
During a panel discussion at the Baku Oil and Gas Show from June 2-5, 2009, on the future prospects of Caspian gas, several commentators noted th*e difficulty of doing business in "unpredictable, overly bureaucratic" Iran, and the alleged historical "unreliability" of Iranian gas supply contracts previously reached with Turkey and Turkmenistan.*
"For example, panelists recounted that, after long negotiations,* Iran has four times failed to sign separate Liquid national Gas contracts at the last minute.*
Two panelists claimed that Iran has repeatedly diverted gas supplies to meet domestic needs, thereby interrupting its contractual gas exports - and has not paid contractual penalties for these violations," it said.
"A source asserted bluntly that Iranian political leaders are totally focused on domestic needs and personal jockeying, and are simply not interested in hearing about the value of optimising foreign gas exports.
The only exception, he claimed, is their interest in the notional prospect of annually exporting ten billion cubic meters (bcms) of gas to Europe," the cable said.
"He attributed this interest to a conviction that such a deal will significantly increase Iran's political leverage in Europe and substantially insulate it from future European pressure - a perception he characterised as revealing, and "typically" unrealistic," it said.


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## Hyde

I know can safely say that the wikileaks is bullshit

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## PakSher

IP pipeline is the need of the hour and the project should go on at the earliest.


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## Nothing

Zaki said:


> I know can safely say that the wikileaks is bullshit



Zaki I always respect your views.. but here I need some serious inputs like how much worked finished on both the sides ...
How finance for pipeline is managed ...
and at what rate Iran is selling gas ....

Thanks in advance


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## Hyde

Nothing said:


> Zaki I always respect your views.. but here I need some serious inputs like how much worked finished on both the sides ...
> How finance for pipeline is managed ...
> and at what rate Iran is selling gas ....
> 
> Thanks in advance



Iran has already constructed her part of the pipeline
regarding Pakistan you can read the news in the same page (above posts)

It will be completed by late 2014 or early 2015

There is hardly any hurdle left in this project

regarding finance... we are going to use this gas for electricity purposes... so the users are going to pay for its consumption cost

regarding initial capital... then many countries has expressed desire to invest or build this pipeline including one Russian company and some chinese

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## ajtr

Excerpt dealing with the IPI pipeline from the cable released by Wikileaks:



> Friday, 12 June 2009, 12:11
> S E C R E T SECTION 01 OF 03 BAKU 000478 ...............................
> 
> Projected Problems in Iranian Gas Links
> ---------------------------------------
> 
> ¶9. (C) The annual Baku Oil and Gas Show, held June 2-5, brought a variety of energy company executives and pundits to Baku, though no senior officials from Iran. An American interlocutor told Baku Iran Watcher on the side of the show that a [Source removed] had confided to him in a private conversation on June 4 that he viewed near-term implementation of the Iranian-Pakistani gas link project as very unlikely. The downbeat comment by the [Source removed] was made despite the recent signing in Istanbul by President Ahmadinejad and President Zardari of an Iranian-Pakistani MOU committing to the gas project. According to this source, [Source removed] indicated that he had several reasons for this opinion, but the only one he elaborated was that the Pakistanis dont have the money to pay for either the pipeline, or the gas.
> 
> ¶10. (C) Meanwhile, during a panel discussion at the conference on the future prospects of Caspian gas, several commentators noted the difficulty of doing business in unpredictable, overly bureaucratic Iran, and the alleged historical unreliability of Iranian gas supply contracts previously reached with Turkey and Turkmenistan. For example, panelists recounted that, after long negotiations, Iran has four times failed to sign separate Liquid national Gas contracts at the last minute. Two panelists claimed that Iran has repeatedly diverted gas supplies to meet domestic needs, thereby interrupting its contractual gas exports - and has not paid contractual penalties for these violations.
> 
> ¶11. (C) A [Source removed] asserted bluntly that Iranian political leaders are totally focused on domestic needs and personal jockeying, and are simply not interested in hearing about the value of optimizing foreign gas exports. The only exception, he claimed, is their interest in the notional prospect of annually exporting ten billion cubic meters (bcms) of gas to Europe. He attributed this interest to a conviction that such a deal will significantly increase Irans political leverage in Europe and substantially insulate it from future European pressure - a perception he characterized as revealing, and typically unrealistic.
> DERSE
> 
> *Wikileaks*


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## Hutchroy

*A flow of troubles for Iran-Pakistan pipeline*

Syed Fazl-e-Haider

Pakistans south-western province of Balochistan, which shares long borders with Iran and Afghanistan, is the key area for strategic gas pipeline projects from energy-rich Iran, the Middle East or Central Asia to energy-hungry south and west Asia.

Conflict in Balochistan, which appears to be the result of Baloch insurgency against federal authorities in Islamabad, is not without its geopolitical implications. *Unrest in Balochistan and the anti-Iran activities of Jundallah, a militant group that is believed to be based in Balochistan, make the Iran-Pakistan gas pipeline project a risky venture.* Similarly, the proposed Turkmenistan-Afghanistan-Pakistan-India gas pipeline will have to pass through turbulent regions not only in Afghanistan but also in Balochistan.

Pakistan plans to construct about 780km of pipeline from its border with Iran, running along the Makran Coastal Highway to connect with its existing gas transmission network at Nawabshah in Sindh. Almost 665km of the pipeline will pass through Balochistan, while about 115km of it will be laid in the Sindh province. Washington has strongly opposed the Iran-Pakistan pipeline project, asking Islamabad to abandon the project. India walked out of the project in 2009 after the US offered co-operation in civil nuclear energy.

Defying the US pressure, Islamabad and Tehran signed a US$7.5 billion (Dh27.54bn) agreement in Tehran on May 23 2009, finalising the deal to transfer gas from Iran to Pakistan. Exactly one week later, Iran closed its border with Pakistan after a suicide bomb attack on a mosque in Zahidan that caused 20 deaths and many injuries. Jundallah claimed responsibility for the blast.

The diplomatic tension between the two countries mounted at a time when there was no outstanding issue impeding the gas pipeline project. Under the pipeline deal, the government of Pakistan would be responsible to protect the gas pipeline in its territory. *The restive Balochistan provides a haven on the frontier for Jundallah, which is fighting for the rights of the Sunni Baloch population of Sistan-Balochistan.*

Jundallah has been a source of worry for Tehran. Iran accuses the US of supporting Jundallah, which claimed responsibility for twin suicide attacks on a Shiite mosque on July 15 last year in Zahidan, the provincial capital of Sistan-Balochistan that borders Pakistani Balochistan. Twenty-seven people were killed in those explosions. The Iranian government is reportedly facing domestic political opposition over the pipeline deal, which critics believe is not financially and strategically viable. The Iranian oil ministry had reportedly informed its government of the Jundallah threat to the proposed gas pipeline, the greater part of which has to pass through Balochistan where Jundallah is reported to have roots.

India has been calling the proposed gas pipeline from Iran across Pakistan a risky venture that would be difficult to finance. It has been expressing its concern over security for the pipeline which has to run across volatile areas in which other pipelines have been attacked in the past.

India has long accused Pakistan of sponsoring cross-border terrorism into Kashmir, while Pakistan accuses India of fomenting insurgency in Balochistan from Afghanistan, where India has a large diplomatic presence. India has so far provided $1.2bn in aid to build economic and social opportunities in Afghanistan since a US-led campaign ousted the Taliban regime in 2001. Washington strongly supports Indias involvement in Afghanistan, while Pakistan is deeply suspicious of it. Islamabad claims that Baloch separatists are backed by India and that is fuelling unrest in Balochistan.

Before December 2005, when a military operation was undertaken by federal authorities in Islamabad for the fifth time to quell an insurgency in Balochistan, there were the provincial government, Baloch nationalist parties, tribal chiefs (Sardars) and the local population who were the major stakeholders in the provinces socio-political scenario. *The scenario has changed, as the province is facing an insurgency backed by the separatists, who have emerged as the major stakeholders.*

The worsening security situation in Afghanistan and Balochistan has so far been the major reason for delaying any project for importing gas reserves from central Asia to south Asia.

The players in the global energy game are trying to hold stakes in the strategically located Afghanistan and Balochistan, which are the key nodes in pipeline politics in the region.

If Indias interest in Afghanistan is guided by its aim of gaining influence in Balochistan, its support of Baloch separatists would make it a covert stakeholder in the ongoing conflict in Balochistan.

Balochistan can emerge as a key node to corner central Asias mineral wealth through trans-Afghan links to world markets. Its geo-strategic location makes it the most attractive for transit traffic to the landlocked Afghanistan and the central Asian republics (CARs).

The Turkmenistan-Afghanistan-Pakistan-India pipeline project is expected to open up central Asias vast natural gas reserves to the wider world for the first time. The objective of the project will be achieved if political stability returns to Afghanistan. Balochistan would emerge as the frontline province in transportation of Caspian mineral wealth to the wider world.

*Balochistan has suffered decades of neglect that intensified the feeling of alienation among local people.* Baloch nationalists are fighting for their political and economic rights as enshrined in the 1973 constitution of Pakistan. The separatists are struggling for independence of Balochistan, hence they are involved in attacking the security forces, public servants, public installations and innocent citizens.

A transnational gas pipeline could turn the province into an important energy conduit in the region. The authorities in Islamabad are making an effort to appease the Baloch insurgents through the announcement of financial packages, but this is one deal that might remain a pipe dream.


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## S.M.R

*Pakistan 'punished' in Pipelineistan *
By Pepe Escobar 

Before the end of 2011, Pakistan will start working on its stretch of the IP (Iran-Pakistan) gas pipeline - according to Asim Hussain, Pakistan's federal minister for petroleum and natural resources. The 1,092 kilometers of pipeline on the Iranian side are already in place. 

IP, also known as "the peace pipeline", was originally IPI (Iran-Pakistan-India). Although it badly needs gas for its economic expansion, faced with immense pressure by the George W Bush - and then Barack Obama - administrations, India still has not committed to the project, even after a nearly miraculous agreement for its construction was initialed in 2008. 

More than 740 million cubic feet of gas per year will start flowing to Pakistan from Iran's giant South Pars field in the Persian Gulf by 2014. This is an immense development in the Pipelineistan "wars" in Eurasia. IP is a major node in the much-vaunted Asian Energy Security Grid - the progressive energy integration of Southwest, South, Central and East Asia that is the ultimate mantra for Eurasian players as diverse as Iran, China, India and the Central Asian "stans". 

Pakistan is an energy-poor, desperate customer of the grid. Becoming an energy transit country is Pakistan's once-in-a-lifetime chance to transition from a near-failed state into an "energy corridor" to Asia and, why not, global markets. 

And as pipelines function as an umbilical cord, the heart of the matter is that IP, and maybe IPI in the future, will do more than any form of US "aid" (or outright interference) to stabilize the Pakistan half of Obama's AfPak theater of operations, and even possibly relieve it of its India obsession. 

Another 'axis of evil'? 
This Pipelineistan development may go a long way to explain why the White House announced this past Sunday it was postponing US$800 million in military aid to Islamabad - more than a third of the annual such largess Pakistan receives from the US. 

The burgeoning Pakistan-bashing industry in Washington may spin this as punishment related to the never-ending saga of Osama bin Laden being sheltered so close to Rawalpindi/Islamabad. But the measure may smack of desperation - and on top it do absolutely nothing to convince the Pakistani army to follow Washington's agenda uncritically. 

On Monday, the US State Department stressed once again that Washington expected Islamabad to do more in counter-terrorism and counter-insurgency - otherwise it would not get its "aid" back. The usual diplomatic doublespeak of "constructive, collaborative, mutually beneficial relationship" remains on show - but that cannot mask the growing mistrust on both sides. The Pakistani military confirmed on the record it had not been warned of the "suspension". 

No less than $300 million of this blocked $800 million is for "American trainers" - that is, the Pentagon's counter-insurgency brigade. Moreover, Islamabad had already asked Washington not to send these people anymore; the fact is their methods are useless to fight the Pakistani Taliban and al-Qaeda-linked jihadis based in the tribal areas. Not to mention the preferred US method is the killer drone anyway. 

The wall of mistrust is bound to reach Himalaya/Karakoram/Pamir proportions. Washington only sees Pakistan in "war on terror", counter-terrorism terms. Since the coupling of the AfPak combo by the Obama administration, clearly Washington's top war is in Pakistan - not in Afghanistan, which harbors just a handful of al-Qaeda jihadis. 

Most "high-value al-Qaeda targets" are in the tribal areas in Pakistan - and they are, in a curious parallel to the Americans, essentially trainers. As for Afghanistan, it is most of all a neo-colonial North Atlantic Treaty Organization (NATO) war against a Pashtun-majority "national liberation" movement - as Taliban leader Mullah Omar himself defined it. 

Asia Times Online's Saleem Shahzad - murdered in May - argued in his book Inside al-Qaeda and the Taliban (full review coming later this week) that al-Qaeda's master coup over the past few years was to fully relocate to the tribal areas, strengthen the Tehrik-e-Taliban Pakistan (Pakistani Taliban), and in a nutshell coordinate a massive Pashtun guerrilla war against the Pakistani army and the Americans - as a diversionist tactic. Al-Qaeda's agenda - to export its caliphate-bound ideology to other parts of South and Central Asia - has nothing to do with the Mullah Omar-led Afghan Taliban, who fight to go back to power in Afghanistan. 

Washington for its part wants a "stable" Afghanistan led by a convenient puppet, Hamid Karzai-style - so the holy grail (since the mid-1990s) can be achieved; the construction of IP's rival, the TAPI (Turkmenistan-Afghanistan-Pakistan-India) gas pipeline, bypassing "evil" Iran. 

And as far as Pakistan is concerned, Washington wants it to smash the Pashtun guerrillas inside their territory; otherwise the tribal areas will keep being droned to death - literally, with no regard whatsoever to territorial integrity. 

No wonder the wall of mistrust will keep rising, because Islamabad's agenda is not bound to change anytime soon. Pakistan's Afghan policy implies Afghanistan as a vassal state - with a very weak military (what the US calls the Afghan National Force) and especially always unstable, and thus incapable of attacking the real heart of the matter: the Pashtunistan issue. 

For Islamabad, Pashtun nationalism is an existential threat. So the Pakistani army may fight the Tehrik-e-Taliban-style Pashtun guerrillas, but with extreme care; otherwise Pashtuns on both side of the border may unite en masse and make a push to destabilize Islamabad for good. 

On the other had, what Islamabad wants for Afghanistan is the Taliban back in power - just like the good old days of 1996-2001. That's the opposite of what Washington wants; a long-range occupation, preferably via NATO, so the alliance may protect the TAPI pipeline, if it ever gets built. Moreover, for Washington "losing" Afghanistan and its key network of military bases so close to both China and Russia is simply unthinkable - according to the Pentagon's full-spectrum dominance doctrine. 

What's going on at the moment is a complex war of positioning. Pakistan's Afghan policy - which also implies containing Indian influence in Afghanistan - won't change. The Afghan Taliban will keep being encouraged as potential long-term allies - in the name of the unalterable "strategic depth" doctrine - and India will keep being regarded as the top strategic priority. 

What IP will do is to embolden Islamabad even more - with Pakistan finally becoming a key transit corridor for Iranian gas, apart from using gas for its own needs. If India finally decides against IPI, China is ready to step on board - and build an extension from IP, parallel to the Karakoram highway, towards Xinjiang. 

Either way, Pakistan wins - especially with increasing Chinese investment. Or with further Chinese military "aid". That's why the Pakistani army's "suspension" by Washington is not bound to rattle too many nerves in Islamabad.

Asia Times Online :: THE ROVING EYE : Pakistan 'punished' in Pipelineistan


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## S.M.R

*Iran to Start Pumping Gas to Pakistan Next Year *

* TEHRAN (FNA)- Tehran's Envoy to Islamabad Mashallah Shakeri announced that Iran would start pumping gas to Pakistan as early as next year.*

"If desired, Pakistan can connect with the pipeline next year," the ambassador added. 

He said the Iranian government has constructed the pipeline on war footing just to facilitate Pakistan. 

Shakeri, who is in his fifth year as Tehran's envoy to Islamabad, said that his country is earnestly and sincerely desirous of providing gas to Pakistan. 

Islamabad has also announced earlier this year that it has intensified work on the multi-billion-dollar pipeline project which is due to bring Iran's gas to Pakistan, Pakistani media reports said on Sunday. 

Work on Iran-Pak Gas Pipeline is quickly progressing and the National Engineering Services Pakistan (Nespak) signed an agreement with a German Company to place the pipeline, the reports said in April. 

Speaking at a conference on "Challenges Faced by Industries in the country: Remedies and Future Prospects for Industrialization", Sui Southern Gas Company (SSGC) Managing Director Dr Faizullah Abbasi stated in April that approximately 1750mn cubic feet (mcf) of gas will be brought through this pipeline. 

In a major breakthrough on March 20, 2009, the Pakistani government approved Iran's proposed pricing formula for gas supplies to the South Asian nation. 

Subsequently, Tehran and Islamabad signed a final agreement to launch implementation of the project. 

Tehran and Islamabad also sealed a final contract for the start of Iran's gas exports to Pakistan through the multi-billion-dollar pipeline in spring 2014. 

The last annex of the agreement for export of Iran's gas to Pakistan was signed on June 13 by Iranian Oil Minister Massoud Mir-Kazzemi and Managing Director of Pakistan's Inter-State Gas Company Naeem Sharafat in a meeting also attended by the Iranian oil ministry's representative in gas talks with Pakistan Seyed Reza Kassayeezadeh. 

The 2700-kilometer long pipeline was to supply gas for Pakistan and India which are suffering a lack of energy sources, but India has evaded talks. Last year Iran and Pakistan declared they would finalize the agreement bilaterally if India continued to be absent in the meetings. 

According to the project proposal, the pipeline will begin from Iran's Assalouyeh Energy Zone in the south and stretch over 1,100 km through Iran. In Pakistan, it will pass through Baluchistan and Sindh but officials now say the route may be changed if China agrees to the project. 

The gas will be supplied from the South Pars field. The initial capacity of the pipeline will be 22 billion cubic meters of natural gas per annum, which is expected to be later raised to 55 billion cubic meters. It is expected to cost $7.4 billion.

Fars News Agency :: Iran to Start Pumping Gas to Pakistan Next Year

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## AZADPAKISTAN2009

CIA is funding insurgency in Baluchistan , later it will use as weapon to pressurize Pakistan , just like how Sudan/ Libya had been split up if I was Pakistan Army I would destroy any insurgency to core in Baluchistan and apply drones to protect gas lines


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## H2O3C4Nitrogen

*Iran-Pakistan gas pipeline: China likely to be awarded construction contract
*






_*SSGC and SNGPL are also lobbying to grab the engineering, procurement and construction contract for the pipeline. PHOTO: FILE
ISLAMABAD: *_


As Russia and China vie with each other to win the construction contract for the Iran-Pakistan gas pipeline project, Pakistan is expected to finalise an engineering and procurement deal with Beijing, which may also provide financing in line with the growing energy cooperation between the two sides.
Domestic gas utilities &#8211; Sui Southern Gas Company (SSGC) and Sui Northern Gas Pipelines Limited (SNGPL) &#8211; are also lobbying to grab the engineering, procurement and construction contract for the pipeline, which will bring in much-needed gas from Iran&#8217;s South Pars gas field.
Germany-based consultancy firm ILF is conducting a route survey for the $1.25 billion Pakistani portion of the pipeline and will soon be completing its work, after which the engineering contract will be awarded. SSGC and SNGPL had also wanted a share in the consultancy contract with ILF, which resulted in a delay in completing the survey, sources said.
ILF, which got the contract for $55 million, is working in collaboration with National Engineering Services of Pakistan (Nespak).
&#8220;A major part of the survey for laying the pipeline from Iranian border to Nawabshah has been completed and the remaining part will be finished by August 2,&#8221; an official said.
During Musharraf&#8217;s rule, the government had floated a proposal, asking China to import Indian share of the gas pipeline after Delhi pulled out of the project. However, the proposal did not go through.
Sources told The Express Tribune that a Pakistani delegation, led by Federal Water and Power Minister Naveed Qamar, would seek investment and offer the engineering and equipment procurement contract for the gas pipeline to China. The delegation will raise the issue in a meeting of the Pak-China joint energy working group scheduled to be held on August 1-2 in Beijing.
Sources said security agencies had given clearance to the route of the pipeline. &#8220;The Bugti area is a sensitive location for oil and gas exploration activities, but other areas are safe for the transport of Iranian gas through the pipeline,&#8221; a source said.
Earlier, Pakistan had also made a formal offer to Russian energy giant Gazprom, the largest extractor of natural gas in the world, to participate in the Iran-Pakistan pipeline project in a meeting of the Pak-Russia Inter-governmental Commission held on September 22, 2010 in Russia.
Pakistan and Iran have already signed an agreement on sovereign guarantee for the project. They have also inked a gas sale and purchase agreement for import of 750 million cubic feet per day (mmcfd) of natural gas with a provision to increase the volume to one billion cubic feet per day.
The project will be funded through public-private partnership, which will cost Pakistan an estimated $1.25 billion for its side of the pipeline.
Under the agreement, gas supply will start in 2014 and Pakistan will have to pay a penalty equal to the cost of 750 mmcfd if it fails to receive gas by the stipulated time.
Published in The Express Tribune, July 31st, 2011.


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## H2O3C4Nitrogen

In every country where west is demonized the Chinese are getting a free Ride, Least to mention the Chinese don't intend to bomb innocent Pakistanis with helfire missiles , but the gradual economic takeover could backfire one day . . . .


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## A.Rafay

*ISLAMABAD - President Asif Ali Zardari is scheduled to visit Iran in the near future to sign a contract on Tehran's investment in a pipeline project which is due to take Iran's rich gas reserves to energy-hungry Pakistan, Iranian media reported Saturday.*
Earlier on Thursday, Foreign Minister Hina Rabbani Khar reiterated her country's determination to push ahead with the building of the gas pipeline, adding that Zardari is scheduled to travel to Tehran in near future to discuss the finalization of the project.
Underscoring Pakistan's daily-growing demand for Iran's gas, she said the project would be pursued under any condition.
The agreement was to be inked between Tehran and Islamabad during the November visit to Pakistan by President Mahmoud Ahmadinejad, but the text of the contract was not ready and the endorsement ceremony was postponed, FARS news agency reported.
Pakistani Petroleum and Natural Resources Minister Asim Hussain visited Tehran earlier this month to prepare the grounds for compiling the text of the contract and held meetings with several Iranian officials, including President Mahmoud Ahmadinejad.
The Pakistani government has on many occasions reiterated its resolve to push ahead with the $1.5 billion Iran-Pakistan (IP) gas pipeline project.
According to the project proposal, the pipeline will begin from Iran's Assalouyeh Energy Zone in the south and stretch over 1,100 km through Iran. In Pakistan, it will pass through Baluchistan and Sindh but officials now say the route may be changed if China agrees to the project.

Zardari due in Tehran in near future to sign pipeline deal | Pakistan Today | Latest news | Breaking news | Pakistan News | World news | Business | Sport and Multimedia

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## BATMAN

There we go... once again.... from scratch!


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## xyxmt

This is sickening, how many times I heard Pipeline deal is signed
our dumbass journalists should confirm every mega claim by our deceiving and corrupt govt before putting it in the news, they must confirm it with other party. these mofos go there to beg for money and then make false claims this visit is no different

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## AZADPAKISTAN2009

This Zardari rascal*** is delaying the sigining can't wait for 2013 elections to throw this idiot out of Pakistan altogether

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## BATMAN

Is it second pipe line.. which he's going to sign?

How will he go to Tehran? via Dubai! or Dehli?


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## Secur

As far as I understand it , the agreement is for the Iranian finance of the Pakistani side of IP pipeline since essentially everybody else has backed out of it ...


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## A.Rafay

*ISLAMABAD: 
The National Bank of Pakistan (NBP) said on Tuesday that it is ready to finance the Iran-Pakistan (IP) gas pipeline project if the State Bank of Pakistan (SBP) directs it to do so.*
The IP [gas pipeline] is a big project: a consortium of banks can finance it, and we can become a part of such a consortium if the SBP directs us, NBP Senior Vice President and Divisional Head of Consumer and Retail Banking Adnan Adil Hussain said while addressing a press conference here. He said the NBP had also been financing other energy-related projects like the Neelum Jhelum hydropower project.
Shedding light on other aspects of NBPs business, he informed the gathering that the bank had been providing free of cost services to pensioners. The NBP has disbursed more than Rs210 billion, while more than 1.6 million government employees have benefited from the advance salary personal loan facility launched in 2003, he said. He added that the bank was enhancing the loan facility of the advance salary service to a maximum of one million rupees to the income bracket that can afford it.




He also said that the bank was handling salaries and government businesses along with pensions and personal loans, and that no other bank could rival the NBP in doing so. Yet, the NBP is competing other commercial banks in their domain as well, Adnan added.
He said that agriculture was another area where the NBP demonstrated its commitment and resolve to national interests. The NBP leads its counterparts by a huge margin, and reaches out to more than 250,000 farmers in every nook and corner of the country, he said; adding that the bank stands only second in the provision of agricultural credit needs after the Zarai Taraqiati Bank. Out of the agricultural sectors financing needs of Rs750 billion, NBP is catering to around 19%.
He added that the NBP was equally active in catering to the housing finance sector through its Saibaan product. However, in 2008-09, against the global backdrop of betting on subprime mortgages, the economic recession, interest rate hikes and the emergence of loan defaults, the bank was prompted to adopt a cautious policy and lend selectively. This policy remained in force till 2010.
The NBP remains an active player in commercial and small and medium enterprise (SME) lending. In the domestic SME sector, its financing share is around 10%.
Yet, NBP is also the largest bank handling the pledge of stocks in seasonal finance; catering to needs of cotton, rice and wheat traders and millers, which requires less collaterals and more stocks for the industry to grow [sic], he added.

NBP says ready to finance IP gas pipeline project &#8211; The Express Tribune


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## Fracker

what happen to 22 millin dollar given by Iran?

Kindly finish it soon as possible, so Pakistan can start other Gas Pipeline project from Turkmenistan-Afghanistan-Pakistan... Pakistan really need to finish these geo-strategical project ASAP... Including Gawadar port Motorway Connectivity...


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## acid rain

India Vs Pakistan - Protecting Their National Interest - YouTube


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## BATMAN

^^ Can you post any link.. where it says Zardari received $22 million from Iran?


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## UmarJustice

*Iran pitches extending pipeline to India via Pakistan*

NEW DELHI: Iran made a pitch on Friday for the extension of gas pipeline with Pakistan to India with its visiting chief of Supreme National Security Council, Saeed Jalili, saying that Tehran had the "best capacity" to provide security for the pipeline. Iran's chief nuclear negotiator, Jalili was on a three -day visit to India during which he met his counterpart NSA Shivshankar Menon.

Apart from Iran's nuclear power programme, the two sides also discussed regional issues like terrorism and the situation in Afghanistan as Kabul pushes for its controversial Peace Process Roadmap with the Taliban.

India has repeatedly cited security as one of the concerns for not joining the pipeline known earlier as IPI (Iran-Pakistan-India) pipeline. Tehran has left open the option of India joining later. "Iran has the second largest gas reserves in the world and we will welcome any step which can be used for the benefit of people," said Jalili. He was replying to a query about whether Tehran was still trying to convince India to allow the pipeline to be extended from Pakistan to India. "Just like the way it has handled piracy in the Persian Gulf, Iran has the best capacity to provide security also," he added when asked about the pipeline.

With the talks in Chantilly near Paris between the Taliban and Kabul administration suggesting that the Taliban may play a role in Afghanistan's administration, a worried Indian side also discussed what is already being described as the blurring of "red lines". India is hoping to forge a partnership with Iran which will allow it to deal with any such eventuality. The Indian government believes that the Chantilly talks were a "tentative exercise" and not truly representative of either the government or Taliban.

Jalili chose not to comment directly though on whether Iran approved of the Chantilly talks. "On the issue of Afghanistan we should give responsibility to the Afghan people. Whatever they decide should be respected," he said, adding that Iran wants immediate withdrawal of US-led forces in Afghanistan.

Both Iran and India believe that it may be a little premature to come to any judgment now. The Indian government believes that Afghanistan's Majlis has already sought an explanation from its foreign minister about how these talks were allowed to happen.

Jalili said Iran was looking to strengthen security ties with India. He said that countries like India and Pakistan should evolve a joint strategy for Afghanistan's stability.

Iran pitches extending pipeline to India via Pakistan - The Times of India


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## SHAMK9

The National Iranian Gas Company has announced it will begin construction of the Iran-Pakistan (IP) pipeline within 30 days. Construction will start on the Pakistani side with the first 700 kilometers that will run to the Iranian border. Iran will then build 300 kilometers of the IP pipeline on its territory, to connect up with the Pakistani border. Starting in 2014, the pipeline will transport 2.15 million cubic meters of gas per day to Pakistan. Iranian banks are assisting Pakistan with its portion of the pipeline financing with some $750 million in loans and equipment.

Bottom Line: Pakistan needs this pipeline desperately, and Iran is intent on seeing it go throughto the extent of ensuring the financing of the bulk of the project. The West is equally determined to sabotage it. The fact that the pipeline runs through some extremely insecure territory in Balochistan will make its success questionable and this is likely to become the new frontline in the pipeline wars for 2013.
Iran-Pakistan: Western Pipeline Nightmare

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## darkinsky

this is a good news, may solve our gas problems

but, i have high reservations about the economic plans of this project

the economists can tell better if its economically viable

we have several energy crisis at hand, electricity is among them, so will we also import electricity, we need to start all these prejects in our hame, not buy expensive things from abroad

india doesnt has natural gas reseres even then its not importing gas from iran, where as we having balochistan which is filled with gas reserves but we are importing


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## Yogi

darkinsky said:


> this is a good news, may solve our gas problems
> 
> but, i have high reservations about the economic plans of this project
> 
> the economists can tell better if its economically viable
> 
> we have several energy crisis at hand, electricity is among them, so will we also import electricity, we need to start all these prejects in our hame, not buy expensive things from abroad
> 
> india doesnt has natural gas reseres even then its not importing gas from iran, where as we having balochistan which is filled with gas reserves but we are importing



R u kidding me bro, India has significantly more reserves than Pak, every heard of KG basin it alone holds more than 64 trillion cubic feet of Gas...

The main problem with Pak is that u have made dependent ur entire industry on gas that why u guys r suffering so much on gas crisis whereas we mainly use it for some powerplants n domestic use...

Krishna Godavari Basin - Wikipedia, the free encyclopedia


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## darkinsky

Yogi said:


> R u kidding me bro, India has significantly more reserves than Pak, every heard of KG basin it alone holds more than 64 trillion cubic feet of Gas...
> 
> The main problem with Pak is that u have made dependent ur entire industry on gas that why u guys r suffering so much on gas crisis whereas we mainly use it for some powerplants n domestic use...
> 
> Krishna Godavari Basin - Wikipedia, the free encyclopedia



well balochistan and sindh has loads and loads of untapped and undiscovered gas fields

also india's population is 8 times the pak population, so my post was actually related to the ratio, for per person in pakistan it has significantly large gas reserves than india


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## Yogi

darkinsky said:


> well balochistan and sindh has loads and loads of untapped and undiscovered gas fields
> 
> also india's population is 8 times the pak population, so my post was actually related to the ratio, for per person in pakistan it has significantly large gas reserves than india



ok i got ur point, but the problem with Pak is that its not even efficient in utilizing its already discovered resources n ur talking about untapped n yet to be discovered resources...

look at Thar coal project, look at the struck hydro electricity projects or ur civil nuclear program...

besides the main issue with Gas shortage in Pak is that Musharraf shifted the entire economy to Gas from Oil thats why u see that the petrol prices in Pak r half of that in India but Gas prices r double of that in India...

too much dependence on any one thing is always dangerous coupled with a corrupt govt.(same story in entire South Asia) n ur doomed...


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## darkinsky

Yogi said:


> ok i got ur point, but the problem with Pak is that its not even efficient in utilizing its already discovered resources n ur talking about untapped n yet to be discovered resources...
> 
> look at Thar coal project, look at the struck hydro electricity projects or ur civil nuclear program...
> 
> besides the main issue with Gas shortage in Pak is that Musharraf shifted the entire economy to Gas from Oil thats why u see that the petrol prices in Pak r half of that in India but Gas prices r double of that in India...
> 
> too much dependence on any one thing is always dangerous coupled with a corrupt govt.(same story in entire South Asia) n ur doomed...



and still gas is cheaper than oil in pakistan

well we have vast reserves of gas so its likely if we shift our dwindling economy to a cheaper resource, it will support our economy

obviously the expensive fuel will result in electricity being expensive and all resource being expensive, now we arnt supporting our dwindling economy are we

we can afford to use gas as our primary fuel but we cant afford bad planning, planning..

there are gas reserves already found, but the plants are not there to extract the gas and make it for public usage, the omney is being spend where it shouldnt and severe lack utilising the funds in the most important area and wastage of money

international economy is influened by oil prices, as oil prices go high every oil dependent economy suffers, if we are not depending on oil too much we are actually saving ourselves from the global economic catastrophy

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## Yogi

darkinsky said:


> and still gas is cheaper than oil in pakistan
> 
> well we have vast reserves of gas so its likely if we shift our dwindling economy to a cheaper resource, it will support our economy
> 
> obviously the expensive fuel will result in electricity being expensive and all resource being expensive, now we arnt supporting our dwindling economy are we
> 
> we can afford to use gas as our primary fuel but we cant afford bad planning, planning..
> 
> there are gas reserves already found, but the plants are not there to extract the gas and make it for public usage, the omney is being spend where it shouldnt and severe lack utilising the funds in the most important area and wastage of money
> 
> international economy is influened by oil prices, as oil prices go high every oil dependent economy suffers, if we are not depending on oil too much we are actually saving ourselves from the global economic catastrophy



i m not against ur dependence on Gas but my point was that Pak has made its entire economy too much dependent on Gas, which is not correct one should always try to mitigate the risk of too much dependence on any one product thats all...


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## farhan_9909

@Yogi

List of countries by natural gas proven reserves - Wikipedia, the free encyclopedia

not much of difference despite the fact that india is larger than pakistan


It also doenst include the recent discoveries including the latest in zin block(earlier one) with 22 tcf or twice the size of sui.

it also does't include the 3.7tcf discovered in karal,1.09tcf recent discovery in another block of zin and many more in 2012

ENI the italian firm has already said that total reserves in zin block are much more than the discovered(22tcf+1.09tcf already discovered)

So yes it is true When we talk of natural resources pakistan is rich in natural resources than india


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## Star Wars

US will do its best to ruin this (i hope not)

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## Yogi

farhan_9909 said:


> @Yogi
> 
> List of countries by natural gas proven reserves - Wikipedia, the free encyclopedia
> 
> not much of difference despite the fact that india is larger than pakistan
> 
> 
> It also doenst include the recent discoveries including the latest in zin block(earlier one) with 22 tcf or twice the size of sui.
> 
> it also does't include the 3.7tcf discovered in karal,1.09tcf recent discovery in another block of zin and many more in 2012
> 
> ENI the italian firm has already said that total reserves in zin block are much more than the discovered(22tcf+1.09tcf already discovered)
> *
> So yes it is true When we talk of natural resources pakistan is rich in natural resources than india*



I don't wanna engage in any d!ck measuring competition but just for the record some recent discoveries -

'India holds 527 tcf of shale gas reserves' - Money - DNA

India maps huge gas reserves around Andaman Islands

Krishna Godavari Basin - Wikipedia, the free encyclopedia

Cairn India's Rajasthan block has record 7.3 billion-barrel oil reserve - Economic Times

*besides Oil n Gas r not the only mineral reserves in the world -

we r the 4th largest producer of Iron Ore where as Pak is not even among the top 20, we r have the 4th largest reserve of Coal in the world, 4th largest reserve of Bauxite n many others as well as we have one of the largest reserves of Thorium in the world as well as significant reserves of Uranium as well...
*
Largest uranium reserves found in India - Telegraph

The Hindu : News / National : Major uranium deposit found in Rajasthan


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## A.Rafay

@nuclearpak need some cleaning in this thread Alot of irrelevant posts need to be deleted!


*Iran, Pakistan make progress on IP gas project: Rabbani Khar*

*Pakistani Foreign Minister Hina Rabbani Khar says Iran and Pakistan have made progress in building a multi-billion-dollar gas pipeline, despite illegal US-engineered sanctions.*


Addressing a National Assembly session on Monday, the Pakistani minister added that Islamabad faced a &#8220;huge challenge&#8221; to fund the Iran-Pakistan (IP) gas pipeline. 

She emphasized that Pakistan required USD1.5 billion to build the 781-kilometer pipeline needed for the implementation of the project on its soil. 

The foreign minister stated that her country is holding talks with Tehran to find ways to &#8220;solve the financial constraints.&#8221;

The pipeline, projected to cost about USD 1.2-1.5 billion, would enable the export of 21.5 million cubic meters of Iran&#8217;s natural gas to Pakistan on a daily basis. 

Iran has already built more than 900 kilometers of the pipeline on its soil. 

The Express Tribune reported on January 10 that Iran and Pakistan have devised a plan to finance the gas pipeline on Pakistan&#8217;s side without the need for Islamabad to transfer funds to Tehran. 

The report came a day after the board of directors of the Pakistani Inter State Gas Systems (ISGS) announced that Tehran will grant a USD500-million loan to Tehran-based Tadbir Energy Development Group. 

In the first phase, Iran will lend USD250 million and extend the assistance later to USD500 million. 

The proposal will be submitted to the Economic Coordination Committee of Pakistan&#8217;s Cabinet for approval. 

PressTV - Iran, Pakistan make progress on IP gas project: Rabbani Khar

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## UmarJustice

*Cabinet gives final approval to Pak-Iran Gas Pipeline Project: Kaira*


Information Minister Qamar Zaman Kaira has said that the federal cabinet has given final approval to Iran-Pakistan Gas Pipeline Project.

Briefing media after cabinet meeting here on Wednesday&#8218; the Information Minister said the cabinet&#8218; which held its meeting with Prime Minister Raja Pervez Ashraf in the chair&#8218; also set up a four-member committee under Finance Minister to monitor work on the Iran-Pakistan Gas Pipeline project.

The minister said that work on the construction of the Pakistani side of the pipeline will be undertaken soon at a cost of one point five billion dollars. He said that work is continuing on the proposed Turkmenistan-Afghanistan-Pakistan-India gas pipeline project.

Qamar Zaman Kaira said that the cabinet also gave approval to Strategic Trade Policy whose details will be announced tomorrow (Thursday).

He said that the cabinet was informed that during July-December 2012&#8218; inflation remained seven point nine&#8218; which is the lowest in recent history of the country.

Information Minister said that the cabinet decided to empower the office of Ombudsman to institutionalize the process of accountability and provide speedy justice to the people. He said that the cabinet decided to give administrative and financial autonomy to the office of Ombudsman.

He said that previously eleven different departments were carrying out accountability while now all these departments have been streamlined under the office of the Ombudsman. He said that departments will be bound to provide relevant information to the office of the Ombudsman within fifteen days failing which disciplinary action will be taken against them.

The Minister said that the office of the Ombudsman will decide appeals within forty-five days and it will also be authorized to review its decisions. He said that appeal against the Ombudsman's decisions can only be made to the President within one hundred and twenty days.

Qamar Zaman Kaira said that the tenure of the office of the ombudsman will be four years and the method for his removal will be the same as that of the judges of senior judiciary.

The Minister said that the cabinet decided to award the contract of operationalizing Gwadar Deep Sea Port to China Overseas Port Holding Limited. He said that previously the contract had been awarded to Singapore Port Authority but there were proposals to change the company.

He said that now the Singaporean company will share the task of operationalizing the port with China Overseas Port Holding Limited and transfer the responsibility to it.

Qamar Zaman Kaira said that Prime Minister Raja Pervez Ashraf appreciated performance of the present assemblies and said that there is no precedence of what these assemblies have done.

He said that the assemblies have provided a basis for handling any threat to the system.

Cabinet gives final approval to Pak-Iran Gas Pipeline Project: Kaira | The Nation


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## A.Rafay

*President for speedy work on Pak-Iran projects*

*ISLAMABAD &#8211; President Asif Ali Zardari on Wednesday called for early finalization and implementation of Pak-Iran projects especially in the energy sector, transportation & connectivity and trade and commercial activities in order to promote greater bilateral cooperation on one hand and to bolster trade and economic ties at regional as well as bilateral level.*He said this during his meeting with Iranian delegation headed by Ali Akbar Velayati, Senior Adviser to the Supreme Leader of Iran on International Affairs here at Aiwan-e-Sadr on Wednesday.The delegation included Alireza Haghighian, Iranian Ambassador to Pakistan, Mahdi Ahari Mostafavi, Deputy of International Affairs Department of Supreme Leader office, Seyyed Abbas Araghchi, Deputy of Minister of Foreign Affairs in Asia and Oceania Affairs, Dr. Ali Askari, Deputy of International Affairs, Cultural and Islamic Communications Organization and others.Foreign Minister Hina Rabbani Khar, Finance Minister Dr. Abdul Hafeez Shaikh, Interior Minister Senator A. Rehman Malik, Minister for Water &Power Chaudhry Ahmed Mukhtar, Secretary General to the President M. Salman Faruqui, Advisor to PM on Petroleum and Natural Resources Dr. Asim Hussain and Jalil Abbas Jilani, Foreign Secretary and other senior officials were present from the Pakistan side.Briefing about the meeting, Spokesperson to the President Senator Farhatullah Babar said that that the Pak-Iran bilateral relations with special reference to various economic projects such as Pak-Iran Gas pipeline, rail and roads connectivity, electricity import and wheat export were discussed besides regional situation and other matters of mutual concern.The spokesperson said that the President extended felicitation to the Iranian leadership on their forthcoming national day that falls on February 11. The President said that the people of Pakistan have special attachment with their Iranian brethren and highly value their fraternal ties with them.The President said that it was encouraging to see that the bilateral equation between the two countries was following an upward trajectory. However, he stressed, the two countries must gear up efforts for early finalization and implementation of various economic projects that would not only further strengthen the bilateral relations but would help in meeting the mutual requirements of one another.The President said that taking advantage of our historical, cultural and religious commonalities, concerted efforts should be made to increase trade and economic interaction among the people of the two countries. The President said that there was an urgent need to address the issue of tariff and non-tariff barriers so as to promote mutual trade and to increase trade volume between the two countries. Suggesting encouragement of trade in local currencies, the President said that the two countries should seriously consider preferential tariff and free trade arrangements.He said that better and greater connectivity was also critical for bolstering economic interactions at bilateral as well as regional level. He said that ECO Container Train would revolutionize cargo and transit facilities between the two countries.The President also urged for the need to further facilitate visa procedures and opening new border posts for greater connectivity and interactions.Discussing the bilateral mega projects, the President reiterated Pakistan&#8217;s commitment for expeditious implementation of all mega projects including Pak-Iran Gas pipeline, the 1000 MW Taftan-Quetta transmission line, 400 MW Gwader Power supply project, construction of Noshki-Dalbandin sector of Quetta-Taftan Highway, the up-gradation of Quetta-Taftan track and others.Underpinning the importance of these projects, the President observed that the two sides should devise mechanisms for financing of these critical projects for soci0-economic development of the two countries and for the region.Discussing regional situation and shared challenges, the President emphasized upon the need for joining hands against the shared threat of militancy and extremism. He said that poverty, deprivation and less economic opportunities fuel extremism. For defeating this militant mindset, the President continued, there was a need to follow an integrated approach that included greater cooperation in the area of border security, curbing narco-trade and drug-trafficking, creating greater economic opportunities for the people especially those who were worst affected by the scourge of militancy. Deterrence, development and dialogue were the most effective weapon against militancy, the President reiterated.Discussing situation in Afghanistan, the President stressed for the need to have greater coordination for promotion of peace and stability in the neighbouring country.On the situation in Middle East, the President reiterated Pakistan&#8217;s principled stance for respecting the sovereignty and territorial integrity of the countries and said that Pakistan desire peace and stability in the Middle East and would continue to support every effort in this regard.The spokesperson said that the President also asked Ali Akbar Velayati to convey his regards to the Supreme leader and to his counterpart Dr. Mahmoud Ahmadinejad.

President for speedy work on Pak-Iran projects | The Nation


----------



## A.Rafay

*IP project may be inked next week*

*
ISLAMABAD - Pakistan and Iran, while setting aside persistent US pressure, are expected to finally ink an agreement during next week for the award of contract to an Iranian company, which will lay Pakistan&#8217;s portion of IP gas pipeline.*
Reliable sources in Petroleum Ministry informed TheNation that an agreement between Pakistani public sector firm Inter State Gas Company (ISGC) and Iranian firm Tadbir Energy would sign during next week for the construction of Pakistan&#8217;s portion of 781 km long Iran-Pakistan (IP) gas pipeline. Officials of Iranian firm would reach in Islamabad on February 11. Under the agreement, Iranian firm for the construction of said pipeline would be bound to initiate engineering, procurement and commissioning (EPC). Tadbir Energy faces no sanctions from any foreign government. It is controlled by the Imam Khomeini Foundation, one of Iran&#8217;s largest charitable groups. They said both brotherly countries Iran and Pakistan would initially provide $250 million while in second phase they would again provide same amount. Tehran is extending a $500 million loan because both countries have already signed an inter-governmental cooperation agreement.
Since the federal cabinet, in a meeting on January 30, has given go ahead to the construction of Iran-Pakistan (IP) gas pipeline project and gave a waiver from the Public Procurement Regulatory Authority (PPRA) rules in order to award the contract directly to a private Iranian firm. The agreement will be signed in Islamabad during next week.
Sources further told that Iranian Tadbir will also undertake the second segment of the project, and will increase the financing facility by allocating up to $250 million to the project, subject to discussions regarding its involvement in the distribution of gas in Pakistan later on. It has also agreed to provide and assist in arranging $250 million as supplier credit and any additional financing for the second segment. The Iranian firm will act as the lead contractor along with the nominated local subcontractor(s).
Initially the IP gas pipeline project was proposed in 1955 but series of meeting between both neighbouring countries halted in 1993 due to undue US pressures now coupled with US sanctions on Iran. As US sanctions have put problematic hurdles in the way of making payments to Iranian firms, the two sides have drawn up a plan to finance gas pipeline on Pakistan&#8217;s side without Islamabad transferring funds to Tehran.
The project envisages gas inflows of 750 million cubic feet per day by the end of December 2014, which will be consumed by power plants to generate around 4,000 megawatts of electricity.
The IP pipeline engineering and project management consultant, who was appointed in April 2011, has completed work on a bankable feasibility study, interim front-end engineering design and a route reconnaissance survey.
Sources further said that the total cost of the project is expected to come to around $1.5 billion and Iran will provide $500 million, while the remaining amount was supposed to be generated through the Gas Infrastructure Development Cess (GIDC).
However, the Islamabad High Court recently declared the levy of this cess illegal, and directed the government to reimburse amounts collected to gas consumers. Therefore, the government might meet with problems in generating the remaining funds. However, Pakistan will not pay any money to the company; instead, the Iranian government will pay $500 million directly to the firm for the construction of the pipeline, sources added.

IP project may be inked next week | The Nation


----------



## UmarJustice

*Pakistan, Iran work out financing*

Pakistan and Iran have reached an understanding to pay Iranian dues of $500 million through the cost of gas after the commissioning of Iran-Pakistan Gas Pipeline Project.

Reliable sources in the highest corridors of the Petroleum Ministry confided to The Nation that the two sides discussed in detail the finances involved in the mega $1.5 billion Iran-Pakistan Gas Pipeline Project, mode of payment, terms and conditions of the loan, interest rate, cost of laying one kilometre pipeline that includes bridges, compressor stations etc and the mode under which Pakistan would pay to Iran that has offered $500 million to help complete the project.

The project to be completed by December 2014 will first bring 750 million cubic feet gas per day through 781-kilometre-long pipeline with a diameter of 42 inches. Later, the gas flow will increase to one billion cubic feet per day.

The deputy chief of Tadbir Company headed the Iranian delegation and the Ministry of Petroleum and Natural Resources secretary led Pakistan side which also included managing director of the Inter-States Gas Systems (ISGS) and senior officials of the finance and law ministries.

It merits mentioning here that cost of laying the pipeline in Pakistan&#8217;s territory stands at $1.5 billion of which $500 million will be provided by Iran and the remaining amount will be arranged by Pakistan itself.

Pakistan, Iran work out financing | The Nation


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## Son of Mountains

tie up with Iran, get rid of *US*


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## BATMAN

UmarJustice said:


> *Pakistan, Iran work out financing*
> 
> Pakistan and Iran have reached an understanding to pay Iranian dues of $500 million through the cost of gas after the commissioning of Iran-Pakistan Gas Pipeline Project.
> 
> Reliable sources in the highest corridors of the Petroleum Ministry confided to The Nation that the two sides discussed in detail the finances involved in the mega $1.5 billion Iran-Pakistan Gas Pipeline Project, mode of payment, terms and conditions of the loan, interest rate, cost of laying one kilometre pipeline that includes bridges, compressor stations etc and the mode under which Pakistan would pay to Iran that has offered $500 million to help complete the project.
> 
> The project to be completed by December 2014 will first bring 750 million cubic feet gas per day through 781-kilometre-long pipeline with a diameter of 42 inches. Later, the gas flow will increase to one billion cubic feet per day.
> 
> The deputy chief of Tadbir Company headed the Iranian delegation and the Ministry of Petroleum and Natural Resources secretary led Pakistan side which also included managing director of the Inter-States Gas Systems (ISGS) and senior officials of the finance and law ministries.
> 
> It merits mentioning here that cost of laying the pipeline in Pakistan&#8217;s territory stands at $1.5 billion of which $500 million will be provided by Iran and the remaining amount will be arranged by Pakistan itself.
> 
> Pakistan, Iran work out financing | The Nation



1.5 BILLION!!!!! HOLY MOLLY

Is it Iranian company or some European company going to weld the pipes?

Who is going to supply the compressor stations? I'm just curious of contract details which are held under wraps.


----------



## Gentelman

Yogi said:


> I don't wanna engage in any d!ck measuring competition but just for the record some recent discoveries -
> 
> 'India holds 527 tcf of shale gas reserves' - Money - DNA
> 
> India maps huge gas reserves around Andaman Islands
> 
> Krishna Godavari Basin - Wikipedia, the free encyclopedia
> 
> Cairn India's Rajasthan block has record 7.3 billion-barrel oil reserve - Economic Times
> 
> *besides Oil n Gas r not the only mineral reserves in the world -
> 
> we r the 4th largest producer of Iron Ore where as Pak is not even among the top 20, we r have the 4th largest reserve of Coal in the world, 4th largest reserve of Bauxite n many others as well as we have one of the largest reserves of Thorium in the world as well as significant reserves of Uranium as well...
> *
> Largest uranium reserves found in India - Telegraph
> 
> The Hindu : News / National : Major uranium deposit found in Rajasthan



it's policy not to reply trolls....
well Pakistan is 5th largest cotton producer...
Limestone producer...
salt is in vast quantity here...
same for uranium..
5th largest copper mine..
6th largest gold mine...
4th biggest reservoirs of coal in Sindh..
well overall comparing india with size and population ratio and keeping the stupid gov of Pakistan and negligance of GOP in mining field and undiscovered and unmentioned itmen still Pakistan has the edge.....



Son of Mountains said:


> tie up with Iran, get rid of *US*



what abou aid??


----------



## Yogi

Gentelman said:


> it's policy not to reply trolls....
> well Pakistan is 5th largest cotton producer...
> Limestone producer...
> salt is in vast quantity here...
> *same for uranium..*
> 5th largest copper mine..
> 6th largest gold mine...
> 4th biggest reservoirs of coal in Sindh..
> well overall comparing india with size and population ratio and keeping the stupid gov of Pakistan and negligance of GOP in mining field and undiscovered and unmentioned itmen still Pakistan has the edge.....



Do u have any source to support ur claim?

N by source i mean any reliable source n not some random news articles even any govt report *qauntifying the Uranium reserves* would do...

Bcoz AFAIK Pakistan don't even stand anywhere near the top 10 Uranium producers...


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## Gentelman

Yogi said:


> Do u have any source to support ur claim?
> 
> N by source i mean any reliable source n not some random news articles even any govt report *qauntifying the Uranium reserves* would do...
> 
> Bcoz AFAIK Pakistan don't even stand anywhere near the top 10 Uranium producers...



where i said pakistan is in Top 10 or even 20 in production of Uranium???
well here we are running many powerplants and can run more i suppose you know it's meaning...
well here mining is not fast thats why we are not big producer....
we just mine urinium to full fil our needs...
chk out List of Urinium projects.....
and other reserves are also explored in Arugzai agency....
I know why are you jumping like this..(Andhra Perdesh)

Pakistan produced about 45
tonnes of Uranium in
2006. 

http://www.world-
nuclear.org/info
inf23.html
it was 2006 soo u can guess how it would be in 2013..
well here i was a little bitter Em soory for that...
well it was 45 tonnes in 2011 and u had been producing 400 tonnes....
bt here we are not mining many reservoirs as i said...
we in past exported Uranium bt now Pakistan don't export...
we exported a little amount to west.


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## darkinsky

what the hell??


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## Yogi

Gentelman said:


> where i said pakistan is in Top 10 or even 20 in production of Uranium???
> *well here we are running many powerplants* and can run more i suppose you know it's meaning...
> well here mining is not fast thats why we are not big producer....
> we just mine urinium to full fil our needs...
> chk out List of Urinium projects.....
> and other reserves are also explored in Arugzai agency....
> I know why are you jumping like this..(Andhra Perdesh)
> 
> Pakistan produced about 45
> tonnes of Uranium in
> 2006.
> 
> http://www.world-
> nuclear.org/info
> inf23.html
> it was 2006 soo u can guess how it would be in 2013..
> well here i was a little bitter Em soory for that...
> well it was 45 tonnes in 2011 and u had been producing 400 tonnes....
> bt here we are not mining many reservoirs as i said...
> we in past exported Uranium bt now Pakistan don't export...
> we exported a little amount to west.



U still didn't answer my question about quantifying the reserve size...

No u aren't running many nuke power plant. Pakistan currently has only three nuclear power plants  an one aging 137MW plant in Karachi, which is operating at half capacity as it has completed its natural life, and two China- supplied 325MW plants in Chashma, dubbed as Chashma-1 (CHASNUPP-I) and Chashma-2
(CHASNUPP-II).

All of them producing hardly 700 MW.


----------



## Surenas

darkinsky said:


> what the hell??



What has this to do with Iran? Seems like a Iraqi mullah. And besides that; you are the most pathetic member on this site.


----------



## Gentelman

Yogi said:


> U still didn't answer my question about quantifying the reserve size...
> 
> No u aren't running many nuke power plant. Pakistan currently has only three nuclear power plants &#8211; an one aging 137MW plant in Karachi, which is operating at half capacity as it has completed its natural life, and two China- supplied 325MW plants in Chashma, dubbed as Chashma-1 (CHASNUPP-I) and Chashma-2
> (CHASNUPP-II).
> 
> All of them producing hardly 700 MW.



well how can i answer the question which i don't even know myself??
overall i should tell you reality not self made things....
well in quantity as far as i know Pakistan is not in top 20.....



Surenas said:


> What has this to do with Iran? Seems like a Iraqi mullah. And besides that; you are the most pathetic member on this site. You little Wahabi.



shouldnot u called him with any furqa or group..
he is Muslim and that's it...


----------



## saiyan0321

Well I am for this pipeline but seeing how we have soo much international pressure i dont think our politicians will go for it...


----------



## FaujHistorian

saiyan0321 said:


> Well I am for this pipeline but seeing how we have soo much international pressure i dont think our politicians will go for it...




Pakistani people want the Iranian Ayatullah lollypop, so our politicians keep on giving the lollypop. 

Why?

Pakistani educated elite totally refuse to accept that Iran is under sanctions of the type that makes it impossible to do any kind of large scale trade or projects considering the dire finanancial situation of Pakistan. 

If Pakistan had $50 billion cash laying around we perhaps could finance the project and pay cash to iran for any imports we needed. 

But under current circumstances, we borrow from American institutions to import even tea.

How on earth we could use that money to pay for something that is fing banned by the same American institutions?

HoW?

that means we cannot buy gas from them.

If Pakistani politicians had used brains instead of their phat @rses, they would have figured it out long time ago, and as a result told us long time ago that bacha log, we will not sign any treaty with Iran until the fing country is under sanctions. 

So bacha log let Pakistan look for alternatives.


but no, such orgasms about pipes and lines keep on coming, while totally ignoring the reality. 

But perhaps if someone is having virtual orgasms, why do they care about reality anyways. 


peace


p.s. I am not against pipeline project. I am just saying it is not feasible until Iranians seriously try to get out of sanctions.

Reactions: Like Like:
2


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## saiyan0321

> p.s. I am not against pipeline project. I am just saying it is not feasible until Iranians seriously try to get out of sanctions.



I got from your post that you werent against the pipeline , just pointing out one of the many troubles of this project. Yes the fact is we are under america whether we like it or not and as much loan as we have taken we cant just tell them to "go to hell" .. i think rather then Iran coming out of sanctions we have to get out of american loans but to do it we need a stable economy with a loyal govt.


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## FaujHistorian

saiyan0321 said:


> I got from your post that you werent against the pipeline , just pointing out one of the many troubles of this project. Yes the fact is we are under america whether we like it or not and as much loan as we have taken we cant just tell them to "go to hell" .. i think rather then Iran coming out of sanctions we have to get out of american loans but to do it we need a stable economy with a loyal govt.




I hear you. my bro I hear you. 


What you say perhaps is the way. 


But 

let me ask you a simple question. 

-- Will it take less time for Iran to come out of sanctions

-- Or will it take shorter time for Pakistan to pay back all the loans and build up substantial reserves. 


Let's say by 2030 which one of these is more likely to happen?


----------



## Argus Panoptes

Pakistan desperately needs energy, specially gas. The Iran pipeline project is important in this regard, as long as the prices of the supplied gas are affordable for the poor consumers in Pakistan.


----------



## muse

Pakistan have chosen to shoot themselves rather than defy the US and their Gulf Arab allies - After having squeezed every possible concession from the Iranians, with the Agreement to be signed on the 18th, the Pakistanis now want to renegotiate the price - Iranians should not step back but say to the Pakistanis that should the Pakistanis want the deal, Iran will be prepared to go ahead with it. 

Pakistan seeks to renegotiate Iran gas price | Pakistan | DAWN.COM


----------



## Argus Panoptes

muse said:


> Pakistan have chosen to shoot themselves rather than defy the US and their Gulf Arab allies - After having squeezed every possible concession from the Iranians, with the Agreement to be signed on the 18th, the Pakistanis now want to renegotiate the price - Iranians should not step back but say to the Pakistanis that should the Pakistanis want the deal, Iran will be prepared to go ahead with it.
> 
> Pakistan seeks to renegotiate Iran gas price | Pakistan | DAWN.COM



But what good is the pipeline if the price of the gas Iran supplies through it is so expensive that Pakistan cannot afford it?

This will be just like the rental power projects disaster where the installed capacity is there but Pakistan cannot afford to pay the price for the electricity that is generated.


----------



## fatman17

*Iran-Pakistan Pipeline Moves Forward Despite U.S. Opposition*



By Reza Jan, Will Fulton

February 5, 2013


Iranian Foreign Minister Ali Akbar Salehi shakes hands with Pakistan's Finance Minister Abdul Hafeez Shaikh after signing paperwork in Islamabad September 8, 2011.


Iran on Saturday pledged to forge ahead on a new gas pipeline project with Pakistan despite U.S. urgings to Pakistan to quash the deal. The U.S. has strongly opposed the pipeline out of fears that it would provide fresh infusions of foreign exchange into Iran&#8217;s economy at a time when the U.S. and western allies have imposed a strict sanctions regime on Tehran as part of efforts to prevent it from obtaining a nuclear weapon. The deal is noteworthy because it involves an Iranian company closely linked to Iran&#8217;s Supreme Leader and could potentially put Pakistan on the wrong side of the sanctions regime against Iran.

On January 30, Pakistan&#8217;s cabinet ratified a $1.5 billion agreement with Iran for the laying of nearly 500 miles of pipeline in Pakistan that would connect the country&#8217;s gas infrastructure to Iran&#8217;s massive South Pars natural gas fields. The pipeline would potentially add over 750 million cubic feet of gas per day to Pakistan&#8217;s grid at a time when the country faces crippling energy shortages with some cities suffering frequent protests against 20 hour-long power outages.

Iran offered cash-strapped Pakistan over $500 million in financing to lay the Pakistani section of the pipeline after several private and sovereign foreign entities backed out of the plan over fears of incurring U.S. ire for participating in the project (and when Pakistan refused to award contracts to some without bidding). The Iranians have offered even more funding if the Pakistanis demonstrate seriousness in going ahead with and completing the project. Pakistan, in return, has offered the contract for the construction of the Pakistani segment of the pipeline to an Iranian company called Tadbir Energy (Iran has already largely completed its section).

Tadbir Energy is an Iranian firm that &#8220;isn&#8217;t sanctioned by any foreign government,&#8221; and in July 2012, it made a bid to take over the failing Petit-Couronne refinery in France. The Iranian firm, however, is a subsidiary of the Headquarters for Implementing the Imam&#8217;s Directive (HIID), also known as the Imam Khomeini Foundation, an investment firm linked to Iran&#8217;s Office of the Supreme Leader. The European Union sanctioned the president of HIID, Mohammad Mokhber, in 2010 for his involvement in Iranian &#8220;nuclear or ballistic missiles activities.&#8221; Mokhber is also a member of the Sina Bank board of directors, sanctioned by the European Union for its close ties to the Office of the Supreme Leader.

It will be important to watch whether the conclusion of the pipeline agreement leads to further cracks in the U.S.-Pakistan relationship, especially at a time when the U.S. appears to be looking to Pakistan to help facilitate reconciliation in Afghanistan as the U.S. continues to draw down troops from the country. Former Secretary of State Hillary Clinton warned in March 2012 that &#8220;beginning the construction of [the] pipeline, either as an Iranian project or as a joint project, would violate [U.S.] Iran sanctions law.&#8221; For a time, it appeared as if Pakistan was sensitive to U.S. concerns over Iran and gave some indications that it may scrap or indefinitely delay the pipeline project due to U.S. objections. Pakistan appears now to have calculated that its short-term energy needs are too great, and the threat of U.S. sanctions not strong enough, for it to forgo the deal.

It will also be important to monitor whether Pakistan&#8217;s decision to cut a deal with the Iranians has a significant impact on loosening western sanctions on Iran and what sanctions or other fallout, if any, it may face for spurning U.S. entreaties vis-à-vis Iran and engaging with an Iranian company closely linked to already-sanctioned entities.


----------



## BATMAN

muse said:


> Pakistan have chosen to shoot themselves rather than defy the US and their Gulf Arab allies - After having squeezed every possible concession from the Iranians, with the Agreement to be signed on the 18th, the Pakistanis now want to renegotiate the price - Iranians should not step back but say to the Pakistanis that should the Pakistanis want the deal, Iran will be prepared to go ahead with it.
> 
> Pakistan seeks to renegotiate Iran gas price | Pakistan | DAWN.COM



Who is Pakistan? It is Zardari and its tribe!

How stupid of every one... price settlement is basic issue before making towering claims.

Is there any news clip of price settlement in past?



darkinsky said:


> what the hell??



He's Iraqi Mullah in global age.


----------



## saiyan0321

> I hear you. my bro I hear you.
> 
> 
> What you say perhaps is the way.
> 
> 
> But
> 
> let me ask you a simple question.
> 
> -- Will it take less time for Iran to come out of sanctions
> 
> -- Or will it take shorter time for Pakistan to pay back all the loans and build up substantial reserves.
> 
> 
> Let's say by 2030 which one of these is more likely to happen?



Neither    ... seriously neither. i dont see us ever going without debt and iran wont bow to USA and leave nuclear tech. infact sanctions will go worse the closer they get. Pakistan will not have that dream govt that will say No to USA and pay back all the debt and then start making it own their own. This will take too much time and require a run of good Govt. not till 2030 but can be better on the road.


----------



## Argus Panoptes

I think the IP project is not as great as it is made out to be. Some healthy skepticism is needed, still:

Pakistan and Iran: Gas, but not the useful sort | The Economist

Pakistan and Iran
*Gas, but not the useful sort*

Barren ground for a new pipeline
Mar 16th 2013 | ISLAMABAD |From the print edition


IT WAS smiles and handshakes all round on Pakistan&#8217;s border with Iran, as the presidents of the two countries posed on March 11th to mark the start of the construction of the Pakistani part of a pipeline that is supposed to bring Iranian natural gas to a country starved of energy. Blackouts cripple industry and bring daily misery to Pakistani households. *The new pipeline is supposed to be completed by the end of 2014.*

Yet ending misery appears not to be among the chief political motives. Rather, Iran hopes that the project will lessen the country&#8217;s international isolation. Pakistan&#8217;s relations with its neighbour have usually been chilly. But under President Asif Ali Zardari, they have warmed. That is indicative of Pakistan&#8217;s tilt away from the United States, which lobbied the government in Islamabad against the deal and which has been pushing the idea of an alternative pipeline running from Turkmenistan, through war-ravaged Afghanistan, and then into Pakistan and India. Instead, Pakistan has also begun talks with Iran about an oil refinery at its Gulf port of Gwadar. Pakistan recently decided to hand control of the new deep-sea port there to the Chinese, another development that concerns the United States, not to mention India.

The new pipeline comes from the giant South Pars gasfield and will snake into southern Pakistan. *Iran has already built all but the final 320km (200 miles) of its bit of the pipeline*, according to the deputy oil minister, Javad Owji. *Now Pakistan has to build about 800km.
*
That *it has to pass through the insurgency-ridden province of Balochistan* is only one cause for doubting its completion. *It is also not clear how Pakistan, which is strapped for cash, will finance its part of the pipeline, especially if hit by international sanctions for dealing with Iran.* What is more, this is the last week that the current government, led by Mr Zardari&#8217;s Pakistan Peoples Party, has in office. According to polls, the opposition party of Nawaz Sharif, who is close to Iran&#8217;s foe, Saudi Arabia, looks set to lead the next government after an election, likely in May.

For five years, Mr Zardari&#8217;s administration has sat on the country&#8217;s energy crisis, with little action beyond get-rich-quick schemes for his cronies. *The Iranian gas is not cheap. Exploiting Pakistan&#8217;s domestic reserves, which produce gas at about half the price, has been neglected. So, too, have imports of liquefied natural gas. Little has been done to deal with appalling inefficiencies in the country&#8217;s electricity system.*

But even though *the announcement of the Iranian pipeline looks like a gimmick, the Americans&#8217; idea of gas all the way from Turkmenistan is a pipe dream. Beleaguered Pakistanis have longer to wait before gas flows into homes*, or blackouts are a thing of the past.


----------



## Cyberian

The peace pipeline &#8212; Atif Shamim Syed
_Sunday, March 17, 2013_

On Monday March 11, 2013, the presidents of Pakistan and Iran Mr Asif Ali Zardari and Mr Mahmoud Ahmadinejad inaugurated the Iran-Pakistan gas pipeline. The pipeline is also, sometimes, referred to as the Peace Pipeline. The idea for such a supply channel was originally suggested by Malik Aftab Ahmed Khan in his article titled &#8220;Persian Pipeline&#8221;, which was published by the Military College of Engineering in the mid-1950s. It was conceptualised by Nobel Prize-winning Indian academic Rajendra K Pachauri and Iran&#8217;s former deputy foreign minister Ali Shams Ardekani.

*In 1994, negotiations for &#8216;Peace Pipeline&#8217; commenced between Iran and Pakistan.* India joined the talks in 1999. Initially, the plan was dubbed as Iran-Pakistan-India gas pipeline, which was supposed to deliver Iranian gas to Pakistan and, onwards to India. However, India opted out of the project in 2009 citing dissatisfaction with the transit fee that Pakistan was demanding. There were also concerns about the security of the whole venture that traversed through hostile territory at several points. However, it is widely believed that India quit the project at the behest of the United States. Last year, a Chinese bank also abandoned the pipeline project out of fear that it might be subjected to international sanctions for dealing with Iran.

In late January, Iran and Pakistan jointly set up a company in order to build the Pakistani portion of the pipeline. *Initially, the estimated time for completion of the Pakistani part was a little more than a year but according to recent Iranian media reports, it could take about two years.

The pipeline starts from Asalouyeh in Iran stretching 1,172 kilometres towards Pakistan. The 781 kms long pipeline on Pakistani side will travel through Balochistan where it will branch out towards Karachi.* The main line will continue onward towards Multan and beyond. It will deliver 750 million cubic feet of gas on a daily basis. The cost of gas thus imported will be 14.53 dollars mmbtu. According to the terms of an agreement signed by Iran and Pakistan in 2010, if the latter fails to complete its side of the pipeline by 2014, it will be obligated to pay a daily penalty of a million dollars to Iran until the conduit is complete.

The Iranian side of the pipeline is almost complete. The Pakistani part of the project will cost around 1.5 billion dollars. Iran will loan one-third of this sum amounting to 500 million dollars out of which 250 million dollars will be paid directly to the construction firm responsible for laying 80 kms of pipeline inside Pakistan. The next tranche of 250 million dollars will help in laying the remaining 701 kms pipeline. This loan, alongwith a two percent interest plus LIBOR, will be repaid as a fraction of the price of gas. Pakistan will still need to raise sizeable funds in order to see the project through, a task that seems hurculean at the moment in the wake of considerably depleted foreign reserves and a hefty IMF repayment hovering over the head.

Pakistan is highly dependent on natural gas for domestic and commercial consumption as well as electricity generation. Moreover, natural gas also plays a very crucial role in transportation within the country. For years, Pakistan is desperately trying to cope with an acute energy shortage that has all but crippled the economy. Last month, the country suffered a nation-wide blackout that only served to further highlight its exponential energy woes.

The US is vehemently opposed to the project and assumes that the hasty progress of the Peace Pipeline is politically motivated since the energy issue, by all accounts, will play a pivotal role in this year&#8217;s general elections. The mandate of the present government will expire in a few days. The ruling party may be planning to use the Peace Pipeline as a gambit for securing votes since the public will perceive it as a practical step towards resolving the energy issue. Moreover, defying the US, or seeming to do so, is extremely popular in Pakistan whose overwhelming public opinion is anti-US despite being the recipient of enormous American aid.

The US has threatened Pakistan with sanctions if it builds the gas pipeline. However, it is more likely that sanctions will be imposed only after the actual delivery of gas starts. Pakistani companies buying gas from Iran may also face US restrictions. The State Department recently criticised Pakistan for wasting its limited resources on such projects. The US is concerned that the Peace Pipeline will enable Iran to evade international sanctions by selling a huge amount of its gas. This will, consequently, blunt US efforts to keep Iran under pressure over its nuclear activities.

In order to address Pakistan&#8217;s genuine energy concerns, the US has suggested the trans-Afghanistan pipeline for delivering gas from Turkmenistan to Pakistan through Afghanistan. The pipeline could be extended further to India. Turkmenistan-Afghanistan-Pakistan-India (TAPI) pipeline, which will effectively bypass Iran, has been on the tables in Washington for several years but could not materialize despite Asian Development Bank&#8217;s backing due to the fragile security situation in Afghanistan. The TAPI proposal is, however, still alive and may transpire in the next five years.

Pakistan&#8217;s current annual oil import bill exceeds 12 billion dollars. The bulk of the imported furnace oil is used for generating electricity. Importing gas from Iran may prove helpful not only in managing the severe energy crisis but also reducing Pakistan&#8217;s import bills to a reasonable extent. However, it is also important to carefully examine the diplomatic costs of carrying on with a geo-politically significant project that is not favoured by the international community.

_The writer is an investment banker and a freelance columnist for various publications. He can be reached at syedatifshamim@hotmail.com_

Daily Times - Leading News Resource of Pakistan


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## Cyberian

&#8216;Pak-Iran gas pipeline vital for economy&#8217;
_Sunday, March 17, 2013_

*KARACHI*: *Pak-Iran gas pipeline project is vital for the country and we are not afraid of any sanctions as we have already paid a big price in the war against terrorism* and USA has not given us any benefits although due to war our infrastructure has been devastated and our poor innocent civilians and soldiers are killed.

Naseem Anwar Senior Vice Chairman SITE Association of Industry congratulated President Asif Ali Zardari President upon groundbreaking ceremony of the project. *Our economy is ailing and it would have been peanuts for USA to rescue us but it did not come forward with concrete steps.*

The government is going to initiate this important project in view of the energy requirements. This project is being commissioned purely to meet economic needs of our country and it is being executed by two sovereign states of the region. This project will bring economic prosperity, provide better opportunities to the people and help defeat militancy in the region by industrialisation staff report

Daily Times - Leading News Resource of Pakistan


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## Cyberian

Peace Pipeline and the US &#8212; Muhammad Omar Iftikhar
_Tuesday, March 19, 2013_

Despite US opposition, the $ 7.5 billion Iran-Pakistan gas pipeline or the Peace Pipeline is going ahead as planned. The Peace Pipeline initially had three players &#8212; Pakistan, Iran, and India &#8212; but the latter decided to part from the project in 2009 to avail the US nuclear deal. The Peace Pipeline will help Pakistan end its growing energy crisis that has put its economic wellbeing at stake. Pakistan&#8217;s economy is operating below par, which is affecting productivity, causing declining exports, and widening the balance of payments deficit. The Peace Pipeline is a major step forward for Pakistan at a time when its textile and fertiliser sector are showing a decline in output. With long and unexpected power outages, the industrial sector is in peril, which is why the business community has shown feelings of joy and relief over the project.

Iran will soon complete constructing its end of the pipeline; however, the construction of the 780 kilometre section of the pipeline on the Pakistani side will cost Islamabad nearly $ 1.5 billion. Washington never accepted the Peace Pipeline project and had its reservations over the initiative. Even though Pakistan will overcome its energy needs with Iran&#8217;s support, the latter&#8217;s nuclear ambition compelled the US to oppose the project.

Pakistan is eager to complete the pipeline in due time. However, the US doubts if Pakistan can finance the project. Moreover, analysts believe that the US will impose sanctions on Pakistan for defying Washington&#8217;s directives and siding with a country having a nuclear plan that worries the west. In addition, Pakistan might face US sanctions as mentioned in the 1996 Iran Sanctions Act, which allows the US government to ban imports from any non-American company that makes an investment of more than $ 20 million a year in the Iranian oil and natural gas sector.

Even though the Peace Pipeline is expected to provide benefits to Pakistan, it also has an underlining political motive. Analysts view that Pakistan&#8217;s ruling party will use the gas pipeline project to amass votes and create a positive public image in the upcoming elections. People are wondering why the government went ahead with the project with only a few days left remaining before the dissolution of the assemblies. Even with a political motive in place, the Peace Pipeline will benefit the state and the credit goes to the president and his team for sealing the deal. *Construction on the $ 1.5 billion pipeline is scheduled to be completed by December 2014.* If the project goes according to plan, Iran will supply 21.5 million cubic metres of gas per day from its gas field in South Pars to Nawabshah. This will solve Pakistan&#8217;s energy crisis and revive industry that fell prey to power outages.

The US not only opposed the project but also suggested Pakistan an alternative pipeline route from Turkmenistan to Afghanistan, Pakistan and to India. Iran andPakistan never accepted the replacement route. Furthermore, India&#8217;s presence in the project would have kept both Pakistan and India on the verge of a war-like situation, which would only destabilise the South Asian region. *The Peace Pipeline will begin transporting gas to Pakistan from December 2014. However, with the project already marred with delays, the final deadline is yet to be decided.*

Prior to the inauguration of the Peace Pipeline project, the US State Department spokesperson, Victoria Nuland said, &#8220;If this deal is finalised for a proposed Iran-Pakistan pipeline, it would raise serious concerns under our Iran Sanctions Act. We&#8217;ve made that absolutely clear to our Pakistani counterparts.&#8221;

The US may impose sanctions on Pakistan for engaging in business-related activities with Iran. According to the Congressional Research Report, Iran is prohibited from selling technology or equipment that aids its energy sector. In addition, Iran lacks the authorisation to conduct business dealings that involve gas or fuels of any type with any country.

Even with the US closely monitoring the proceedings of the Peace Pipeline, President Asif Ali Zardari is hopeful for the many advantages the gas pipeline will bring to Pakistan and views it as a win-win project for Iran and Pakistan. Addressing the gathering at the inauguration ceremony, the president said, &#8220;The completion of the pipeline is in the interest of peace, security, and progress of the two countries. It will consolidate the economic, political and security ties of the two nations.&#8221; Pakistan&#8217;s Foreign Office is repeatedly asserting that Pakistan will not face any opposition from the US and believes that the US will show more understanding on this issue. Only time will tell if Washington comprehends the causes that led Pakistan to go ahead with the Peace Pipeline.

Iranian President Mahmoud Ahmadinejad views the Peace Pipeline as a symbol of resistance against western domination. In the post-9/11 era, Pakistan became a major ally of the US in curbing extremism. However, the Peace Pipeline could put Pakistan in a heap of trouble. Pakistan cannot afford any aggressive diplomacy from the US at a time when foreign aid is crucial for its survival.

_The writer is a Karachi-based journalist who writes frequently on regional issues with focus on South Asia_

Daily Times - Leading News Resource of Pakistan


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## mahazain90

Thanks for president Asif ali Zardari finally he sign the agreement of pak iran gas pipeline.


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## Windjammer

Iran vows to complete Pak pipeline project 'at all costs' by 2014


Peshawar, Apr. 11 (ANI): Taking a tough stand despite increasing pressure from the United States, Iranian Consul General Hassan Darvishvand has said that the long awaited Iran-Pakistan (IP) gas pipeline is to be completed "at all costs" by the end of 2014.
Darvishvand, while addressing a seminar titled 'Pakistan-Iran Gas Pipeline Project Agreement - New Era of Relationship', said 110 million cubic feet of gas will be available to Pakistan per day under the project. This, he added, would solve much of the electricity gas shortage in the energy-starved country, reports The Express Tribune.
Darvishvand said the pipeline, originating from Iran's Faras province, would extend over a distance of 1,100 kilometres within Iran, adding that a mere 100 kilometres worth of work is left on the Iranian side of the project. He said 780 kilometres of pipeline will be laid within Pakistan and construction work began a month ago.
Darvishvand said the cost of the project in Pakistan was around 1.5 billion dollars, out of which 500 dollars million will be provided by Iran, while the rest of the cost will be met by the host country.
The envoy said resistance from the United States and Israel had grown stronger in the past three years, showing that the two nations were "threatened by the success of the Islamic revolution". (ANI)

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## Argus Panoptes

Windjammer said:


> Iran vows to complete Pak pipeline project 'at all costs' by 2014
> 
> 
> Peshawar, Apr. 11 (ANI): Taking a tough stand despite increasing pressure from the United States, Iranian Consul General Hassan Darvishvand has said that the long awaited Iran-Pakistan (IP) gas pipeline is to be completed "at all costs" by the end of 2014.
> Darvishvand, while addressing a seminar titled 'Pakistan-Iran Gas Pipeline Project Agreement - New Era of Relationship', said 110 million cubic feet of gas will be available to Pakistan per day under the project. This, he added, would solve much of the electricity gas shortage in the energy-starved country, reports The Express Tribune.
> Darvishvand said the pipeline, originating from Iran's Faras province, would extend over a distance of 1,100 kilometres within Iran, adding that a mere 100 kilometres worth of work is left on the Iranian side of the project. He said 780 kilometres of pipeline will be laid within Pakistan and construction work began a month ago.
> *Darvishvand said the cost of the project in Pakistan was around 1.5 billion dollars, out of which 500 dollars million will be provided by Iran, while the rest of the cost will be met by the host country.*
> The envoy said resistance from the United States and Israel had grown stronger in the past three years, showing that the two nations were "threatened by the success of the Islamic revolution". (ANI)



At all costs? Let us find the billion dollars first, and the rest is easy.


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## Cyberian

India eager to join Iran-Pakistan gas pipeline: Iran official
_Saturday April 20, 2013_







Iran Oil Ministry spokesman says New Delhi is in talks with Tehran to join the multi-billion-dollar pipeline which Iran is building to export natural gas to the neighboring Pakistan.

*&#8220;Since India has been motivated by Pakistan&#8217;s seriousness in building the [Iran-Pakistan] &#8216;peace pipeline&#8217;, New Delhi is negotiating to join the project,&#8221; Alireza Nikzad-Rahbar said.*

The Iranian official added that there has been considerable progress in the Iran-Pakistan (IP) pipeline, with Iranian contractors starting work on the Pakistani section of the pipeline, after finishing nearly 900 kilometers of the pipeline on Iran soil.

In March, Indian Minister of Petroleum and Natural Gas M. Veerappa Moily voiced his country&#8217;s willingness to join the pipeline project.

The pipeline will enable the export of 21.5 million cubic meters per day of Iranian natural gas to Pakistan.

The Pakistani government has stressed that it would go ahead with the construction of the gas pipeline despite threats and pressure from the U.S..

(Source: Press TV)

http://tehrantimes.com/economy-and-...join-iran-pakistan-gas-pipeline-iran-official


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## Argus Panoptes

SUPARCO said:


> ...............
> *The Pakistani government has stressed that it would go ahead with the construction of the gas pipeline despite threats and pressure from the U.S..*
> 
> (Source: Press TV)
> 
> tehrantimes.com/economy-and-business/106986-india-eager-to-join-iran-pakistan-gas-pipeline-iran-official



The final contracts were supposed to be signed between Iran and Pakistan on the 15th of April, which has come and gone without any news.


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## Cyberian

Argus Panoptes said:


> The final contracts were supposed to be signed between Iran and Pakistan on the 15th of April, which has come and gone without any news.



Pakistani government is in the process of transferring funds to Tadbir Energy.

_... When approached, the finance ministry spokesman confirmed that funds had so far not been credited to the assignment account. However, he said, &#8220;there is no shortage of funds and we are in the process of transferring the money.&#8221;

tribune.com.pk/story/539050/change-of-heart-ministry-dithers-over-release-of-funds-for-ip-pipeline/_


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## Argus Panoptes

SUPARCO said:


> Pakistani government is in the process of transferring funds to Tadbir Energy.
> 
> _... When approached, the finance ministry spokesman confirmed that funds had so far not been credited to the assignment account. However, he said, &#8220;there is no shortage of funds and we are in the process of transferring the money.&#8221;
> 
> tribune.com.pk/story/539050/change-of-heart-ministry-dithers-over-release-of-funds-for-ip-pipeline/_



It is simple: no money, no pipeline.


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## monitor12345

Pakistan spends nearly 2 Billion Dollars on providing Subsidy on power bills, every year. Can't that money be diverted to the construction of Iran Pak gas pipeline. ??? But the Customers will have to face difficulty for a year since if the subsidy is withdrawn , the electricity bills will increase. But Can't Pakistanis bear that burden for one or two years. ??


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## ghazi52

How many kilometers of pipe line is laid down so far.
what is ground reality.


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## That Guy

monitor12345 said:


> Pakistan spends nearly 2 Billion Dollars on providing Subsidy on power bills, every year. Can't that money be diverted to the construction of Iran Pak gas pipeline. ??? But the Customers will have to face difficulty for a year since if the subsidy is withdrawn , the electricity bills will increase. But Can't Pakistanis bear that burden for one or two years. ??



When a majority of the citizens live onder 30,000 rupies a month, nope.

Withdrawing of the subsidies is political suicide, no politician will do anything to touch those subsidies. The only way it will happen is when the pipeline is completely built.


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## Argus Panoptes

ghazi52 said:


> How many kilometers of pipe line is laid down so far.
> what is ground reality.



The final contract is still not signed. That is the ground reality so far.

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## ghazi52

Argus Panoptes said:


> The final contract is still not signed. That is the ground reality so far.


Will never. Zardari just wants to blackmail USA for money as Krezaie s getting..cash....


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## Argus Panoptes

ghazi52 said:


> Will never. Zardari just wants to blackmail USA for money as Krezaie s getting..cash....



Zardari is there only till September. This is a long term project. The next government will decide what to do with the pipeline.


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## niaz

With the victory of PML-N in the elections IP pipeline is doomed. 

Nawaz Sharif is a darling of the Saudi royals and with the US as well as Saudis dead against Iran, it looks highly unlikely if this pipeline is ever going to get built.


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## Capt.Popeye

niaz said:


> With the victory of PML-N in the elections IP pipeline is doomed.
> 
> Nawaz Sharif is a darling of the Saudi royals and with the US as well as Saudis dead against Iran, it looks highly unlikely if this pipeline is ever going to get built.



That is just one of the issues that can write the epitaph for the pipeline.
There are others too: are the finances available for the pipeline among either of the proponents of the project? Then there is the issue of the security of the region through which the pipeline will pass, nobody wants to see it blown up every second day.

India had a problem with the pricing formula proposed by Iran for the gas to start with; so India backed out earlier on.


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## Argus Panoptes

niaz said:


> *With the victory of PML-N in the elections IP pipeline is doomed. *
> 
> Nawaz Sharif is a darling of the Saudi royals and with the US as well as Saudis dead against Iran, it looks highly unlikely if this pipeline is ever going to get built.



The IP pipeline was never a realistic project anyway. Any government would have found it impossible to complete, not just PMLN.



Capt.Popeye said:


> That is just one of the issues that can write the epitaph for the pipeline.
> There are others too: are the finances available for the pipeline among either of the proponents of the project? Then there is the issue of the security of the region through which the pipeline will pass, nobody wants to see it blown up every second day.
> 
> India had a problem with *the pricing formula proposed by Iran for the gas* to start with; so India backed out earlier on.



The pipeline was a non starter, and one of the reasons was the unaffordable cost of the gas supplied, as you mention. Money and the international political fallout from violating sanctions on Iran were other important ones.

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## niaz

There are 3 points to consider:

1.	Does Pakistan need the pipeline? 

2.	Price of gas compared to alternates such as LNG.

3.	Sanctions & Geo-politics.

Iran has the second largest gas reserves in world after Russia (33.1 trillion cubic meters or approx. 1,150 TCF per latest estimates by BP). Saudi Arabia is expected to be net importer of gas in a couple of years. UAE is already importing gas from Qatar under the Dolphin project via 48 inch pipeline which extends all the way to Fujairah on the Arabian Sea coast. Iran is therefore the most natural & convenient supplier to fulfill Pakistan&#8217;s urgent gas requirements. This makes IP pipeline project inherently viable if the price is right. 

I am convinced that if Pakistan can get Saudi Arabia on board, a special dispensation from the US sanctions for this project can be obtained. 

Main problem remains the price. Since international natural gas price has come down quite a bit in the last couple of years, price of natural gas should be renegotiated; especially if Pakistan can demonstrate to Iran that it has the financial arrangements in place.

It would be a real pity if the project abandoned without any serious effort to salvage the IP project. But then who knows what is in the mind of Sharif brothers?


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## Donatello

niaz said:


> With the victory of PML-N in the elections IP pipeline is doomed.
> 
> Nawaz Sharif is a darling of the Saudi royals and with the US as well as Saudis dead against Iran, it looks highly unlikely if this pipeline is ever going to get built.



If the Saudis want us to leave the IP pipeline deal then they must offer us alternative fuel supply and at a similar rate. We need natural gas dearly.


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## Cyberian

Argus Panoptes said:


> The final contract is still not signed. That is the ground reality so far.



You are correct. I was so happy for Pakistan when the pipeline was inaugurated on March 11, 2013 but more than two months later, they've still not signed the final contract to start the construction of the pipeline on the Pakistani side.

So far I am very disappointed but I am still hopeful.


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## Argus Panoptes

SUPARCO said:


> You are correct. I was so happy for Pakistan when the pipeline was inaugurated on March 11, 2013 but more than two months later, they've still not signed the final contract to start the construction of the pipeline on the Pakistani side.
> 
> So far I am very disappointed but I am still hopeful.



Hope is good, but I just don't see this pipeline being built anytime soon.


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## Cyberian

Curbing energy shortage
Senate body for early completion of IP, TAPI gas projects 
_Wednesday, May 29, 2013

By Ijaz Kakakhel _

*ISLAMABAD*: Keeping in view the severe energy shortage, the Senates Standing Committee on Petroleum and Natural Resources on Tuesday directed the ministry and Inter State Gas (Pvt) Ltd (ISGS) to speed up the work on Iran-Pakistan (IP) Gas Pipeline and Turkmenistan-Afghanistan-Pakistan-India (TAPI) Gas Pipeline projects.

The country is confronting severe power and gas shortfall and completing the above two projects on time will be great achievement. The meeting was held in the Parliament House under chairmanship of Senator Muhammad Yousuf. *Over IP Gas Pipeline Project, the parliamentarians expressed serious reservations over delay in distribution of gas pipeline while on Iranian side more work had been completed. The committee chairman said Pakistan urgently needed its completion but delaying tactics were being used. Pakistan is just dealing in paper work while physically nothing has been done so far.*

ISGS managing director told the committee that under the IP Gas Pipeline Project, the gas is to be supplied from Irans South Pars gas field and delivered at Pak-Iran border, near Gwadar. The project is being implemented on a segmented approach whereby each country shall be responsible for construction of the pipeline in the respective territory. He said that total length of the gas pipeline is 1,931 kilometres (kms) in which 1,150km is within Iran and 781km in Pakistan. *From Iran side, he said only 250km gas pipeline is left to provide gas to the border of Pakistan. While on Pakistans side, the physical work is yet to be started, he maintained.* Iran will also provide $500 million in kinds to Pakistan for laying the gas pipeline. The completion date of the project is Dec 2014, which will provide 750 million cubic feet per day gas to Pakistan, the MD added.

He further said that the estimated cost of Pakistan segment of pipeline is about $1.8 billion and Pakistan has adopted a multi-pronged strategy to meet the challenges of project financing, which included government to government agreement, Gas Infrastructure Development Cess as well as commitments from public sector entities.

*The petroleum secretary told the committee that Pakistan could not initiate the work due to some financial problem but Pakistan has signed several agreements with Iranians delegations. In order to begin the work, it requires more legislation on part of government of Pakistan, he maintained.* He also assured the committee that approval would be made from concerned authority in Pakistan.

The TAPI Gas Pipeline Project aims to bring natural gas from Turkmenistan to Afghanistan, Pakistan and India. Several international consortiums will finance this project, which will provide 3.2 billion cubic feet per day of natural gas. The ISGS MD told the committee it will be completed by 2017 and the gas sale purchase agreement was already done.

The committee was informed that Inter-governmental Agreement was signed by the head of states of all the member countries during TAPI Summit held at Ashgabat on Dec 11, 2010. The Gas Pipeline Framework Agreement was signed by the respective petroleum ministers of the four countries.

The committee in written was informed that TAPI parties already agreed n principle to appoint Asian Development Bank (ADB) as transaction adviser to broadly update the pre-feasibility study, market the project, take the transaction to financial close and assist parties in finalisation of pipeline consortium. In this regard draft transaction advisory services agreement has been circulated by the ADB to TAPI parties, which is currently under review.

Daily Times - Leading News Resource of Pakistan


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## Argus Panoptes

SUPARCO said:


> .............
> 
> He further said that *the estimated cost of Pakistan segment of pipeline is about $1.8 billion and Pakistan has adopted a multi-pronged strategy to meet the challenges of project financing*, which included government to government agreement, Gas Infrastructure Development Cess as well as commitments from public sector entities.................



What strategy? Money is money, and 1.8 billion dollars is a LOT of money to come up with for this pipeline, no matter how many "prongs" are used. More importantly, I do not see the PM-elect's patrons in the Holy Land being generous to fund this project anytime soon either.


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## Cyberian

Political transition may delay IP gas project
_Wednesday May 29, 2013_







*The multi-million-dollar Iran-Pakistan (IP) gas pipeline project is unlikely to be completed by the contractual deadline of December 2014 because of the political transition in Islamabad, officials stated on Wednesday.*

The project was delayed because important approvals for beginning construction of the pipeline could not be obtained from the caretaker government, petroleum secretary Abid Saeed was quoted as saying, by Khaleej Times.

This delay is expected to aggravate Pakistan&#8217;s energy crisis. Work on the project inside Pakistan has been suspended because of polls and transfer of power, he said. &#8220;On certain issues related to the IP project, the Petroleum Ministry needs to get approval from the next government,&#8221; he added.

Inter-State Gas Company Managing Director Mobin Solat said Iran had completed 900 km of a 1,150-km pipeline from a gas field to Iranshehr.

Iran is working on another 250-km section from Iranshehr to the border at Gabd and about 60 percent of the work had been completed.

*Construction on the Pakistani side could not begin because the engineering, procurement and construction firms required sovereign guarantees for mobilising machinery and workforce, Solat said. The Pakistan government needs to issue a sovereign guarantee to Iran&#8217;s Tadbir Energy, the engineering and construction contractor, and this has been delayed till the new elected government takes over, Saeed said.*

Political transition may delay IP gas project | Pakistan Today

Pehla bahana!


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## W.11

SUPARCO said:


> Pehla bahana!



taking begging bowl to saudis and expecting what? a bail out of 15 billion will no terms attached?


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## notorious_eagle

Looks like the new Government might just carry on with the IPI Pipeline:

Pakistan to pursue Iran gas pipeline despite change of

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## Argus Panoptes

notorious_eagle said:


> Looks like the new Government might just carry on with the IPI Pipeline:.............



Has the final contract been signed or not?

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## Chak Bamu

I think that Pakistan just might be able to pull strings to get the project underway and done. We have a silent partner, namely India, whose interest is served by an extension of this (& TAP) pipeline. Its influence would be welcome.

Do not cross out the project yet. There is plenty of hope. IP pipeline is not a question of IF, but WHEN.

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## SBD-3

Interesting Article about Pak-Iran Gas Pipeline


> ISLAMABAD: The government has asked Iran to reduce gas price for Iran-Pakistan pipeline under price renegotiation clause of the bilateral sales and purchase agreement (GSPA) to bring it at par with the rates finalised with Turkmenistan.
> 
> &#8220;We are activating the price renegotiation clause of the agreement,&#8221; Prime Minister&#8217;s Adviser on Petroleum Dr Asim Hussain told Dawn on Friday. &#8220;Iran has to reduce gas prices and come down to TAPI ((Turkmenistan-Afghanistan-Pakistan-India pipeline) rate.&#8221;
> 
> An official said if the price of Iranian gas was lowered to that of TAPI pipeline level, Pakistan would save about $1.5 billion over the life of the project as compared with the price finalised under the IP-GSPA.
> 
> &#8220;The price renegotiation will be an ongoing process,&#8221; said Dr Hussain, explaining that under the agreement, the prices could be renegotiated on the basis of comparable gas prices one year before the gas flow begins in Dec 2014.
> 
> &#8220;We may be able to secure even lower prices than TAPI rates if gas prices plunge in the international market, in Europe and the US. We are closely monitoring world gas prices,&#8221; he said.
> 
> He confirmed that Iran&#8217;s Tadbir Energy and Pakistan&#8217;s Interstate Gas Company could not sign an agreement for the construction of 781-km pipeline by the Iranian firm inside Pakistan because discussions required further consultations. &#8220;The agreement will be signed before Feb 27,&#8221; Dr Hussain said.
> 
> An official said a draft agreement had been handed over to a visiting Iranian delegation for getting it vetted in Tehran.
> 
> The cost of construction of the pipeline from Gabd-zero point, on Pakistan-Iran border, to Nawabshah for the delivery of 750 million cubic feet of gas per day has been tentatively agreed upon at $1.5 billion but Iran has been asked to reduce the per kilometre construction cost.
> 
> After Iran vets the draft agreement, the mode of payment for gas sales will need a delicate examination in view of US sanctions against that country. Barter trade between the two countries can be an option.
> 
> Under the proposed agreement, Tadbir Energy has to lay the pipeline inside Pakistan and provide $500m loan, which is repaid as part of gas price, involving an interest rate of about two per cent plus London Interbank Offered Rate. Pakistan&#8217;s engineering and pipeline companies will provide advisory service and the Frontier Works Organisation will handle the civil works.
> 
> An official said the Iranian technical team was expected to return to Islamabad next week for consultations. Then a Pakistani team will go to Tehran to sign the agreement.
> 
> Meanwhile, a cabinet committee &#8212; headed by the minister of state for finance and comprising senior officials of petroleum, finance and law ministries &#8212; has approved a $1.5bn financing plan for the pipeline.
> 
> The plan envisages a $500m loan agreement with Iran on government-to-government basis and provision of $500m by the ministry of finance on account of receipts of the Gas Infrastructure Development Cess.
> 
> The remaining $500m will be arranged through a combination of loans from China and domestic banks.
> Pakistan seeks to renegotiate Iran gas price - DAWN.COM



What do we get
1- Gas imported from Iran will be expensive than gas imported from Turkmenistan (TAPI) project


> An official said if the price of Iranian gas was lowered to that of TAPI pipeline level, Pakistan would save about $1.5 billion over the life of the project as compared with the price finalised under the IP-GSPA.


2- No construction agreement for Pakistani side has been signed yet


> He confirmed that Iran&#8217;s Tadbir Energy and Pakistan&#8217;s Interstate Gas Company could not sign an agreement for the construction of 781-km pipeline by the Iranian firm inside Pakistan because discussions required further consultations.


3- Tentative cost of construction on Pakistan side is around 1.5 Billion USD (150 Billion PKR). Plus the additional cost incured by extending pipeline to Nawabshah (they could have just connected the pipeline to Sui Gas supply line and saved a lot of money -because SUI-gas field is well connected to the rest of the country).


> The cost of construction of the pipeline from Gabd-zero point, on Pakistan-Iran border, to Nawabshah for the delivery of 750 million cubic feet of gas per day has been tentatively agreed upon at $1.5 billion but Iran has been asked to reduce the per kilometre construction cost.


4-Payment settlement is still undecided (since we can't pay Iran in USD,EUR,GBP and all major currencies)


> After Iran vets the draft agreement, the mode of payment for gas sales will need a delicate examination in view of US sanctions against that country. Barter trade between the two countries can be an option.


5- Risky financial terms (2%+LIBOR) so Iranian company has hedged her interest rate risks while exposing Pakistan to this (since with floating interest rate risks project costs and outflow could never be certain) 


> Under the proposed agreement, Tadbir Energy has to lay the pipeline inside Pakistan and provide $500m loan, which is repaid as part of gas price, involving an interest rate of about two per cent plus London Interbank Offered Rate. Pakistan&#8217;s engineering and pipeline companies will provide advisory service and the Frontier Works Organisation will handle the civil works.

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## ejaz007

*Qamar warns of fines if gas not imported from Iran*


ISLAMABAD: Former Federal Water and Power Minister, Naveed Qamar informed the National Assembly that if gas was not imported from Iran in 2014, Pakistan would have to pay billions in fines.

Qamar said that Pakistan should not rely on assistance from anyone as he questioned who would pay the fine if gas from Iran was not imported.

Meanwhile, Water and Power Minister Khawaja Asif said that the government&#8217;s energy policy would be announced in 20-22 days.

Qamar warns of fines if gas not imported from Iran - thenews.com.pk


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## Capt.Popeye

hasnain0099 said:


> Interesting Article about Pak-Iran Gas Pipeline
> 
> 
> What do we get
> 1- Gas imported from Iran will be expensive than gas imported from Turkmenistan (TAPI) project
> 
> 2- No construction agreement for Pakistani side has been signed yet
> 
> 3- Tentative cost of construction on Pakistan side is around 1.5 Billion USD (150 Billion PKR). Plus the additional cost incured by extending pipeline to Nawabshah (they could have just connected the pipeline to Sui Gas supply line and saved a lot of money -because SUI-gas field is well connected to the rest of the country).
> 
> 4-Payment settlement is still undecided (since we can't pay Iran in USD,EUR,GBP and all major currencies)
> 
> 5- Risky financial terms (2%+LIBOR) so Iranian company has hedged her interest rate risks while exposing Pakistan to this (since with floating interest rate risks project costs and outflow could never be certain)



Good points; all of them esp the first. That is the reason India chose not to go along with it. In India's case; there is one more factor- that of security of the pipeline, passing as it does through the Balochistan region.


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## Salman Ahmad

such price matter should be resolved asap Pakistan can't afford to delay such important project as the energy crisis getting worse day by day 

there must be a master plan for next 25 years in energy sector and we must shift from thermal to coal, hydro and nuclear power in next 5 years the cost per unit of thermal is too high and by last ppp gov only installed thermal power projects

we need to explore our own newly found gas reserves in k.p.k to get out of the energy crisis and lower the unit price of electricity


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## darkinsky




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## Kaniska

When is this pipeline is planned to get started..


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## That Guy

Kaniska said:


> When is this pipeline is planned to get started..



It's already under construction, the problem is that the current gov is pro-Saudi, so it may be put on hold at least until Nawaz can secure Saudi financial assistance.


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## SBD-3

New stakeholders: IP gas pipeline could be extended to China
By Zafar BhuttaPublished: August 24, 2013
According to sources, Pakistani and Chinese officials will discuss the laying of the gas pipeline from Gwadar to western China in a meeting to be held here on August 26. CREATIVE COMMONS
ISLAMABAD: 
Setting aside fierce US opposition to the Iran-Pakistan (IP) gas pipeline project, in a strategic move, the pipeline may be stretched and connected to western China as Islamabad and Beijing have made it part of the planned economic corridor.
Earlier, India was actively involved in the pipeline project, but withdrew following a civil nuclear energy agreement with the US. Now, prospects have emerged that China will replace India and receive gas from the pipeline that will connect Iran, Pakistan and China.
According to sources, Pakistani and Chinese officials will discuss the laying of the gas pipeline from Gwadar to western China in a meeting to be held here on August 26. They will also take up a proposal about constructing an oil pipeline between the two countries.

The two sides will sign a memorandum of understanding (MoU) on the economic corridor, which had already been approved by the cabinet.
The upcoming dialogue is a follow-up to Prime Minister Nawaz Sharifs visit to China in the first week of July. During the trip, Chinese companies expressed interest in laying the gas pipeline from the Gwadar Port to western China. Iran has also expressed interest in stretching the pipeline to China.
As part of the economic corridor, Gwadar Port will be connected through road and rail links to China which will help enhance trade between the two countries. Oil and gas pipelines will feature in the economic corridor, providing much-needed boost to economic activities in insurgency-hit Balochistan.
Pakistan government has asked Iran to bear the entire cost of the gas pipeline as it has found it difficult to arrange funds from some countries following pressure from the US.
The US is pressing Pakistan to shelve the IP pipeline and rather focus on the TAPI gas pipeline which will start from Turkmenistan and reach India through war-torn Afghanistan and Pakistan.
Iran has already committed $500 million for financing Pakistans side of the pipeline but Islamabad insists that Tehran should enhance the credit limit
Total cost of pipeline construction in Pakistan has been estimated at $1.5 billion. To cover part of the cost, the government will award a contract for engineering, procurement and construction (EPC) to Iranian firm Tadbir Energy.
We are waiting for a response from the new Iranian government, an official said, adding Tehran had already assured the previous government that it could enhance the credit limit if required.
Under the project, Pakistan will import 750 million cubic feet of gas per day (mmcfd) with an option to increase it to one billion cubic feet. Of the import, the Balochistan government seeks to consume 250 mmcfd at the Gwadar Port, which may encourage the central government to purchase more from Iran to meet needs of the least developed province.
Published in The Express Tribune, August 24th 2013.
New stakeholders: IP gas pipeline could be extended to China  The Express Tribune

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## t-birds

*Ignoring US sanctions, Russia offers to build Pak-Iran gas pipeline*
MehrNews.com - Iran, world, political, sport, economic news and headlines

TEHRAN, Sep. 21 (MNA)  Russia is ready to execute the Pakistan-Iran gas pipeline project, ignoring the U.S. sanctions on Iran, a *Russian minister has revealed in a meeting with Pakistans petroleum minister in Islamabad*.This will be done in view of the new Russian policy to look towards South Asia.To this effect, Gazprom, a state-owned Russian company or one of its subsidiaries will soon make a formal contact with the Government of Pakistan to execute the Pak-Iran gas pipeline project.

This message has been clearly conveyed by a Russian delegation led by Yury Sentyurin, Deputy Minister of Energy, at a meeting with the Federal Minister for Petroleum and Natural Resources, Shahid Khaqan Abbasi, a top official who was part of the meeting told The News.

*The Russians have also decided to play a role in accomplishing the TAPI gas line project* and want to become part of a consortium which is to execute the project. Apart from it, Moscow has also clearly indicated to Islamabad that it wants the electricity trade project (CASA-1,000) to be extended to Russia as it is rich in electricity and is currently exporting power to Mongolia, China and Europe.

The official said that Russia has also sought a role in developing coal-based projects at Gadani, arguing that it has the best expertise in the world to make such coal based projects.Additionally, the Russian delegation also offered its services to install power projects based on the lignite coal of Thar.

*In the meeting, the visiting team also expressed its willingness to install a 600MW coal based project at Jamshoro,* the official said, adding that both sides have decided to hold another meeting some time in November at the Joint Working Level to workout a roadmap for future cooperation in the energy sector.

A press release says the Russian delegation led by Yury Sentyurin, Deputy Minister of Energy, expressed the Russian intentions to invest in the energy sector of Pakistan. Abbasi, while talking to the members of the delegation, said Pakistan has huge potential of investment in the energy sector, especially in the oil and gas sector. He welcomed the Russians desire for investment in oil and gas exploration and expressed the hope that this cooperation will help a great deal in coping with the energy shortages in the country.

The Russian delegation also had a meeting with the Pakistani delegation led by the Minister of State for Petroleum and Natural Resources, Jam Kamal Khan, who assured the Russian delegates that Pakistan encourages foreign investment on equality basis, and a level playing field will be provided to all companies whether public limited or private.

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## W.11

t-birds said:


> *Ignoring US sanctions, Russia offers to build Pak-Iran gas pipeline*
> MehrNews.com - Iran, world, political, sport, economic news and headlines
> 
> TEHRAN, Sep. 21 (MNA) &#8211; Russia is ready to execute the Pakistan-Iran gas pipeline project, ignoring the U.S. sanctions on Iran, a *Russian minister has revealed in a meeting with Pakistan&#8217;s petroleum minister in Islamabad*.This will be done in view of the new Russian policy to look towards South Asia.To this effect, Gazprom, a state-owned Russian company or one of its subsidiaries will soon make a formal contact with the Government of Pakistan to execute the Pak-Iran gas pipeline project.
> 
> This message has been clearly conveyed by a Russian delegation led by Yury Sentyurin, Deputy Minister of Energy, at a meeting with the Federal Minister for Petroleum and Natural Resources, Shahid Khaqan Abbasi, a top official who was part of the meeting told The News.
> 
> *The Russians have also decided to play a role in accomplishing the TAPI gas line project* and want to become part of a consortium which is to execute the project. Apart from it, Moscow has also clearly indicated to Islamabad that it wants the electricity trade project (CASA-1,000) to be extended to Russia as it is rich in electricity and is currently exporting power to Mongolia, China and Europe.
> 
> The official said that Russia has also sought a role in developing coal-based projects at Gadani, arguing that it has the best expertise in the world to make such coal based projects.Additionally, the Russian delegation also offered its services to install power projects based on the lignite coal of Thar.
> 
> *&#8220;In the meeting, the visiting team also expressed its willingness to install a 600MW coal based project at Jamshoro,&#8221;* the official said, adding that both sides have decided to hold another meeting some time in November at the Joint Working Level to workout a roadmap for future cooperation in the energy sector.
> 
> A press release says the Russian delegation led by Yury Sentyurin, Deputy Minister of Energy, expressed the Russian intentions to invest in the energy sector of Pakistan. Abbasi, while talking to the members of the delegation, said Pakistan has huge potential of investment in the energy sector, especially in the oil and gas sector. He welcomed the Russians&#8217; desire for investment in oil and gas exploration and expressed the hope that this cooperation will help a great deal in coping with the energy shortages in the country.
> 
> The Russian delegation also had a meeting with the Pakistani delegation led by the Minister of State for Petroleum and Natural Resources, Jam Kamal Khan, who assured the Russian delegates that Pakistan encourages foreign investment on equality basis, and a level playing field will be provided to all companies whether public limited or private.



but iran was already financing didnt it?


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## BATMAN

W.11 said:


> but iran was already financing didnt it?



I think people on this forum do not know how international projects are launched awarded and executed.... 

Thank you Russia for your offer.... but this is not how things shall work in so called democratic state, where media is free and some people are educated and know the rules of business.

Sorry, i can never approve a foreign company,... while we have our local people... doing the job for them for meagre salary.

Forget about the funding of this project and rather try to find out what is the purpose of surcharge.. (if) you pay on every utility bill.

State of affairs... is that Iranian oil is freely being sold in Pakistan since i remember.
Our own refineries are suffering, because Iranian oil is being mixed in shipments from local refineries and giving them bad name. on top of that our national exchequer is facing revenue loss.

State of affairs is that every politician and blogger and media has been playing dumb... until i start writing about it.... yes this is my country and my loyalties are with Pakistan... first.

Already, notice being taken but i know big fishes at govt. level are involved in this business.

Ogra to take strict action against hoarding of petroleum products



> ISLAMABAD - *Following the complaints* of illegal and unsafe hoarding and sale of smuggled petrol and diesel in various areas of the country, Oil and Gas Regulatory Authority (OGRA) has decided to take strict action against those who are involved in the hoarding of petroleum products.
> This was told by the well-informed sources at the ministry of petroleum & natural resources while talking to this scribe on late Saturday. They said that stringent action against un-registered dealers has been decided *after persistent complaints of sale of smuggled and adulterated diesel and petrol* in various parts of the country.
> Sale of poor quality diesel and petrol in comparison to the international standard is not only causing major faults in the engine of vehicles but also has become the sole reason behind increasing environment pollution in the country, a senior official said, adding, that only oil refineries and oil marketing companies (OMCs) can stock petroleum products (POL) as they are OGRA licence holders.
> The sources also said that the regulatory authority (OGRA) has taken serious notice of uncontrolled and unchecked illegal sale of poor quality of diesel and petrol and also decided in principle to take sever action against the smugglers and those unregistered oil dealers which are allegedly involve in the sale of adulterated oil. The enforcement division of OGRA has been given the task to immediately take stern action against these elements involved in the ugly business of oil smuggling and sale of adulterated oil to the consumers/masses. They also informed that the OGRA is not authorised to take direct action so the regulator had written letters to all chief secretaries of four provinces in this regard. As per the petroleum rules, OGRA teams would not only identify the people who would be involved in illegal hoarding and sale of adulterated/smuggled diesel and petrol but would also join hands with district administration to end the menace. More, according to relevant rules, all those are involved in such businesses would face Rs10 Lakh penalty coupled with six months imprisonment.


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## Gessler

*Pak 'peace pipeline' needs Iran funds*



> The Pakistani government is seeking finance for its natural gas pipeline from Iran as not many are interested in backing the project, given the threat of U.S. sanctions.
> 
> Tehran has already offered $ 500 million  out of a total of $ 2 billion required to complete it.Islamabad says it needs the rest. Federal minister for Petroleum and Natural Resources Shahid Khaqan Abbasi told The Hindu on Thursday that in this situation, only Iran could raise that amount. He added that Pakistan has asked for a meeting and is yet to hear from Iran.
> 
> The project was inaugurated in March when former Iran President Mahmoud Ahmedinejad came to Pakistan but construction is yet to begin. However, the minister said the project design was ready for execution as soon as funds were available.
> 
> Conceived in the 1990s as a peace pipeline the project initially had India on board and was scheduled to be completed by December 2014. Iran, which has finished most of the work on its side, has expressed concern over Pakistans delay in starting work. The 780 km stretch from South Balochistan to Nawabshah or Shahid Benazirabad is Pakistans share of the pipeline.
> 
> According to a 2010 agreement with Iran, Pakistan is expecting 750 million cubic feet of gas which could be scaled up to one billion cubic feet a day (BCFD) from the project. This, along with the proposed Trans Afghanistan Pipeline or TAPI pipeline, in which India is also involved, should be able to meet its requirement of 2 BCFD.
> 
> The Iran pipeline could be one of the issues discussed with U.S. President Obama when Prime Minister Nawaz Sharif visits him on October 23.
> 
> Mubin Saulat, managing director of Interstate Gas Systems Limited, a public sector company, said while most of the 1100km portion of the pipeline in Iran is complete, financing the project for Pakistan was a challenge. But there were other positive developments in the project for instance, the design was completed.
> 
> While the construction should have started by now, he said itnot was not rocket science and if everything falls into place, the project could be completed as scheduled by next year. Its challenging but not impossible, he added.
> 
> He said Pakistan is also looking at its huge gas reserves in Sui in Balochistan and in Sindh and if the investment environment is good then there may not be a need for imported gas. At present the production of gas is 4 BCFD while the demand is six BCFD. This could double in ten to 15 years time. Pakistan uses gas  The bulk of gas usage in Pakistan is for domestic purposes; half of its energy comes from natural gas. The company was also pinning its hopes on the TAPI project which if completed in the next four to five years could deliver 1.3 BCFD.



Pak.


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## Edevelop

ISLAMABAD: As a Chinese company has distanced itself from the Iran-Pakistan (IP) gas pipeline, Pakistan is now looking to Russian energy giant Gazprom for providing necessary financing for more than a billion-rupee project.

*Russia may be the best choice for financing and constructing the pipeline, an official said. Pakistan was willing to accept Gazproms offer to build its side of the pipeline, which would cost about $1.5 billion, he added. Gazprom wants its subsidiaries to engage in the project*

Though Pakistan has placed a request before the Iranian government for providing all financing for the construction of the pipeline on its side of the border, government officials believe it will be difficult for Tehran to make a commitment.

The issue of Gazprom participation in the IP pipeline will feature in a meeting of the Pakistan-Russia joint working group next month, the official said, pointing out Islamabad and Tehran had been going through the power transition process because of which progress on the project had slowed down.

Pakistan and Iran have to sort out technical issues to pave the way for the award of engineering, procurement and construction (EPC) contract to Iranian firm Tadbir Energy. An agreement in this regard has already been inked and will be formally signed after technical issues are addressed.

The two countries have finalised a $500 million loan deal and a high-level meeting between them is expected to be held soon to discuss the possibility of Iran providing all investment required for the pipeline. Petroleum and Natural Resources Minister, Shahid Khaqan Abbasi, is likely to lead Pakistans side in the talks.

A Chinese company, which had offered $500 million for the pipeline, pulled out after Pakistan refused to extend the validity of its bid.

After inviting bids from interested companies, Inter State Gas Systems, a state-owned Chinese company that handles energy import projects, had selected Panyn Chu King Steel Limited of China as a qualified bidder, which would provide pipes at the rate of $1,650 per ton including compressors. The company sought extension in the bid validity period, but the government turned down the request.

As the Chinese company is no more interested in the venture, the government is now banking on Iran and Russia to fund the laying of gas pipeline in Pakistan, a source said.

Iran has already committed to providing $500 million to finance the pipeline, but now the government wants Tehran to increase the credit line. Against the financing, Pakistan will award EPC contract to Iran-designated firm Tadbir Energy.

Under the project, Pakistan will import 750 million cubic feet of gas per day (mmcfd), which can be increased to one billion cubic feet. Of the quantity, the Government of Balochistan seeks 250 mmcfd for consumption at the Gwadar Port, therefore, the central government is expected to go for enhanced supplies from Iran to cater to the needs of the province

IP pipeline: Pakistan looks to Gazprom for project financing &#8211; The Express Tribune


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## Nishan_101

cb4 said:


> ISLAMABAD: As a Chinese company has distanced itself from the Iran-Pakistan (IP) gas pipeline, Pakistan is now looking to Russian energy giant Gazprom for providing necessary financing for more than a billion-rupee project.
> 
> *Russia may be the best choice for financing and constructing the pipeline, an official said. Pakistan was willing to accept Gazproms offer to build its side of the pipeline, which would cost about $1.5 billion, he added. Gazprom wants its subsidiaries to engage in the project*
> 
> Though Pakistan has placed a request before the Iranian government for providing all financing for the construction of the pipeline on its side of the border, government officials believe it will be difficult for Tehran to make a commitment.
> 
> The issue of Gazprom participation in the IP pipeline will feature in a meeting of the Pakistan-Russia joint working group next month, the official said, pointing out Islamabad and Tehran had been going through the power transition process because of which progress on the project had slowed down.
> 
> Pakistan and Iran have to sort out technical issues to pave the way for the award of engineering, procurement and construction (EPC) contract to Iranian firm Tadbir Energy. An agreement in this regard has already been inked and will be formally signed after technical issues are addressed.
> 
> The two countries have finalised a $500 million loan deal and a high-level meeting between them is expected to be held soon to discuss the possibility of Iran providing all investment required for the pipeline. Petroleum and Natural Resources Minister, Shahid Khaqan Abbasi, is likely to lead Pakistans side in the talks.
> 
> A Chinese company, which had offered $500 million for the pipeline, pulled out after Pakistan refused to extend the validity of its bid.
> 
> After inviting bids from interested companies, Inter State Gas Systems, a state-owned Chinese company that handles energy import projects, had selected Panyn Chu King Steel Limited of China as a qualified bidder, which would provide pipes at the rate of $1,650 per ton including compressors. The company sought extension in the bid validity period, but the government turned down the request.
> 
> As the Chinese company is no more interested in the venture, the government is now banking on Iran and Russia to fund the laying of gas pipeline in Pakistan, a source said.
> 
> Iran has already committed to providing $500 million to finance the pipeline, but now the government wants Tehran to increase the credit line. Against the financing, Pakistan will award EPC contract to Iran-designated firm Tadbir Energy.
> 
> Under the project, Pakistan will import 750 million cubic feet of gas per day (mmcfd), which can be increased to one billion cubic feet. Of the quantity, the Government of Balochistan seeks 250 mmcfd for consumption at the Gwadar Port, therefore, the central government is expected to go for enhanced supplies from Iran to cater to the needs of the province
> 
> IP pipeline: Pakistan looks to Gazprom for project financing  The Express Tribune



I think its better for Pakistan to make this pipeline on its own with local people help.


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## NALANDA

Sucker Chinese not interetsed and Russia will be interested.......interesting times ahead.


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## Kompromat

NALANDA said:


> Sucker Chinese not interetsed and Russia will be interested.......interesting times ahead.



Guess they forgot to Ask Hindustan on this matter.

23 September 2013

"_Russian state-owned energy giant Gazprom, or one of its subsidiaries, will "soon" formally contact the Pakistan government on the IP gas pipeline project, with the aim to speed up the much-delayed project, the official said._"

Russia keen to help build Iran-Pakistan gas pipeline - Natural Gas | Platts News Article & Story


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## sinocom

Aeronaut said:


> Guess they forgot to Ask Hindustan on this matter.
> 
> 23 September 2013
> 
> "_Russian state-owned energy giant Gazprom, or one of its subsidiaries, will "soon" formally contact the Pakistan government on the IP gas pipeline project, with the aim to speed up the much-delayed project, the official said._"



They won't .India is playing its chanakya neeti with Russia ,Russia has seen it. Now indians will given the taste of their own medicine by Russia.

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## HIMALYA

sinocom said:


> They won't .India is playing its *chanakya neeti* with Russia ,Russia has seen it. Now indians will given the taste of their own medicine by Russia.



You can't be Chinese for sure, BDeshi by any chance ??


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## Kompromat

HIMALYA said:


> You can't be Chinese for sure, BDeshi by any chance ??



I have two copies of Chanakya Niti Shahstara - does that make me a Bangladeshi?


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## NALANDA

Aeronaut said:


> Guess they forgot to Ask Hindustan on this matter.
> 
> 23 September 2013
> 
> "_Russian state-owned energy giant Gazprom, or one of its subsidiaries, will "soon" formally contact the Pakistan government on the IP gas pipeline project, with the aim to speed up the much-delayed project, the official said._"
> 
> Russia keen to help build Iran-Pakistan gas pipeline - Natural Gas | Platts News Article & Story



Bro I am not doubting the news. I am highlighting the irony. Something fishy.. try smelling. Forget it.


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## Dillinger

Aeronaut said:


> I have two copies of Chanakya Niti Shahstara - does that make me a Bangladeshi?



If you use the term "Chanakiyan/Chanikyan design/plan" constantly or pointedly then YES!  They've put more time into analyzing Chanakya then even we have.

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## Kompromat

NALANDA said:


> Bro I am not doubting the news. I am highlighting the irony. Something fishy.. try smelling. Forget it.



Lets wait and see... Russians will invest for the buck, nothing else.


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## NALANDA

Aeronaut said:


> Lets wait and see... Russians will invest for the buck, nothing else.



I will like Russians to have more leverage on you than the Saudis. Who want the fckun war and deaths. Life is beautiful. Love, live.

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## Dillinger

Aeronaut said:


> Lets wait and see... Russians will invest for the buck, nothing else.



There is nothing fishy about it. From day one the whole brouhaha has been about isolating Iran. Its a damn pipeline, no one with any business sense would oppose it as such unless it was cutting into their own margin. If you are an investor in Iran it behooves you to wish for and facilitate the expansion of Iran's linkages, the more nations invested/dependent on Iran the lesser the chance that someone will try to gag it with sanctions. Our own investments there have suffered because it was easy for the US to sanction Iran as it is contained by an antagonistic neighborhood. The Russians are doing what they are good at in this case, or Gazprom actually, since that is one company which has gone into any place where a buck can be made- from the waters off the coast of Vietnam despite Chinese protests to now perhaps Iran.

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## Kompromat

NALANDA said:


> I will like Russians to have more leverage on you than the Saudis. Who want the fckun war and deaths. Life is beautiful. Love, live.



Saudi leverage is waning due to their own policies. Ever since Faisal who had been a true friend of Pakistan, passed away, the following Suadi govts, have not carried on his legacy and have contributed into the development of negative sentiment in Pakistan. 
Post Soviet Afghan war is the timeline, i'm talking.


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## Dillinger

Aeronaut said:


> Saudi leverage is waning due to their own policies. Ever since Faisal who had been a true friend of Pakistan, passed away, the following Suadi govts, have not carried on his legacy and have contributed into the development of negative sentiment in Pakistan.
> Post Soviet Afghan war is the timeline, i'm talking.



NOT if Tind has to say anything about that and the indoctrinated portion of the masses. Remember, PDF is not an accurate reflection of Pakistan's collective psyche, the amount of denizens who will throw a hissy fit if they see their government or agencies speaking out against KSA or overtly acting them may still boggle you...ergo poor Hype's itchy trigger finger.


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## sinocom

HIMALYA said:


> You can't be Chinese for sure, BDeshi by any chance ??



More indian low IQ logic.Maybe this is why your own policies are so self destructive.

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## HIMALYA

sinocom said:


> More indian low IQ logic.Maybe this is why your own policies are so self destructive.



Ok BDeshi


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## Viking 63

Time to complete this project as soon as possible !!!


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## Kompromat

*Pakistan has right to renegotiate Iran gas price: Shahid*

Khalid MustafaFriday, October 25, 2013

*ISLAMABAD: Pakistan possesses the right to renegotiate the gas price with Iran under the Iran-Pakistan gas pipeline, 12 months before the project comes on stream and both the countries can review the gas price after every three years.*

Federal Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi said this while taking to media persons here on Thursday.He said the existing price of Iranian gas was $12 per MMBTU keeping in view the existing oil prices on the international market. The gas price has been linked with the Japan Crude Cocktail price.

To a question he said the* Iranian gas price that stood at $12 per MMBTU was 150 percent higher than the basket price of domestic gas in Pakistan, but even then it was 25 percent lower than the LNG and 50 percent lower than the diesel price. “We will definitely ask Tehran to review the price of gas under the right that Pakistan has in the gas deal signed between the two sovereign countries.”*

To a question, the minister said he himself came to know through the media that* he was going to Iran this month*; otherwise, there existed no such plan right now.However, Abbasi said the ministry had sought an appropriate time from his Iranian counterpart for a meeting two months back, but so far ‘we are still waiting for the response’. He said *Pakistan was scheduled to have the first blow of Iranian gas by December 2014.*

The minister said this time the country was facing huge gas deficit and the authorities concerned were actively considering all options to handle gas load management including the provision of gas to domestic consumers in the Punjab and KP only at meal time in the winter season (December to February) as the government wanted to cater to the needs of all other categories of consumers.

He also said this time the government will not be able to provide gas to whole domestic sector as the country will face a huge gas deficit in the coming winter season.In case the gas is provided to the domestic sector, then no gas will be available for industrial, commercial and CNG sector during the said three months time.

The minister said the *government was planning to ensure the injection of imported LNG into the country’s gas distribution system by November 2014. In the first year, some 200 mmcfd LNG will be injected into the system and the next year 200 mmcfd more will come. In toto, the government wants to import 2 BCF LNG in the country.*

To a question, the minister said the *second LNG project will come on stream in 2015 and the third in 2016. *About the exploration and production companies’ issues which they are facing in initiating the exploration activities in various blocks allotted to them, the minister said that security and price were the two constraints. The issue of well head price needs to be resolved whereas the issue of security is still there. “Some E&P companies are managing the security issue at a very high cost,” he said.

http://www.thenews.com.pk/Todays-Ne...s-right-to-renegotiate-Iran-gas-price:-Shahid


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## Kompromat

*IP pipeline: SDPI report suggests renegotiating gas price
*
October 24, 2013
USMAN CHEEMA

*






ISLAMABAD - Sustainable Development Policy Institute (SDPI) in its report launched on Wednesday has termed the Iran-Pakistan gas pipeline project financially unviable for the country, taking the plea that the price agreed in the agreement is far high as compared to Iran’s other gas sale agreements made with some other countries.*

The report, which is an independent project of SDPI, has suggested that Pakistan should try to re-negotiate on the price of gas. The aforementioned report has discussed in detail the Pakistan’s natural gas sector, performance of gas-fired thermal power plants and the Iran-Pakistan pipeline project.

The research report, while not negating the importance of IP gas pipeline, has revealed that *Iran had made gas sale contract with China at much lower price but on the other side it is almost 3 times what is decided with Pakistan *so it was needed to renegotiate the price. Presenting the report, Engr Arshad H Abbasi, Energy Advisor SDPI, while speaking at the occasion told that the price was set following the formula in which gas and oil are linked with each other. He gave the example of *Italy and Germany that took their cases to the International Court of Arbitration for delinking of the oil and gas pricing regarding their gas deals and also won the case from the court.*

He clarified that *there was no point for cancellation of the Iran-Pakistan gas pipeline agreement but renegotiation of the gas prices under the prevalent situation was needed under the clause 6.3.2 provided in the agreement.* He further said that SDPI has analysed that power sector of Pakistan and in-depth studies reveal that *buying gas from Iran at much higher rate cannot be declared feasible to be used for electricity generation as it will increase the cost instead of providing relief.*

To substantiate his argument Arshad Abbasi said according to the agreement rate for Pakistan is more than *$15/MMBTU if calculated in relation to the current JCC prices though Iran is supplying gas to Turkmenistan at a rate of $4/MMBTU. SDPI report made with his contribution also suggests that Pakistan also needs to follow global shale gas initiatives to decrease its reliance on the foreign resources.*

While chairing the session, Engr Shamsul Mulk, former chairman WAPDA/Former Chief Minister KPK, drew attention towards the consistent policy failures in the energy sector, which have led to the present high costs of electricity. He also asserted that as the cost of electricity generation from oil or coal sources is much higher, natural gas is crucial for Pakistan’s energy sector. In this scenario, Pakistan needs to import gas but the importance of mutual benefits regarding the IP project cannot be ignored and *Pakistan should not compromise on pricing issues.*

He stressed the need for building more dams and water reservoirs. Quoting the example, Shamsul Mulk said Egypt managed to survive 7 year long drought with the help of proper water storage system of storage over Aswan.
Former Ambassador Shafqat Kakakhel, Chairman Board of Governors SDPI said that the report has been launched with the aim to contribute to the ongoing national dialogue over energy security of Pakistan. There is a dire need of improving transmission and distribution system, developing clean sources of energy, controlling indiscriminate spread of gas connection and maintaining smart meters, he maintained.

He said Pakistan has already witnessed capital flight due to energy crisis Pakistan as a lot of textile units had already shifted to Bangladesh that has also caused massive un-employment in the country. Earlier, in his welcome remarks, Dr Abid Qaiyum Suleri, Executive Director, SDPI highlighted that SDPI’s report on IP project presents an objective analysis of Pakistan’s energy scenario while taking into consideration the financial and economic ramifications of the project. 

He also emphasized the significance of this report and the IP project in the context of US-Pakistan relations as it is believed that Pakistan’s Prime Minister will have discussion about the country’s energy crisis with his US counterpart in Washington. Dr Suleri said that the report gains significance also from the fact that Pakistan will have to consider the international natural gas scenario and the position taken by United States given its diplomatic relations with Iran.

http://www.nation.com.pk/pakistan-n...-sdpi-report-suggests-renegotiating-gas-price

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## Kompromat

*SDPI wants renegotiation of Pak-Iran gas deal

The News*
Monday, 28th Oct 2013

Islamabad/Rawalpindi


The pricing formula for the Iran-Pakistan Gas Pipeline agreed upon in 2009 will be an economic death sentence for Pakistan, says the Sustainable Development Policy Institute (SDPI) report.

It is not too late to renegotiate the price however, as the report recommends to the Government of Pakistan to re-negotiate gas pricing with Iran.In 2007, Pakistan agreed on an average crude oil parity of 45 percent of crude oil parity but this saw a dramatic increase to an 85 percent crude oil parity under the 2009 Gas Sale Purchase Agreement (GSPA) with Iran, according to the report. Pakistan’s Economic Coordination Committee (ECC) on 10th April 2007, approved gas purchase formula, indexed with Japan Customs Cleared Crude (JCC), a crude oil price index. In year 2007, the average gas production price in Pakistan was $2.6 MMBTU.

"According to the agreed formula, the gas rate at the Pakistan border was to be $6.56. $7.06, $7.87 $8.6 per MMBTU and $9.3 in case oil prices increase to $80, $90, $110 and $1200 per barrel, respectively," says Arshad H. Abbasi, lead author of the report.

"The then Petroleum Secretary Finance Mr. Ahmad Waqar had briefed the media about the gas purchase formula."The Inter State Gas Systems (ISGS), representing Pakistan as buyer in this agreement, a company mandated by the Government of Pakistan to develop natural gas import projects and to serve as an interface between the GOP and other national and international agencies for the import and storage of natural gas in Pakistan, agreed to purchase natural gas from Iran at an average crude oil parity of 85 per cent.

"This means the Iranian gas at the Pakistan border would be US$15.38 per MMBTU, US$16.60 with correspondence USD 110 , $120 per barrel, respectively," according to the report.

This is contradictory to international gas pricing trends. The report looked at the Gas Sale Purchase Agreements between Spain and Algeria, United Kingdom and Norway, Spain with Norway and discussed the impact of oil crisis of 2008 on price of natural gas.

In June and July 2008, the crude oil price at Europe Brent Spot touched the figure of USD 132.32 per barrel, the correspondences; pipeline gas price was USD 9.55/MMbtu between Spain and Norway, USD 11.24/MMbtu between UK from Norway and USD 12.07/MMbtu respectively. This established that the then secretary petroleum and his brigade signed the highest percent of crude oil parity.

Pakistan’s team which negotiated the Pakistan-Iran Gas Pipeline Agreement failed to protect the country’s national interests, it seems when looking at this pricing formula.

Historically, Iran and Pakistan share centuries of history and have strong religious and cultural ties. Even Pakistan’s national anthem borrows its poetic vocabulary from Persian that percolates through Urdu. Pakistan is heavily influenced by the rich culture and language of Iran, and the two countries are not only neighbors, but also share brotherly ties. In this regard, it is incumbent upon the Government of Pakistan to renegotiate the price with this fraternal country and safeguard Pakistan’s national interests.

Looking at the report, it seems there needs to be the accountability of those responsible for this pricing agreement that could prove an economic death sentence for Pakistan.If the newly elected NAB chief wants to reinstate the image of the bureau as an effective body, it should rise to the occasion.

http://www.sdpi.org/policy_outreach/news_details1402.html


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## Capt.Popeye

Aeronaut said:


> *SDPI wants renegotiation of Pak-Iran gas deal
> 
> The News*
> Monday, 28th Oct 2013
> 
> Islamabad/Rawalpindi
> 
> 
> The pricing formula for the Iran-Pakistan Gas Pipeline agreed upon in 2009 will be an economic death sentence for Pakistan, says the Sustainable Development Policy Institute (SDPI) report.
> 
> It is not too late to renegotiate the price however, as the report recommends to the Government of Pakistan to re-negotiate gas pricing with Iran.In 2007, Pakistan agreed on an average crude oil parity of 45 percent of crude oil parity but this saw a dramatic increase to an 85 percent crude oil parity under the 2009 Gas Sale Purchase Agreement (GSPA) with Iran, according to the report. Pakistan’s Economic Coordination Committee (ECC) on 10th April 2007, approved gas purchase formula, indexed with Japan Customs Cleared Crude (JCC), a crude oil price index. In year 2007, the average gas production price in Pakistan was $2.6 MMBTU.
> 
> "According to the agreed formula, the gas rate at the Pakistan border was to be $6.56. $7.06, $7.87 $8.6 per MMBTU and $9.3 in case oil prices increase to $80, $90, $110 and $1200 per barrel, respectively," says Arshad H. Abbasi, lead author of the report.
> 
> "The then Petroleum Secretary Finance Mr. Ahmad Waqar had briefed the media about the gas purchase formula."The Inter State Gas Systems (ISGS), representing Pakistan as buyer in this agreement, a company mandated by the Government of Pakistan to develop natural gas import projects and to serve as an interface between the GOP and other national and international agencies for the import and storage of natural gas in Pakistan, agreed to purchase natural gas from Iran at an average crude oil parity of 85 per cent.
> 
> "This means the Iranian gas at the Pakistan border would be US$15.38 per MMBTU, US$16.60 with correspondence USD 110 , $120 per barrel, respectively," according to the report.
> 
> This is contradictory to international gas pricing trends. The report looked at the Gas Sale Purchase Agreements between Spain and Algeria, United Kingdom and Norway, Spain with Norway and discussed the impact of oil crisis of 2008 on price of natural gas.
> 
> In June and July 2008, the crude oil price at Europe Brent Spot touched the figure of USD 132.32 per barrel, the correspondences; pipeline gas price was USD 9.55/MMbtu between Spain and Norway, USD 11.24/MMbtu between UK from Norway and USD 12.07/MMbtu respectively. This established that the then secretary petroleum and his brigade signed the highest percent of crude oil parity.
> 
> Pakistan’s team which negotiated the Pakistan-Iran Gas Pipeline Agreement failed to protect the country’s national interests, it seems when looking at this pricing formula.
> 
> Historically, Iran and Pakistan share centuries of history and have strong religious and cultural ties. Even Pakistan’s national anthem borrows its poetic vocabulary from Persian that percolates through Urdu. Pakistan is heavily influenced by the rich culture and language of Iran, and the two countries are not only neighbors, but also share brotherly ties. In this regard, it is incumbent upon the Government of Pakistan to renegotiate the price with this fraternal country and safeguard Pakistan’s national interests.
> 
> Looking at the report, it seems there needs to be the accountability of those responsible for this pricing agreement that could prove an economic death sentence for Pakistan.If the newly elected NAB chief wants to reinstate the image of the bureau as an effective body, it should rise to the occasion.
> 
> http://www.sdpi.org/policy_outreach/news_details1402.html


 

Many people on this Forum were trumpeting the "IP Pipeline Project" to be some kind of _"Manna from Heaven"_ for energy-starved countries like Pakistan. The above report very significantly and very clearly proves that it was not and cannot be so!
India walked out of the "IPI Pipeline Project" most notably for that reason: that the pricing formula for Iranian Gas was simply uneconomical and unviable. Apart from serious 'security concerns' about the pipeline itself. That stand resulted in the Project getting truncated into the "IP Pipeline" and that stand has got vindicated.

Of course the "nay-sayers" here; like @niaz, @argus_panoptes, @VCheng and a few others were just 'voices in the wilderness'........

Now let us wait for Haq to come up with another _"a-musing"_ blog on this subject.


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## Kompromat

Capt.Popeye said:


> Many people on this Forum were trumpeting the "IP Pipeline Project" to be some kind of _"Manna from Heaven"_ for energy-starved countries like Pakistan. The above report very significantly and very clearly proves that it was not and cannot be so!
> India walked out of the "IPI Pipeline Project" most notably for that reason: that the pricing formula for Iranian Gas was simply uneconomical and unviable. Apart from serious 'security concerns' about the pipeline itself. That stand resulted in the Project getting truncated into the "IP Pipeline" and that stand has got vindicated.
> 
> Of course the "nay-sayers" here; like @niaz, @argus_panoptes, @VCheng and a few others were just 'voices in the wilderness'........
> 
> Now let us wait for Haq to come up with another _"a-musing"_ blog on this subject.




It is very important project for Pakistan's energy woes, the issue of price will be worked out eventually.


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## VCheng

Capt.Popeye said:


> Many people on this Forum were trumpeting the "IP Pipeline Project" to be some kind of _"Manna from Heaven"_ for energy-starved countries like Pakistan. The above report very significantly and very clearly proves that it was not and cannot be so!
> India walked out of the "IPI Pipeline Project" most notably for that reason: that the pricing formula for Iranian Gas was simply uneconomical and unviable. Apart from serious 'security concerns' about the pipeline itself. That stand resulted in the Project getting truncated into the "IP Pipeline" and that stand has got vindicated.
> 
> Of course the "nay-sayers" here; like @niaz, @argus_panoptes, @VCheng and a few others were just 'voices in the wilderness'........
> 
> Now let us wait for Haq to come up with another _"a-musing"_ blog on this subject.



I am not a nay-sayer Sir. I just tell it like I see it. The IP pipeline was, is, and will remain a pipedream, and will not contribute to helping solve our growing energy problems at all.

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## Capt.Popeye

VCheng said:


> I am not a nay-sayer Sir. I just tell it like I see it. The IP pipeline was, is, and will remain a pipedream, and will not contribute to helping solve our growing energy problems at all.


 
My apologies to you, Sir. You and @niaz sahab have always been realists. You had smelt the Coffee long ago. That great Scheme is a non-starter, negotiation or no re-negotiation. Lets see what transpires eventually.


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## Capt.Popeye

Aeronaut said:


> It is very important project for Pakistan's energy woes, the issue of price will be worked out eventually.


 
MAYBE so ?!?

However: on the other side of the border, the "noises" seem to be different:

_*Minister: Iran May Drop Gas Pipeline Project with Pakistan*_
src="http://media.farsnews.com/media/Uploaded/Files/Images/1392/08/08/13920808000665_PhotoI.jpg"]

src="http://www.farsnews.com/shares/img/print.gif"]
TEHRAN (FNA)- Iran's top oil ministry official announced on Wednesday the country is likely to give up on the multi-billion-dollar pipeline project which was due to take its rich gas reserves to energy hungry Pakistan.
"The contract for supplying gas to Pakistan is likely to be annuled," Iranian Oil Minister Bijan Namdar Zanganeh told reporters on the sidelines of a gas forum here in Tehran on Wednesday.

Zanganeh did not state any further details in this regard.

The pipeline is almost complete on the Iranian side long ago, but the Pakistani side, which has long been under the United States' heavy pressures to give up the project, has been short of financing. Pakistan has run into repeated problems to pay for the 780 kilometer (485 mile) section to be built on its side of the border.

In a recent demand, the Islamabad officials demanded Iran to finance their part of the project as well.

Yet, earlier this week Pakistani Foreign Ministry Spokesman Aizaz Chaudhry once again reiterated that Islamabad is resolved to pursue expedition of the pipeline project.

“It (IP) should be seen in the context of acute energy crisis that we have in our country,” said the Pakistani official, adding that his government is pursuing the case to accelerate the implementation process of the project.

Early in October, Pakistani Petroleum and Natural Resources Minister Shahid Khaqan Abbasi asked Iran to finance $2bln in the construction of Pakistan’s side of the IP gas pipeline project.

The Pakistani petroleum minister said preparatory work was complete, but they had asked Iran to provide $2bln for the construction work.

Iran and Pakistan officially inaugurated the construction of the border part of the multi-billion-dollar gas pipeline project in March.

The project kicked off in a ceremony attended by former Iranian President Mahmoud Ahmadinejad and his former Pakistani counterpart Asif Ali Zardari at the two countries' shared border region in Iran's Southeastern city of Chabahar.

The 2700-kilometer long pipeline was to supply gas for Pakistan and India which are suffering a lack of energy sources, but India has evaded talks. In 2011, Iran and Pakistan declared they would finalize the agreement bilaterally if India continued to be absent in the meeting.

Iran has already constructed more than 900 kilometers of the pipeline on its soil.

According to the project proposal, the pipeline will begin from Iran's Assalouyeh Energy Zone in the South and stretch over 1,100 km through Iran. In Pakistan, it will pass through Baluchistan and Sindh but officials now say the route may be changed if China agrees to the project.


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## A1Kaid

> The pipeline is almost complete on the Iranian side long ago, but the Pakistani side, which has long been under the United States' heavy pressures to give up the project, has been short of financing. Pakistan has run into repeated problems to pay for the 780 kilometer (485 mile) section to be built on its side of the border.
> 
> In a recent demand, the Islamabad officials demanded Iran to finance their part of the project as well.




Every Pakistani family living in a city should be taxed immediately, this is despicable.


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## Bhai Zakir

*Pakistan gas contract probably dead, Iran minister says*

DUBAI: Iran will probably abandon a multibillion-dollar contract to supply gas to Pakistan, the semi-official Fars news agency reported Iran's oil minister as saying on Wednesday. 

*"The contract for supplying gas to Pakistan is likely to be annulled," Fars quoted Iranian oil minister Bijan Namdar Zanganeh as saying on the sidelines of a gas forum in Tehran* on Wednesday. He gave no other details, Fars said. 

Under the contract, Iran is supposed to export 21.5 million cubic meters of gas per day to Pakistan from next year. 

Dubbed the "peace pipeline", the $7.5 billion project has faced repeated delays since it was conceived in the 1990s to connect Iran's giant South Pars gas field to Pakistan and India. 

*Iran has already spent hundreds of million or dollars and nearly completed the 900km (560 mile) pipeline to the Pakistan border. *
*
Pakistan, although suffering from severe gas shortages, has made little progress on its part of the line due to a lack of funds and warnings it could be in violation of US sanctions on Iran. *

*Zanganeh's comments came two days after his Pakistani counterpart, Shahid Khaqan Abbasi, was quoted by local media as saying that Pakistan risked being punished by sanctions on Iran if it goes ahead with the much-maligned project. *

Until now Iranian officials have insisted that the project to supply Islamabad will be completed. 

Exasperated by the lack of work across the border, Iran has even offered to build Pakistan's 780km section and provide multi-million dollar loans to help pay for it, according to Iranian media reports. 

In contrast to his predecessor, Zanganeh has been open about the problems faced by Iran's energy sector since he took office in August. 

On October 1 he warned that Iran faced serious gas shortages of its own because of slow progress in raising production from South Pars, the field that is supposed to fill the pipeline. 

India quit the project in 2009, citing costs and security issues, a year after it signed a nuclear deal with Washington. 

Iran sits on the world's largest reserves of gas. But Western sanctions aimed at stopping Iran's disputed nuclear activities have hindered its gas production growth, while the United States has pressured potential buyers to find other suppliers.

http://timesofindia.indiatimes.com/...d-Iran-minister-says/articleshow/24947666.cms

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## Bhai Zakir

I have proved right that this pipeline will never happen and pakistan can't go against the US of A.

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## T90TankGuy

What ever you say about our politicians in India at least they don't bow down to outside pressure like our neighbors do .

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## Chak Bamu

This is just posturing before re-negotiation. Iran wishes to connect with Pakistan and India too. Pakistan wants this too. As I remarked earlier, it is all about price. I am sure both Pakistan and Iran would agree on a more equitable price formula. Iranians have invested heavily in this project. They want the influence and money that would come out of this project.

I love the fact that Pakistan asked Iran to finance our part of the pipeline. Classic...


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## Capt.Popeye

Bhai Zakir said:


> I have proved right that this pipeline will never happen and pakistan can't go against the US of A.


 
But the title of the thread is not very correct,
The Gas Contract is not probably dead.
It was "Gas" and is still a whole load of "Gas".........

Nobody can afford Iranian Gas at the prices being quoted. Least of all an Economy that is in the ICU and which needs the "IMF Ventilator" to stay alive.


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## A.Rafay

jbgt90 said:


> What ever you say about our politicians in India at least they don't bow down to outside pressure like our neighbors do .


haha what a joke! india was the first to bow down under pressure from USA and backed off from IP pipeline, lost interest after US pressure.

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## praveen007

A.Rafay said:


> haha what a joke! india was the first to bow down under pressure from USA and backed off from IP pipeline, lost interest after US pressure.



^^^ no India Was not opted because of USA, but Because of Pakistan,
India wanted a Under Sea Pipe line which is costly but due to pakistanis offering a new Cheep route Iranians forced us to considered this, but the Better thinking privelled and we did not jumped into the Blackmale trap of Pakistan...
we are better without Iranian OIL till its not commingto us from Pakistani Route.

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## A.Rafay

praveen007 said:


> ^^^ no India Was not opted because of USA, but Because of Pakistan,
> India wanted a Under Sea Pipe line which is costly but due to pakistanis offering a new Cheep route Iranians forced us to considered this, but the Better thinking privelled and we did not jumped into the Blackmale trap of Pakistan...
> we are better without Iranian OIL till its not commingto us from Pakistani Route.


US pressure was the only thing which made india opt out from this pipeline, Pakistan rejected US pressure and still is commited to the pipeline but we have difficulty in collecting funds for it because Iran is under sanctions.


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## [Bregs]

This pipeline can be revived if US - Iran talks progress to next level and some agreement on nuclear issue


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## praveen007

A.Rafay said:


> US pressure was the only thing which made india opt out from this pipeline, Pakistan rejected US pressure and still is commited to the pipeline but we have difficulty in collecting funds for it because Iran is under sanctions.


no it was not the pressure of USA but of local opposition and citizens pressur who do not want important things such as GAS to be on terms of country such as pakistan , which do not have good relations with us, so its utter BS to say that we opted out of it because of USA....

Indians are still open to under sea pipeline from Iran, and waiting for the time till Iranians hope on Pakistani assurance of roaping China in this project to fall flat then they will move to again table that project.


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## Bhai Zakir

A.Rafay said:


> *US pressure was the only thing which made india opt out from this pipeline, *Pakistan rejected US pressure and still is commited to the pipeline but we have difficulty in collecting funds for it because Iran is under sanctions.



This is what most of people in pakistan believe and no power on earth or heaven can make them believe otherwise.


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## FarazUSA

[Bregs] said:


> This pipeline can be revived if US - Iran talks progress to next level and some agreement on nuclear issue



The issue is not so much of the US sanctions but also of the absurdly high price of the Iranian gas which we 
are not willing to pay for.


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## aliijaz89

India had Israel to back her, thats why India made contract with Iran for oil despite of US sanctions. Israel is more powerful than US. Pakistan is still afraid of US thanks to our puppet leaders


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## FarazUSA

Chak Bamu said:


> I love the fact that Pakistan asked Iran to finance our part of the pipeline. Classic...



I am not sure whether we should be happy about this, given if we fail to build our end of the pipeline, we have to pay hefty penalty to Iran for failing to meet contractual obligations after December 2014.


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## aliijaz89

FarazUSA said:


> The issue is not so much of the US sanctions but also of the absurdly high price of the Iranian gas which we
> are not willing to pay for.



no dude, it is about US sanctions, that is why Iran is backing off, this is a fact


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## A.Rafay

praveen007 said:


> no it was not the pressure of USA but of local opposition and citizens pressur who do not want important things such as GAS to be on terms of country such as pakistan , which do not have good relations with us, so its utter BS to say that we opted out of it because of USA....
> 
> Indians are still open to under sea pipeline from Iran, and waiting for the time till Iranians hope on Pakistani assurance of roaping China in this project to fall flat then they will move to again table that project.


Its utter Bullshyt to say that you opted out because you didn't want Gas on Pakistani terms, the fact is there were no Pakistan terms, it was all agreed and contracts were set in Iran, transit fee was also determined and everything was set until USA pressurized india to leave ip pipeline, india also cut its oil imports from Iran, your country bowed down to US pressure or else US would have tighten your neck and deny you military equipment that you bought recently.


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## FarazUSA

aliijaz89 said:


> no dude, it is about US sanctions, that is why Iran is backing off, this is a fact



Iran is backing off?? Read the reports properly. They have built their side of the pipeline but we haven't even started yet for obvious reasons.


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## DESERT FIGHTER

LMAO at indian trolls...


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## aliijaz89

FarazUSA said:


> Iran is backing off?? Read the reports properly. They have built their side of the pipeline but we haven't even started yet for obvious reasons.



i mean bcz of US pressure on Pakistan, now they (Iran) are looking to back off, although they were willing n they have done their part, Pakistan is under US pressure more than price issues


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## praveen007

A.Rafay said:


> Its utter Bullshyt to say that you opted out because you didn't want Gas on Pakistani terms, the fact is there were no Pakistan terms, it was all agreed and contracts were set in Iran, transit fee was also determined and everything was set until USA pressurized India to leave ip pipeline, India also cut its oil imports from Iran, your country bowed down to US pressure or else US would have tighten your neck and deny you military equipment that you bought recently.


what ever you believe or not i don't care, i main reason for Indian backing out of this project is the Pakistani factor, and severer pressure of opposition and few of Gov. coalition partners who forced them to opt-out


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## praveen007

_*http://www.cerebralbusiness.com/Oil...4978/1/Iran-Pakistan-India--IPI--Pipeline.htm*_

Iran-Pakistan-India (IPI) Gas Pipeline Project Status Updates (June 2010) The Iran-Pakistan-India gas pipeline (IPI) or the Peace Pipeline is a proposed trans-national natural gas pipeline project, which is expected to help Pakistan and India meet shortfall of gas for both commercial and domestic purposes. On June 5, 2009, Pakistan and Iran have signed an agreement to activate a bilateral gas pipeline project, without India's participation, after 14 years of negotiations over what was initially framed as the Iran-Pakistan-India (IPI) gas pipeline project. However, as of July 2009, in pursuance of the Government (India) decision of February 9, 2005, the Government is pursuing the IPI Gas Pipeline Project with the governments of Iran and Pakistan. The $7.5 billion pipeline project would be completed by 2013. The agreement for the proposed IPI pipeline project was signed between Pakistan Interstate Gas Company (PIGC) and the Iranian National Oil Company (INOC) in Turkey as the agreement would be governed through a third country law. Under the gas sale purchase agreement, Iran would provide 750 million cubic feet of gas per day to Pakistan for the next 25 years, which would generate 5,000 MW of electricity. The project, when initially mooted in 1994, was intended to carry gas from Iran to Pakistan and on to India, traversing a total length of 2,775 km. * New Delhi withdrew from the talks last year over repeated disputes on prices, transit fees and security issues. New Delhi has not yet closed pricing and transit issues with Iran and Pakistan and would not sign a pipeline agreement until its concerns for safe passage of gas through Pakistan is addressed.* On the other hand, China has shown interest in joining the project and last year said it would import about 1 billion cubic feet a day from Pakistan if India opted out. The determination of gas price would be linked with oil prices in the international market but will be less than 25 percent as compared to crude oil prices. Power generation and usage of imported Iranian gas by heavy industries would result in annual saving of up to $1 billion in furnace oil imports, if the crude oil prices are at $50 per barrel. On June 29, 2009, Inter State Gas System (ISGS), established to execute IPI and TAPI gas pipeline projects, signed a controversial gas sale-purchase agreement silently in Istanbul. According to the price accord, Pakistan will purchase Iranian gas on various prices; there is not a fixed rate, which clearly extends great leverage and benefit to Iran to procure a high price for its exported gas. Iran will sell its gas to Pakistan for $7 per MMBTU, if the Japanese Crude Cocktail (JCC) price is $50 per barrel, $9.4 per MMBTU and $13 per MMBTU if the JCC price touches $70 and $100 per barrel respectively. The price does not include infrastructure, security and other costs. This rather costly gas will be used for power generation. The imported gas price would be 10 to 20 times more costly than the gas being extracted from Baluchistan and Sindh by the central government. Pakistan Petroleum Limited is currently paying only 63 cents per MMBTU for Baluchistan’s high heating value gas.


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## A.Rafay

praveen007 said:


> what ever you believe or not i don't care, i main reason for Indian backing out of this project is the Pakistani factor, and severer pressure of opposition and few of Gov. coalition partners who forced them to opt-out


Your govt was ready for the project, there was no Pakistani factor, all was cleared and then suddenly your country lost interest because of USA pressure and sanctions. 
And under sea pipeline is your wet dream! which will never happen.


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## BATMAN

Does any one know the price of the gas Zardari negotiated with his god fathers in Iran?


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## praveen007

it was 


A.Rafay said:


> Your govt was ready for the project, there was no Pakistani factor, all was cleared and then suddenly your country lost interest because of USA pressure and sanctions.
> And under sea pipeline is your wet dream! which will never happen.


all going good till mumbai happed, and this showed us we can neaver trust Pakistan even in our wetest-worst-dream. so yes its all this non state actors who had forced a good barganing opertunity of pakistan to go weaste...


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## Chak Bamu

FarazUSA said:


> I am not sure whether we should be happy about this, given if we fail to build our end of the pipeline, we have to pay hefty penalty to Iran for failing to meet contractual obligations after December 2014.


I think Pakistan would ask Iran to help pay that too... 
The project has hit a snag no doubt. But it is not dead. Let us see what happens, but one thing is for sure: Pakistan can not afford the price of gas as negotiated. I do not know what would be a bigger penalty, paying for gas or paying a fine for not using the gas at that rate.

I am not too worried. Let us see what happens.


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## A.Rafay

praveen007 said:


> it was
> 
> all going good till mumbai happed, and this showed us we can neaver trust Pakistan even in our wetest-worst-dream. so yes its all this non state actors who had forced a good barganing opertunity of pakistan to go weaste...


The deal of gas price and transit was given from iranians, you were to buy gas from Iran not Pakistan, this is not any business opportunity for Pakistan. We don't even want india to join the pipeline, but india lost interest due to US pressure, this pipeline was happening with or without india, the only reason was that no bank or international financial Institute was willing to loan or give finances because they don't deal with countries under sanctions (iran).


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## JanjaWeed

It was never meant to materialize in the first place anyway. Nothing but a naughty act by Zardari govt during the fag-end of their tenure, left behind as an irritant for the incoming govt.


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## praveen007

A.Rafay said:


> The deal of gas price and transit was given from Iranians, you were to buy gas from Iran not Pakistan, this is not any business opportunity for Pakistan. We don't even want India to join the pipeline, but India lost interest due to US pressure, this pipeline was happening with or without India, the only reason was that no bank or international financial Institute was willing to loan or give finances because they don't deal with countries under sanctions (Iran).


i hope you do justice to your Title given by this site.... one of the important factor was the high transition price asked by pakistan and their failure in providing safe passage of gas in all circumstances...

do some research then post...


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## queerbait

A.Rafay said:


> The deal of gas price and transit was given from iranians, you were to buy gas from Iran not Pakistan, this is not any business opportunity for Pakistan. We don't even want india to join the pipeline, but india lost interest due to US pressure, this pipeline was happening with or without india, the only reason was that no bank or international financial Institute was willing to loan or give finances because they don't deal with countries under sanctions (iran).



I will not be so naive to say that U.S pressure didn't influence our decision,because it did.But the only definitive excuse for us to back off was pakistan and the security of the gas pipeline which passes through it.You see indian government is as corrupt as pakistani government, but its maintained by coailation. Thats why any move by india to cow under U.S demands will get them hell from left parties, opposition and hell half of U.P.A allies also including parties which provide outside support like samajwadi party.


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## T90TankGuy

A.Rafay said:


> haha what a joke! india was the first to bow down under pressure from USA and backed off from IP pipeline, lost interest after US pressure.


Refer to post number 6 , he explains it well


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## A.Rafay

jbgt90 said:


> Refer to post number 6 , he explains it well


The real reason is US pressure, The fake reasons given by india Transit fee, safe passage are to cover up their embarrassment.


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## Abu Zolfiqar

there was always back and forth tussle over pricing mechanism; i was under the impression that it had been solved but apparently it hasnt

and of course politics are at play too....if sanctions and threats against our financial institutions didn't exist maybe there'd have been a better chance of this going through.

i dont think its an issue of funding the pipeline itself.....it isn't THAT expensive to do 

whatever it is we do, it should be in our national interests.....if we had a cohesive plan and all institutions were on the same page regarding internal security, then we'd be able to have investment in our shale gas sector which thus far is untapped b/c of lack of infrastructure and know-how


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## Abu Zolfiqar

by the way -- Iran itself is facing some natural gas shortages of its own....hence the uncertainty on pricing

not an issue of supply...South Pars field is among the worlds largest. That is confirmed (unlike the Daultabad field in Turkmanistan -- which West/NATO was trying to push Pak to move towards TAPI)

In Iran vis a vis I-P -- its an issue of capacity


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## MilSpec

very unfortunate for pakistan... Hopefully they can work on some kind of resolution for iranian gas pipeline....


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## Kompromat

@*Capt.Popeye*

Ofcourse, Iran has the option to opt out but would have to pay penalties, write off the 900km pipe they have built already and it would have to forget about the business it hopes to get from Gwadar.


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## Peaceful Civilian

BATMAN said:


> Does any one know the price of the gas Zardari negotiated with his god fathers in Iran?


I heard in a talk show,
In Pakistani currency, 15-20 Rs per unit, So, Final price for household 22-30 Rs per unit .


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## Kompromat

DUBAI/KARACHI: Iran will probably give up on a multi-billion-dollar pipeline project to supply gas to Pakistan, Iran’s oil minister was quoted as saying by the semi-official Fars news agency on Wednesday.

“The contract for supplying gas to Pakistan is likely to be annulled,” Iranian Oil Minister Bijan Namdar Zanganeh told reporters on the sidelines of a gas forum in Tehran on Wednesday.

Zanganeh did not state any further details in this regard.

Iran has almost completed the pipeline to the Pakistan border, but Pakistan has made little progress on laying its leg of the long-planned pipeline, largely due to a lack of funds for the costly project and US pressure to drop it.

Earlier this week, Pakistani Foreign Ministry Spokesman Aizaz Chaudhry reiterated Islamabad’s resolve to pursue the project.

“It (IP) should be seen in the context of acute energy crisis that we have in our country,” said the Pakistani official, adding that his government is pursuing the case to accelerate the implementation process of the project.

However, a report released last week by the Islamabad-based Sustainable Development Policy Institute (SDPI) says the contract with Iran would bring an economic disaster in Pakistan as the gas sold will likely be several times more expensive than the domestic gas currently used.

Early in October, Pakistani Petroleum and Natural Resources Minister Shahid Khaqan Abbasi asked Iran to finance $2 billion in the construction of Pakistan’s side of the IP gas pipeline project. The Pakistani petroleum minister said preparatory work was complete, but they had asked Iran to provide $2 billion for the construction work.

Finance Minister Ishaq Dar asked his Iranian counterpart Ali Tayyebnia at a meeting in Washington this month to “look into the possibility of constructing the Iran-Pakistan pipeline on Pakistani side as well” because international sanctions were preventing Pakistan from raising finances on its own, according to a statement issued by the Pakistan Embassy in Washington.

Last month, Pakistani Prime Minister Nawaz Sharif told the Wall Street Journal that he would proceed with the pipeline plan despite the US objections.

http://dawn.com/news/1052939/iran-likely-to-drop-pakistan-gas-pipeline-project-oil-minister


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## Abu Zolfiqar

Contradictions as usual 

Sharif govt hasn't learned from the previous (disastrous) one

They never learn


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## A1Kaid

Bhai Zakir said:


> I have proved right that this pipeline will never happen and pakistan can't go against the US of A.



It's the financial cost of the pipeline, not US pressure, otherwise Pakistan would drop the project altogether.


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## A1Kaid

Abu Zolfiqar said:


> Contradictions as usual
> 
> Sharif govt hasn't learned from the previous (disastrous) one
> 
> They never learn



Government should impose immediate tax on the population, and allocate funds for this, unless people want to continue with load-shedding they better cough up the money.


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## Capt.Popeye

Aeronaut said:


> Ofcourse, Iran has the option to opt out but would have to pay penalties, write off the 900km pipe they have built already and it would have to forget about the business it hopes to get from Gwadar.


 


First take a good hard look at the Contract before assuming any talk of "penalties". There are some surprises in store there too.

Now; about the pipeline that Iran has constructed (on its soil), that is not a waste at all. That pipeline can be connected down to Chah Bahar as well. Who gains from that? Iran of course.
Gwadar is hardly on Iran's mind.

The real issue is that Pakistan does not have the money to construct its own segment of the pipeline nor is it able to raise the finances from any other source to do so. Hence it now even has to ask Iran to pay for it. Do you think that Iran is out to offer a 'free lunch'?
So there is little scope that Pakistan has to re-negotiate the price formula.

Finally there are the usual overtones of the historical "Shia-Sunni rivalry" (and Iran-Saudi rivalry) that is inter-woven in to this issue.
Actually Pakistan is well meshed into a "Catch-22" situation now.

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## Side-Winder

PM shb ka Visit to US successful to nahi rha?


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## AHMED85

Indian intervention in project was one of delayed cause now this will provide some supportive hand to eliminating all remote failures...


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## Nishan_101

Pakistan should welcome GCC to explore Oil, Gas and Coal in Pakistan and also in the sea which has huge potential rather than buying from IRAN which makes USA angry.....


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## BATMAN

Peaceful Civilian said:


> I heard in a talk show,
> In Pakistani currency, 15-20 Rs per unit, So, Final price for household 22-30 Rs per unit .



Talk shows are only guessing, Anyhow.... talking of devil. I also read, that Turkmeni gas is cheaper than the Iranian gas, do you know how much does that cost?


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## BATMAN

Nishan_101 said:


> Pakistan should welcome GCC to explore Oil, Gas and Coal in Pakistan and also in the sea which has huge potential rather than buying from IRAN which makes USA angry.....



US can't be selective in his sanctions!

Why US not angry with India for buying Iranian oil?

Why Iran sell India on subsidized rates and charge Pakistan 1.5 times more?


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## Fracker

BATMAN said:


> US can't be selective in his sanctions!
> 
> Why US not angry with India for buying Iranian oil?
> 
> Why Iran sell India on subsidized rates and charge Pakistan 1.5 times more?


 
Small correction, Pakistan gets half price oil from Iran. But in 2014 the agreement is going to finish, then Iran has two choices to allow Pakistan to start drilling oil in Baluchistan or extend.

Also, It's not Iran or US, but weakness of our rullers who can't handle external pressure. When we were making Nuclear Bomb, we didn't care about Foreign pressure why now?

Oman has done agreement with Iran, they will put pipeline under sea. And start selling Cheap Irani Oil on standard price to the world. While Pakistan is close neighbor they could do much better but we and our leaders are loosers.


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## BATMAN

Fracker said:


> Small correction, Pakistan gets half price oil from Iran. But in 2014 the agreement is going to finish, then Iran has two choices to allow Pakistan to start drilling oil in Baluchistan or extend.
> 
> Also, It's not Iran or US, but weakness of our rullers who can't handle external pressure. When we were making Nuclear Bomb, we didn't care about Foreign pressure why now?
> 
> Oman has done agreement with Iran, they will put pipeline under sea. And start selling Cheap Irani Oil on standard price to the world. While Pakistan is close neighbor they could do much better but we and our leaders are loosers.



How much oil Pakistan has imported from Iran / year and what grade? Any data available?

Anyhow, links given below goes again your claim of price.

http://www.thenews.com.pk/Todays-Ne...as-right-to-renegotiate-Iran-gas-price-Shahid

http://dawn.com/news/1051432/iran-gas-pipeline-not-in-favour-of-pakistan-report


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## BATMAN

I personally, disagree with the Iranian demand of transferring $1.5 billion upfront, while a Pakistani company do the same welding job at fraction of cost and actually we are expert in this area.


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## Abu Zolfiqar

A1Kaid said:


> Government should impose immediate tax on the population, and allocate funds for this, unless people want to continue with load-shedding they better cough up the money.



tax collection rate has improved considerably -esp. in the Punjab, but a LOT of work ahead.....

load-shedding situation seems to have improved somewhat -- but again -- it's an issue more so to do with software rather than hardware per se


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## Abu Zolfiqar

BATMAN said:


> How much oil Pakistan has imported from Iran / year and what grade? Any data available?
> 
> Anyhow, links given below goes again your claim of price.
> 
> http://www.thenews.com.pk/Todays-Ne...as-right-to-renegotiate-Iran-gas-price-Shahid
> 
> http://dawn.com/news/1051432/iran-gas-pipeline-not-in-favour-of-pakistan-report



on the borderland between Pak-Iran -- the gas makes its way in good amounts every single day of the year - rain or shine.....a lot of diesel and gas smuggling goes on


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## BATMAN

Abu Zolfiqar said:


> on the borderland between Pak-Iran -- the gas makes its way in good amounts every single day of the year - rain or shine.....a lot of diesel and gas smuggling goes on



I have no objection importing from Iran, but it shall be of international grade and shall use proper channel, so that data shall be available.
You know, smuggling is bad for local industry and it creates unemployment, and loss of revenue.


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## BATMAN

Abu Zolfiqar said:


> tax collection rate has improved considerably -esp. in the Punjab, but a LOT of work ahead.....
> 
> load-shedding situation seems to have improved somewhat -- but again -- it's an issue more so to do with software rather than hardware per se



Poor Punjabis are always targeted.


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## Nishan_101

BATMAN said:


> US can't be selective in his sanctions!
> 
> Why US not angry with India for buying Iranian oil?
> 
> Why Iran sell India on subsidized rates and charge Pakistan 1.5 times more?



I agree on local research on gas, oil and coal reserve and utilize it first.... I am sure Pakistan coastal waters have enough oil and gas to fulfill Pakistan 300 years needs or more excluding CNG....


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## BATMAN

Nishan_101 said:


> I agree on local research on gas, oil and coal reserve and utilize it first.... I am sure Pakistan coastal waters have enough oil and gas to fulfill Pakistan 300 years needs or more excluding CNG....



That would be best, but in case we have no resources and we are forced to buy from foreign than cheapest in price and best in quality shall get order. So far Turkmenistan lead in fair deal but Iran have an edge of being holy land.
In any case, Pakistan is rich in human resources, and passing 1.5billion to Iran for lying pipeline, is absolute insanity.


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## haviZsultan

I don't know why we are not letting this pipeline project go through. The Iran Pakistan gas pipeline should go through. We should improve our relations with Iran


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## BATMAN

haviZsultan said:


> I don't know why we are not letting this pipeline project go through. The Iran Pakistan gas pipeline should go through. We should improve our relations with Iran



You asked the same question on every page, read below given links.

http://www.thenews.com.pk/Todays-Ne...as-right-to-renegotiate-Iran-gas-price-Shahid

http://dawn.com/news/1051432/iran-gas-pipeline-not-in-favour-of-pakistan-report


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## SBD-3




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## my2cents

haviZsultan said:


> I don't know why we are not letting this pipeline project go through. The Iran Pakistan gas pipeline should go through. We should improve our relations with Iran





BATMAN said:


> You asked the same question on every page, read below given links.
> http://www.thenews.com.pk/Todays-Ne...as-right-to-renegotiate-Iran-gas-price-Shahid
> http://dawn.com/news/1051432/iran-gas-pipeline-not-in-favour-of-pakistan-report




why don't you guys buy the gas from India?? You will not have any sanctions plus we can negotiate the price which is acceptable for both.


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## SBD-3

I told you guys that settlement of Pak-Iran Gas pipeline will be a huge Pain in the ars of both countries


> New Delhi: Iran is offering free delivery of crude to major
> client India, industry sources said, signalling that tough
> Western sanctions which have slashed its exports in half
> are driving Tehran to increasingly desperate measures to
> keep oil flowing.
> The US has yet to ease the pressure on Asian buyers to
> continue reducing purchases from the Opec member, even
> though Iran and world powers began two days of talks on
> Thursday hoping to reach a “first step” towards ending the
> decade-old standoff over Tehran’s disputed nuclear
> programme.
> The drop in exports is costing Iran billions of dollars in lost
> revenue every month.* Tehran is also unable to repatriate
> most of the money earned from oil it does manage to sell,
> as the sanctions have cut off bank transfer facilities,
> crippling its economy by choking off its biggest revenue
> stream.*
> Despite the near halt of petrodollar payments, Iran is
> resorting to measures such as offering deep discounts on
> oil and now free delivery to India, according to sources who
> requested anonymity because of the sensitivity of the issue.
> Iran’s remaining Indian clients — Mangalore Refinery and
> Petrochemicals Ltd, Essar Oil and Indian Oil Corp — could
> save freight of 70 cents to $1 a barrel on purchases from
> Iran, said one of the sources.
> Tehran is also offering Indian buyers a discount on price if
> refiners raise purchases, the sources said.
> “The more you buy, the more incentives you get. If a refiner
> buys 30 million barrels of Iranian oil in a year then the
> discount translates to 25 cents per barrel,” this source
> added.
> Iran already offers 90 days’ credit on crude sales to Indian
> refiners while most other producers stick to 30 days’ credit.
> While any discount would be attractive as India tries to curb
> an oil import bill that was around $170 billion (Dh624
> billion) in 2012/13, it likely would be wary of raising
> imports just prior to a review of its waiver from US
> sanctions.
> India’s six-month exemption comes up for renewal in early
> December, shortly after top US energy diplomat Carlos
> Pascual’s current visit to New Delhi.
> Sources have said the US is unlikely to allow Iran’s exports
> to rise before a deal is struck with Tehran. Both sides
> involved in the Geneva talks have said a breakthrough was
> far from certain.
> India so far looks well on track to meet US conditions to
> renew its waiver. Daily imports from Iran slid 34 per cent in
> June-September from the six months between December
> 2012 and May 2013, data from trade sources shows.
> India is one of Iran’s few remaining clients along with other
> Asian buyers China, Japan and South Korea.
> In India, there is about $5.3 billion of Iranian oil money held
> up by the sanctions. Of the total, about $1.8 billion is with
> the oil companies who have bought crude from Iran and the
> remainder is held with a bank, sources said.
> *In South Korea, total Iranian money stuck in bank accounts
> is more than $5 billion, a source with direct knowledge of
> the matter said.*
> *In Japan, a similar amount of Iranian oil money has been
> held up since the beginning of the year*, according to
> sources.
> Iran offers to ship crude to India for free | Pakistan Defence


It all seems happy snappy on paper and in news but financial dealing with Iran is a challenge since any bank that involved in financial transactions with Iran can kiss its foreign accounts (NOSTROs in technical terms) goodbye.
Iran-Pakistan Gas Pipeline | News & Discussions | Page 6 | Pakistan Defence


----------



## Abu Zolfiqar

BATMAN said:


> Poor Punjabis are always targeted.



poor Pakistanis are screwed over by one government to the next - due to failed/flawed policies and administration

like i said -- software problem, not hardware 


BATMAN said:


> I have no objection importing from Iran, but it shall be of international grade and shall use proper channel, so that data shall be available.
> You know, smuggling is bad for local industry and it creates unemployment, and loss of revenue.



of course its bad! but its been going on for decades now

i have no objection either - if the pricing is also meeting the international market prices rather than zig-zagging


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## niaz

Natural gas is approximately 90% methane (CH4). No fears about that. But funds have been and will remain perpetual problem for Pakistan.

Iran is currently cash starved due to sanctions. If and when sanctions are lifted; $2-billion wouldn’t be that much of problem. Guess in addition to Israel which country is against lifting of US sanctions against Iran?

Our good friend Saudi Arabia.


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## BATMAN

niaz said:


> Natural gas is approximately 90% methane (CH4). No fears about that. But funds have been and will remain perpetual problem for Pakistan.
> 
> Iran is currently cash starved due to sanctions. If and when sanctions are lifted; $2-billion wouldn’t be that much of problem. Guess in addition to Israel which country is against lifting of US sanctions against Iran?
> 
> Our good friend Saudi Arabia.



Seeking funds is Pakistan's right and Iran shall not blow things out of proportion. Iran should have thought of such modalities 10 years ago, when the discussions started as IPI pipe dream.

I only remember of reading news of seeking Russian financial support, but they never fired back over media.
Than why Iranian officials are making news headlines with falsifications?
Pakistan to seek Russian funds for IP gasline

What if Pakistan has funds available, should we award $500 million contract of pipeline construction to Iran govt. for $2 billion.

We make our own pipes and we have our on engineering companies, if Iran cannot invite our companies to build there side of the line than we shall also invite only local companies.

In the end, prime issue is the price of the gas and transparency in contract. I wonder what is wrong with cheap Turkmenistan gas, is that not CH4? 


haviZsultan said:


> I don't know why we are not letting this pipeline project go through. The Iran Pakistan gas pipeline should go through. We should improve our relations with Iran



I'm the biggest supporter of Iran pipe line, but they shall learn to compete in open market, this black mailing of Islamic regime helping Islamic regime shall end. 


Abu Zolfiqar said:


> poor Pakistanis are screwed over by one government to the next - due to failed/flawed policies and administration
> 
> like i said -- software problem, not hardware
> 
> of course its bad! but its been going on for decades now
> 
> i have no objection either - if the pricing is also meeting the international market prices rather than zig-zagging



Only Punjabis and Pashtoons are the biggest enemies of evil.

Taliban to target Punjab and Sharifs, agencies warn all - thenews.com.pk


----------



## Emmie

*The Iran-Pakistan pipeline: Finding the win-win for Pakistan*



> The government’s strategy on the IP pipeline has been dominated by the issue of financing the Pakistani leg of the pipeline, public pressurestemming out of acute power shortages and a political consensus that demands standing up to the threat of US sanctions. However, an overemphasis on these three factors should not hamper our ability to analyse other important dynamics involved in this project.
> 
> 
> Indeed, the price at which Pakistan would contractually purchase Iranian gas is linked to international crude oil prices. Iran itself imports gas from Turkmenistan at USD 4/MMBtu while the price at which it would export to Pakistan is an exorbitant figure of USD 14/MMBtu. According to a recent report by Sustainable Development Policy Institute (SDPI), this would bring about a “death sentence” for Pakistan’s economy. Thus, if the pipeline project was to continue, Pakistan might end up having surplus supply of gas that consumers and local industry cannot even afford.
> 
> Moreover, Turkey, a current importer of Iranian gas still faces trouble getting adequate supply of gas from Iran during winter months, a time when Iran’s own domestic demand for gas peaks. On October 1, Iranian Oil Minister Bijan Namdar Zanganeh himself raised concern about Iran facing serious gas shortage because of slow progress in raising levels of production from South Pars – the field that is supposed to fill the IP pipeline. If such factors were seriously taken into account, the pipeline agreement would likely have never been signed at the first place.
> 
> In addition to exploring other options from Pakistan’s indigenous resources and renewable energy sector, the question that policymakers should now be asking is how the IP pipeline project can best come to an end so that Pakistan’s international standing is not damaged. It is thus important to explore the various exit strategies Pakistan could adopt and what implications each of them entails.
> 
> First, as Pakistan seems to do with other problems, politicians might be comfortable blaming the potential pullout on US pressure. However, this will not only prove unfavorable for the goal of reviving Pakistani-US ties, but will also seriously hamper the approval ratings of the new Pakistani government.
> 
> The second way out is to blame the previous government. While this option might be easy to digest, it has serious long-term repercussions. Holding the previous administration accountable for the failure creates a precedent in which a new Pakistani government can arbitrarily scrap an international agreement. This in turn creates a lack of trust among potential regional and international partners in Pakistan’s ability to see its agreements through from one administration to another.
> 
> The third possibility is to keep the project lingering. This will attract more energy aid projects from the United States and cheaper oil offers from Saudi Arabia. However, given that Pakistan will be liable to pay a $3 million per day penalty to Iran if its side of the pipeline is not completed by the end of 2014; this option is also not plausible.
> 
> The fourth possibility is to renegotiate the gas prices and the terms of the agreement with Iran. Though this option might be successful in de-linking gas prices from those of international crude oil, it would neither solve the financing issue nor the security concerns in regard to Balochistan.
> 
> These flawed options make the situation seem discouraging, in this conundrum lies a tremendous diplomatic opportunity which if articulated well could provide Pakistan with a win-win outcome.
> 
> Instead of provoking Iran’s anger by scrapping the gas pipeline deal without offering anything against it, Pakistan should replace it with another contract to import more Iranian-produced electricity. Pakistan is already importing Iranian electricity at Rs.10/unit and could enhance its import to the efficient levels of the current transmission capacity. Even increasing this capacity by building more transmission lines is a cheaper and a more viable option than to proceed with the IP pipeline project. Furthermore, it will also be in Iran’s interests to establish more power plants within the country which could be used for both, its domestic production and as well as for importing gas to Pakistan.
> 
> Meanwhile, pulling out of the project will also give Pakistan greater leverage with the United States and Saudi Arabia – the two staunchest opponents of the pipeline. Pakistan could use this leverage to procure favorable oil prices from Saudi Arabia, as well as assurances of heavy investment from the United States and other international partners to exploit shale gas and renewable energy such as solar, biomass, and tidal energy – sectors that are estimated to have tremendous potential. This will also improve Pakistan’s energy diversity and, in so doing, strengthen its energy security in the long run.
> 
> This exit strategy will allow the Pakistani government to save face without having to compromise its relations with either Iran or the United States. Additionally, it will increase the government’s ability to proceed with other necessary yet unpopular steps to put the economy on track. Even Iran will experience no short-term loss as a result of this plan; the 900 km pipeline it has completed on its side of the border is still necessary for its own domestic supply of gas.


----------



## iranigirl2

Iran pipeline contractual obligation, US told

WASHINGTON: As top US and Pakistani officials met here on Tuesday to consider plans for helping Islamabad overcome its energy crisis, Pakistan reminded the Obama administration that it was under “contractual obligations” to complete the Iran gas pipeline project.

Talking to Dawn, Minister for Water and Power Khawaja Muhammad Asif expressed the hope that improved relations between the United States and Iran would also ease American pressures on this issue.

Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi said Pakistan was seeking new technology and investments from the United States to meet its ever increasing energy demands.

Earlier, top US and Pakistani officials and investors began a day-long meeting at Washington’s US Institute for Peace to discuss various proposals for enhancing bilateral cooperation in the energy sector.

“Building the Iran-Pakistan gas pipeline is our contractual liability,” said Khawaja Asif while explaining his government’s position on the controversial project. “If we do not, we will have to pay the penalty for breaching the contract.”

Without naming the US administration, the minister said that those who wanted Pakistan not to build the project “should be ready to pay the fines”.

A US law requires the Obama administration to oppose major foreign investments in Iran’s oil and gas industry. Those who breach the restrictions can face US sanctions.
Pakistan, however, insists that the pipeline project does not breach this law as Iran, and not foreign investors, were building the pipeline.

Last week, the US and Iran came close to reducing their differences which, Mr Asif said, was a good sign for the pipeline project.

The minister also said that Pakistan was committed to building both Dasu and Bhasha dams. “It is not either one or the other. We need both and we will build them with our resources if we do not get outside support,” he said.

Officials who attended the meeting said delegates also considered a proposal for the integration of energy infrastructure in South Asia, which can bring gas and oil from energy-rich to energy-starved nations. This includes encouraging energy cooperation between India and Pakistan and building the Turkmenistan-Afghanistan-Pakistan-India pipeline, which, unlike the Iranian project, enjoys US support.

Carlos Pascual, the US Special Envoy and Coordinator for International Energy Affairs, the two visiting ministers from Pakistan and the US ambassador in Islamabad, Richard Olson, co-chaired Tuesday’s meeting.

“The US and Pakistan have worked closely and on a sustained basis to better develop and diversify Pakistan’s energy sector, a key priority of the Pakistani government and people,” said a US official.

“The US has supported increased energy generation, improved distribution, management, revenue collection, and policy reform,” he added.

Other proposals discussed at the meeting include exploring alternate sources of energy and helping Pakistan develop its capabilities in those fields, including solar energy.

Shahid Khaqan Abbasi told Dawn that Pakistan was seeking technological cooperation from the US to tap its huge reserves of shale gas, which, he said, were the 9th largest in the world.

Iran pipeline contractual obligation, US told - DAWN.COM

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## Ahmad1996

As far I see if the price of gas is not renegotiated then buying gas from Iran would be useless as it would kill the Pakistani economy. Also if we see all the facts then its like Iran is trying to kill our economy. If you don't believe me then check out this. Also it is providing India discounts so why is it not giving us also discounts or just lower the price a little?

Port Of Damaged Goods: India's Dangerous Investment In Iran's Chahabar - Forbes Also instead of buying we should try to discover new reserves we have or develop them. Like these

Huge gas reserves discovered in Sindh, oil in KP

New gas reserves discovered in Sindh | Pakistan Today | Latest news | Breaking news | Pakistan News | World news | Business | Sport and Multimedia

New gas reserves discovered in southern Sindh: ministry | BUSINESS - geo.tv

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## Ahmad1996

Pakistan said to have large reserves of shale gas, oil - DAWN.COM

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## Kompromat

Iran ready to revise gas price for Pakistan - thenews.com.pk


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## Ahmad1996

it ain't the first time bro, last time it said

PressTV - No gas price renegotiation with Pakistan: Iran Oil Minister

Daily Times - Leading News Resource of Pakistan For Pakistan, more twists and turns in long-running Iran gas saga


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## pak avatar

Looking forward to hearing some good news in a couple of weeks on this after Iran nuclear agreement


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## Kompromat




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## monitor12345

The businessmen of Pakistan should put pressure on PML N government to complete this Iran Pak gas pipeline as soon as possible. Otherwise , this government is not going to complete this IP gas pipeline..... The Exports of Businessmen will increase if IP gas pipeline is completed.
What happened to the tiger of PML N ? He can't say face to face to US, that Pakistan needs gas & it will complete Iran Pak gas pipeline ... US will not put sanctions on Pakistan, atleast till NATO supply routes go through Pakistan... Pakistan should utilise this time period till 2014, and complete Pakistani side of IP gas pipeline.... 
If Pakistani side of IP pipeline can be divided into two parts & if each part is given to two different firms, then it is possible to complete Pakistani side of IP pipeline, in one year...


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## SBD-3

*India would likely rejoin IP gas pipeline project*
*Indian Minister of External Affairs Salman Khurshid says his country may rejoin the multi-billion-dollar pipeline projected to carry natural gas from Iran to India via neighboring Pakistan.

“If there is seriousness from all sides, we are ready to import natural gas from Iran and Central Asia through Pakistan,” Khurshid said in New Delhi on Wednesday.

He further noted that such regional projects could create “inter-dependencies”, and would compel both Pakistan and India to have a long-term cooperative relationship.

On May 4, 2013, Khurshid voiced New Delhi’s willingness to reenter negotiations over the IP (Iran-Pakistan) gas pipeline project.

Under the original agreement sealed between Iran and Pakistan, the first Iranian gas delivery to Pakistan should start by December 31, 2014.

The two countries are also responsible for the completion of the pipeline project within their territories, and if Pakistan does not fulfill its obligation to complete the pipeline on its side by the end of 2014, it will have to pay a daily penalty of USD 1 million to Iran until the project is completed. Iran has agreed not to penalize Pakistan for missing the deadline.

Iran has already built its 900-kilometer share of the pipeline on its own soil and is waiting for the 700-kilometer Pakistani side of the pipeline to be built.

The United States has long been threatening Pakistan with economic sanctions if Islamabad goes ahead with the pipeline project. However, the government of Pakistan has made it clear that addressing the country’s longstanding energy problems will be its top priority, and it has no plans to reverse the decision on the completion of the IP pipeline.

The IP pipeline is designed to help Pakistan overcome its growing energy needs at a time when the country of over 180 million people is grappling with serious energy shortages.

Iran and Pakistan signed an agreement over the construction of the IP gas pipeline, also known as the Peace pipeline, in 1995. Later, Iran made a proposal to extend the pipeline from Pakistan into India. In February 1999, an accord between Iran and India was signed.

But due to the US pressure, India withdrew from the project in 2009.

MP/NN
PressTV - India would likely rejoin IP gas pipeline project
*


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## BATMAN

Pipeline project is the most simple project, one could imagine.
SNGPL have done it all the times. Its not a high tech job.
One wonder, why Zardari and Iran wasted all the time.
On the other hand, any gas more the $3/mmbtu and construction contract of the pipeline inside and out side Pakistan should be awarded to Pakistani company, because we will be buyers.
While India should be kept out as its an enemy state.

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## Chak Bamu

It is good if India joins this project. Not only would a part of the cost of this project be borne by India, but also Indians might be able to negotiate a better deal with some benefits accruing to us as well.

Economic integration of South Asia with Iran & possibly beyond can only be a good thing. Economic linkages reduce risk of war and misadventure.

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## Kompromat

Congress will be kicked out, if BJP wins, they won't rejoin the pipe, regardless of how feasible it is for them.

IPI,TAPI,C.Asia corridor. When Indian dependance on Pakistan grows, so will its trust. Maybe we can use that trust to bring a permanent solution to Kashmir etc


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## acid rain

Chak Bamu said:


> It is good if India joins this project. Not only would a part of the cost of this project be borne by India, but also Indians might be able to negotiate a better deal with some benefits accruing to us as well.
> 
> Economic integration of South Asia with Iran & possibly beyond can only be a good thing. Economic linkages reduce risk of war and misadventure.



True...but I am sceptical about this press tv report for want of a better source. With elections round the corner every policy decision is in limbo. A new, possibly a BJP govt may go for it positively. There is also talk of a pipeline via sea linking Iran, Oman to India and this deal is under study.


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## jarves

lol why nobody is reporting this news that India will join IP project?


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## AhsanAmin

Sharif govt puts Iran pipeline 'off the table'. | Page 6

Turkey voices will to expand energy deals with Iran during PM Erdoğan’s visit - ECONOMICS

An excerpt from the article says


> Iranian officials say trade between the countries stood at $22 billion (16.2 billion euros) in 2012, before dipping to $20 billion in 2013. It is expected to reach $30 billion in 2015.
> 
> Iran was Turkey’s third largest export market in 2012. In fact, Iranian media reported, Turkey exported more than 20,000 products to Iran, among them gold and silver.
> 
> The gold trade boomed in 2012 when Ankara was paying for Iranian natural gas and oil imports with the Turkish Lira and Tehran was using those deposits held in Turkey’s state-run Halkbank to buy gold.
> 
> Some of the gold was held inside Turkey at the peak of the trade while some was taken to Dubai by couriers to be sold for foreign currency that was urgently needed by Iran as sanctions increasingly cut off access.



We can easily trade with Iranians on a similar model. And the volume of trade between two countries can easily hit 10-15 billion dollars in a few years. If Iranians were being paid for gas in Pak Rupees(as Turks did in Lira), they would be importing huge value of goods and services from us.

We always get short sold by gifts of a Billion dollars or so, we should instead choose the trade that can achieve monumental levels in a decade and will have far lasting effect on the economy of our country.

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## kamrananvaar

China and Russia signed a momentous deal in May 2014. China agreed to purchase $400 billion of natural gas from Russia. This strategic deal comes as Russia finds itself isolated due to tensions with Ukraine. The deal should help China ease its gas shortages and reduce its dependence on coal.

The Russian government–controlled Gazprom will supply 38 billion cubic meters of gas annually to state owned China National Petroleum Corp., which will cater to almost one-fourth of China’s current annual gas consumption (150 billion cubic meters).

U.S. Treasury Secretary Jacob Lew has appealed to China to desist from taking steps that might be contrary to sanctions. However, the government has recognized China’s need for energy.

Source: BRICS are drifting away from US and European monetary structures

The question is why pakistan is not doing its best and get the gas pipeline completed , usa has to understand pakistans energy needs


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## Sugarcane

kamrananvaar said:


> The question is why pakistan is not doing its best and get the gas pipeline completed , usa has to understand pakistans energy needs



Our diplomats work more for other countries than Pakistan.


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## AZADPAKISTAN2009

lol 400 Billion one go , that is big spending power

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## Kambojaric

kamrananvaar said:


> The question is why pakistan is not doing its best and get the gas pipeline completed , usa has to understand pakistans energy needs



There is no such thing as empathy let alone sympathy in international politics especially when it comes to the US. According to US foreign policy right now it is in their perceived national interest to isolate Iran and any other country associated with it so as to further their own influence in the wider region. Trying to make the US understand "Pakistans energy needs" wont thus feature very high on their list of "important things to do".


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## Pakistani shaheens

*Pakistan says it will buy gas from Iran after two years*





Tehran, Iran: Pakistan will buy gas from Iran after two years. Iran says that Iran Pakistan Gas Pipeline known as IP Gas Pipeline project is not dead yet and Pakistan has asked Iran for two more years to buy gas from Iran.

This was said by Iranian Oil Minister Bijan Namdar Zanganeh on Tuesday while talking to reporters on the sidelines of an economic forum in Tehran.

“The Pakistanis have asked for a two-year extension of the deadline and we have not rejected their demand; some legal negotiations are, of course, needed between the two sides,” Zanganeh added.

“Pakistani government has presented a new proposal to the Iranian Oil Ministry for the settlement of a dispute over the implementation of Iran-Pakistan (IP) gas pipeline project. In their proposals, the Pakistanis have offered different solutions for accelerating the construction of IP pipeline and have demanded action on the issue. The details of the proposal are being studied,” said Majedi.


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## AsianLion

*Paying the price: Gulf eyes Iranian gas as Pakistan delays imports*

By Zafar Bhutta Published: September 1, 2014

*Iran and Oman have sealed a $60-billion agreement under which Muscat will purchase natural gas from Tehran over the next 25 years. PHOTO: STOCK IMAGE
*
ISLAMABAD: The real war between Iran and the United States, which is supported by many European countries, appears to be over energy supply deals. Under some projects, Iran will be connected to European states, Oman, Iraq and Kuwait by sharing its vast energy reserves.

Iran and Oman have sealed a $60-billion agreement under which Muscat will purchase natural gas from Tehran over the next 25 years. The project includes laying a pipeline costing $1 billion across the Gulf.

The agreement was reached during the visit of Iranian President Hassan Rouhani to Muscat in March this year. Around 50% of the gas to be exported to Oman, will be transported onwards to Japan, South Korea and India.

In June, Kuwait became the second country in the Gulf that announced its desire to buy natural gas from Iran, which sits on one of the largest gas reserves in the world.

The eagerness for energy cooperation comes in the backdrop of a historic deal between Iran, the US and five other world powers over the former’s nuclear programme on November 24 last year. Iran accepted strict constraints on the nuclear programme for the first time in a decade in exchange for partial relief from sanctions.

Later in December, Turkish Energy Minister Taner Yildiz said in a statement Iran was planning to lay a pipeline to ship gas to European nations that were interested in imports. If the programme is agreed and the US and other world powers reach some arrangement with Iran, Pakistan’s long-standing hopes of importing Iranian gas may be finally buried.

The Iran-Pakistan (IP) gas pipeline has been stuck for years in the wake of US threat of sanctions. Though Islamabad sought some concessions from the US to clear the way for building the pipeline, but the request was rejected outright.

The deadline – December 2014 – for the start of gas flow under the IP project is approaching fast and Pakistan may face penalties of millions of dollars every day in case of failure to complete its part of the pipeline. Iran has laid its portion of the pipeline.

In place of Iranian gas imports, the US has suggested that Pakistan should consider purchasing liquefied natural gas (LNG) from Qatar and other sources, but it is not a cheaper source of energy.

*Crucial talks in Sept*

The PML-N government, however, is trying to make some arrangements with Iran to win an extension in the deadline and keep the project alive. The two sides are expected to meet next month to discuss some important proposals, which may pacify the Iranian government, which is upset over failure of Islamabad to start work on the project.

Pakistan insists that it could not press ahead with the project due to the lingering threat of sanctions. Now, it has proposed to Tehran to construct the pipeline from the Gwadar Port under the guise of LNG export, which could be connected to Iran after the sanctions are lifted.

According to an official assessment, the gap between demand and supply of gas is widening in Pakistan and production is expected to drop to about half the existing levels by 2020 if new reserves are not tapped and output is not increased from existing fields.

Gas production will fall from the current 4.47 billion cubic feet per day (bcfd) to 2.53 bcfd in 2019-20 if fresh supplies are not injected into the system.

Experts are of the view that Pakistan should tackle the issue strategically and take it up again with US authorities. They ask why Islamabad is being pressurised when other countries are clinching deals with Iran.

These countries have made economic policies part of their foreign policies and Pakistan should also follow them in securing energy supplies. Otherwise, it will lose an opportunity to secure cheaper gas imports and its economy will collapse under the weight of energy shortages.

The writer is a staff correspondent

Published in The Express Tribune, September 1st, 2014.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.


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## SBD-3



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## FaujHistorian

SBD-3 said:


>



Good stance. 

As long as there are Ayatullahs are under sanctions, how could they even sell that gas to Pak. 

How would they get paid in return? Wheat and mangoes and oranges?

How?

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## Norwegian

SBD-3 said:


>




Was it Saudi proposal?

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## Judge

FaujHistorian said:


> Good stance.
> 
> As long as there are Ayatullahs are under sanctions, how could they even sell that gas to Pak.
> 
> How would they get paid in return? Wheat and mangoes and oranges?
> 
> How?


The same way India is paying in billions of dollars for the oil it is buying - despite the sanctions.
The same way China is paying despite the sanctions.

The excuse of sanctions being used by GoP is a lie and a farce. If they wanted to they could have gone ahead with the trade..


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## FaujHistorian

Judge said:


> The same way India is paying in billions of dollars for the oil it is buying - despite the sanctions.
> The same way China is paying despite the sanctions.
> 
> The excuse of sanctions being used by GoP is a lie and a farce. If they wanted to they could have gone ahead with the trade..



you should get a PhD as well, for your utter lack of knowledge on this issue. 

International financing/guarantees are needed to construct the pipeline. 

India and China are not constructing a line or permanent structure. Oil is smuggled in and out of Iran and they get paid via barter trade/hundi. 

This is why India ran away from IPI long long long long time ago. They just made wrong misdirecting statements back then to pacify leftists in India. 

But you will never understand it.

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## Judge

FaujHistorian said:


> you should get a PhD as well, for your utter lack of knowledge on this issue.
> 
> International financing/guarantees are needed to construct the pipeline.
> 
> India and China are not constructing a line or permanent structure. Oil is smuggled in and out of Iran and they get paid via barter trade/hundi.
> 
> This is why India ran away from IPI long long long long time ago. They just made wrong misdirecting statements back then to pacify leftists in India.
> 
> But you will never understand it.


Wrong Fauji.
In this case, your information seems to be incorrect.

International financing is not needed for this pipeline provided Pakistan can cough up resources. Iran has already constructed the pipeline it had to on its side of the border. The pipeline from Iran is literally there at the Pakistani borders.

International guarantees and insurance are _needed_ when there is a third party. In this case there are only two parties.

In this case,
1. the issue is only limited to Pakistan being willing to cough up the money.
2. Pakistan kowtowing to Arab countries wishes along with US.

And as far as India is concerned, we left it for two reasons:
1. US offered us a better deal in exchange for dropping this deal. The NSG exemption post the nuclear deal.
2. Iran was charging an amount FAR higher than what we were willing to pay. Iran was trying to pull a fast one. India is a bulk purchaser of gas. Today we import gas at a lower price in ships than Iran was willing to sell in pipelines!

Both the issues together meant it was more beneficial to discontinue with the deal. *Heck infact, India even told Pakistan that the prices were too high and to go for collective bargaining. *Pakistan refused to see sense and went ahead - perhaps out of its usual instincts to oppose anything India says and stick with one of its numerous 'brother' countries 

This has NOTHING to do with sanctions. India and China have been regularly paying Iran for oil in billions of dollars despite the sanctions.

@Developereo has also posted something on the issue.

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## FaujHistorian

Judge said:


> Wrong Fauji.
> In this case, your information seems to be incorrect.
> 
> International financing is not needed for this pipeline provided Pakistan can cough up resources. ....



you can always cough up personal cash on pretty much everything and anything in the world. 

That is not something new. Heck this is how stone age man did it. 

However in modern times, proper financing buys you extra insurance when it comes to international treaty obligations. 

it is your choice to behave as stone age man in 2014. 

Peace

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## Judge

FaujHistorian said:


> you can always cough up personal cash on pretty much everything and anything in the world.
> 
> That is not something new. Even stone age man did it.
> 
> However in modern times, proper financing buys you extra insurance when it comes to international treaty obligations.
> 
> it is your choice to behave as stone age man in 2014.
> 
> Peace


Considering that the pipeline cost was not big in the first place, unnecessary financing is not required. With the pipeline already sitting there at Pakistani borders it wont take more than a few hundred million dollars for Pakistan to build its own side and connect it to the Sui gas network.

It is abundantly clear that Pakistan is not doing it primarily because of pressure from KSA and US and secondarily because Pakistan has a precarious financial position.

This has literally nothing to do with the sanctions on Iran. That is just a canard being used.

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## FaujHistorian

Judge said:


> Considering that the pipeline cost was not big in the first place, unnecessary financing is not required. With the pipeline already sitting there at Pakistani borders it wont take more than a few hundred million dollars for Pakistan to build its own side and connect it to the Sui gas network.
> 
> It is abundantly clear that Pakistan is not doing it primarily because of pressure from KSA and US and secondarily because Pakistan has a precarious financial position.
> 
> This has literally nothing to do with the sanctions on Iran. That is just a canard being used.



Look we can all spin constipated conspiracy theories on PDF. You will not be the first or even the last. Men in our part of the world love to orgasm by spinning long yarn of conspiracy theories. 

So you forward a conspiracy theory (now that you ran out of cash option)
and come back with USA/KSA name drops (just like so many leftists and Islamists within Pakistan). 

Well same can be said about any other country. you can take it on face value or spin the yarn. 

you decide to be factual or simple minded spinner. 

your choice.

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## Judge

FaujHistorian said:


> Look we can all spin constipated conspiracy theories on PDF. You will not be the first or even the last. Men in our part of the world love to orgasm by spinning long yarn of conspiracy theories.
> 
> So you forward a conspiracy theory (now that you ran out of cash option)
> and come back with USA/KSA name drops (just like so many leftists and Islamists within Pakistan).
> 
> Well same can be said about any other country. you can take it on face value or spin the yarn.
> 
> you decide to be factual or simple minded spinner.
> 
> your choice.


These are not conspiracy theories - they are backed by facts.

1. Which are the two nations who are championing the cause of sanctioning Iran - KSA and USA.
2. Which nation tried to coerce India into stopping IPI - USA
3. Which nation when it failed to coerce, resorted to offering India a better deal than IPI in exchange for dropping IPI - USA

4. Which two nations have the maximum amount of influence on what action Pakistan takes - USA and KSA.
5. Pakistan went ahead and signed the deal despite India refraining from doing so after sitting down for prolonged commercial negotiations which failed.

Are you suggesting that Pakistani officials negotiating with Iran were cut-off from the world and did not know that Iran was under sanctions during the agreement signing b/w Iran and Pakistan?

If not, then how is it that as soon as the GoP changed - from Zardari to Nawaz Sharif, the same 'sanctions' became the reason for literally leaving Iran high and dry and having already built its part of the pipeline?

I never indulge in conspiracy theories Sir. I deal with facts. I also know the extremes that Pakistan goes to regularly to oblige the wishes of US and Saudi Arabia.

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## FaujHistorian

Judge said:


> These are not conspiracy theories - they are backed by facts.
> 
> 1. Which are the two nations who are championing the cause of sanctioning Iran - KSA and USA.
> 2. Which nation tried to coerce India into stopping IPI - USA
> 3. Which nation when it failed to coerce, resorted to offering India a better deal than IPI in exchange for dropping IPI - USA
> 
> 4. Which two nations have the maximum amount of influence on what action Pakistan takes - USA and KSA.
> 5. Pakistan went ahead and signed the deal despite India refraining from doing so after sitting down for prolonged commercial negotiations which failed.
> 
> Are you suggesting that Pakistani officials negotiating with Iran were cut-off from the world and did not know that Iran was under sanctions during the agreement signing b/w Iran and Pakistan?
> 
> If not, then how is it that as soon as the GoP changed - from Zardari to Nawaz Sharif, the same 'sanctions' became the reason for literally leaving Iran high and dry and having already built its part of the pipeline?
> 
> I never indulge in conspiracy theories Sir. I deal with facts. I also know the extremes that Pakistan goes to regularly to oblige the wishes of US and Saudi Arabia.



There are plenty of baboos and politicians who use Iran for narrow political purposes 

And people like you get all antsy believing them.


It is time to use your own head instead of giving one.


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## Judge

FaujHistorian said:


> There are plenty of baboos and politicians who use Iran for narrow political purposes
> 
> And people like you get all antsy believing them.
> 
> 
> It is time to use your own head instead of giving one.


Sir the facts are on the ground. Whether you choose to look at them or not is your decision.

1. Pakistan signed the deal with Iran when sanctions were already present.
2. Pakistan stuck with the deal while Iran was building its side of the pipeline - again while sanctions were already present.
3. Suddenly when the Government in Pakistan changed, Pakistan says 'sanctions' are the reason why it can not go ahead with the deal.

4. This despite the fact that notably India and China are paying billions of dollars to Iran each year as payment for oil.

Whichever way you choose to look at it, there is no escaping these facts.

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## FaujHistorian

Judge said:


> Sir the facts are on the ground. Whether you choose to look at them or not is your decision.
> 
> 1. Pakistan signed the deal with Iran when sanctions were already present.
> 2. Pakistan stuck with the deal while Iran was building its side of the pipeline - again while sanctions were already present.
> 3. Suddenly when the Government in Pakistan changed, Pakistan says 'sanctions' are the reason why it can not go ahead with the deal.
> 
> 4. This despite the fact that notably India and China are paying billions of dollars to Iran each year as payment for oil.
> 
> Whichever way you choose to look at it, there is no escaping these facts.




Ok meray bhai, 

why do we have this "para-ay ke shaadi main Abdullah diwana" syndrome?


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## Judge

FaujHistorian said:


> Ok meray bhai,
> 
> why do we have this "para-ay ke shaadi main Abdullah diwana" syndrome?


Build what Sir?


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## SBD-3

FaujHistorian said:


> Good stance.


It was inevitable.....

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## SBD-3

Standard Chartered was fined by US for handeling Iranian money and HSBC paid 1.96 Billion USD fine for allegedly laundering money for Iran-Sudan.
Standard Chartered Pays $327 Million on U.S.-Iran Transfers - Bloomberg
http://www.ft.com/intl/cms/s/0/643a6c06-42f0-11e2-aa8f-00144feabdc0.html

GoP will settle the Iranian electricity dues by exporting rice in consideration.
Pakistan to export rice, wheat to Iran - thenews.com.pk


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## ArsalanKhan21

Pakistan must build this pipeline for our economic interests. The pressure of USA and Saudi Arabia must be ignored when our long term economic development is at stake.

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## Daneshmand

*Pakistan in dire need of gas from Iran: Minister*







ISLAMABAD: Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi said that the country was in dire need of having gas from neighboring Iran.

In an exclusive interview with IRNA on Saturday, Shahid Khaqan Abbasi said that so far, Pakistan has spent tens of millions of dollars for importing gas from Iran.

'There is no doubt in Pakistan's serious intention for implementing the gas pipeline project with Iran,' he added.

The country's South Western neighbor, Iran, ranks second in the world in natural gas resources, he said, "Having a neighbor with abundant gas reserves is invaluable opportunity for Pakistan" he added.

We will not lose such a valuable chance and it is mulling to construct three or more pipeline projects aiming at import gas from Iran, the minister further added.

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## kamrananvaar

Judge said:


> The same way India is paying in billions of dollars for the oil it is buying - despite the sanctions.
> The same way China is paying despite the sanctions.
> 
> The excuse of sanctions being used by GoP is a lie and a farce. If they wanted to they could have gone ahead with the trade..


My point exactly , tottally agree with u on this one 
pakistan govt as usual is the usual obstacle



Judge said:


> Sir the facts are on the ground. Whether you choose to look at them or not is your decision.
> 
> 1. Pakistan signed the deal with Iran when sanctions were already present.
> 2. Pakistan stuck with the deal while Iran was building its side of the pipeline - again while sanctions were already present.
> 3. Suddenly when the Government in Pakistan changed, Pakistan says 'sanctions' are the reason why it can not go ahead with the deal.
> 
> 4. This despite the fact that notably India and China are paying billions of dollars to Iran each year as payment for oil.
> 
> Whichever way you choose to look at it, there is no escaping these facts.



Really would like to know whats happening if anything on the pipeline front
Also instead of abdullah diwana puray shaddi ki bjai some logical answer from the suppsedly fauji guy????/


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## AZADPAKISTAN2009

With nawaz in charge nothing will materialize

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## sree45

Will Pakistan pay penalty or some sort of extension is being sought?


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## AZADPAKISTAN2009

Yes we will give them money as we did not hold our end of deal, Pakistani government cannot be trusted for any business dealings


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## Daneshmand

AZADPAKISTAN2009 said:


> Yes we will give them money as we did not hold our end of deal, Pakistani government cannot be trusted for any business dealings



I do not think, Iran will take this case to arbitration court so there will be no payment as such. Iran Pakistan relations are not at such a level. At most, Iran will abandon the pipeline for export purposes and uses it as part of its internal gas supply network. But surely, if the deal does not go through, next time, Pakistan wants to have a gas/oil deal, it will have to arrange funding for the construction of Iran's portion of the pipeline as well.


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## B@KH

*China, Pakistan sign gas pipeline deal for Iran imports *

*China has signed a deal with Pakistan to construct a pipeline to take Iran’s gas at border and take it across the country to the southern port of Gwadar.*

The value of the deal – that has been signed during the visit by the Chinese President Xi Jinping to Islamabad – is $2 billion.

It has now officially paved the grounds for the resumption of exports of Iranian natural gas to Pakistan – a project that has been delayed for years. 

Known as the Peace Pipeline, the project is meant to transfer natural gas from Iran’s energy hub of Assaluyeh to Pakistan. Iran has already taken the pipeline to the border with its eastern neighbor. However, Pakistan had so far failed to construct its share of the project due to what officials say has been a lack of funds. 

“We’re building it,” Pakistani Petroleum Minister Shahid Khaqan Abbasi told _The Wall Street Journal_, referring to the pipeline. “The process has started.”

PressTV-China, Pakistan sign gas pipeline deal

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## SOHEIL



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## black-hawk_101

What are rates of OIL & GAS from Iran? And also from turkeminstan n Qatar?


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## Wolfhound

Any New updates?


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## mohsen

Let's see how Pakistan priorities it's interests, Politics or Economy!

Inefficiencies in power sector cost Pakistan $18b | The Express Tribune
ISLAMABAD: Pakistan’s economy sustained $18 billion losses due to inefficiencies of the power sector, finds a new report of the World Bank and urges the policymakers to avoid increasing electricity tariffs as a solution to the sector’s fiscal problems.

“Reforms must go beyond liberalising energy prices to address several aspects of the power sector distortions,” stated the report titled “In the Dark: How Much Do Power Sector Distortions Cost South Asia”. The World Bank launched the report on Wednesday at its local country office and recommended prioritising gas allocation for efficient power generation and adopting tariff mechanisms that encourage performance as solutions to the problem.


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## BATMAN

AZADPAKISTAN2009 said:


> Yes we will give them money as we did not hold our end of deal, Pakistani government cannot be trusted for any business dealings



You would never state this on Chinese and Saudi investments issues.

Subject matter is opposite case of investment, millions were wasted by Pakistan and still counting.


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## Persian Gulf 1906

__ https://twitter.com/i/web/status/1073008202265124864


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