Gas pipeline: Iranian firm offers to completely finance and construct Pakistan’s side

[AhsanAmin]

Bilal. said: ↑
They are ready:
Iran ready to renegotiate gas price with Pakistan - thenews.com.pk
They would like to keep it pegged to oil prices a

Why would they not like to peg it to world prices of gas? This is trying to be oversmart. They need to sell gas, they have really too much of it and nobody buys it from them. We are the ones who are in a position to ask for fair terms and I am sure any apt negotiator should be able to get a reasonable and fair agreement with price of Iranian gas linked to world prices of gas. This seems a bit contrived to calculate BTU values and link them to oil. Why not world prices of gas itself directly. That is how price of every commodity is calculated.

We also need to make sure, like a lot of other people in our nation, our negotiators are not corrupt. If a deal gets done according to unreasonable Iranian conditions, this could be one factor.

 

[VCheng]

Why would they not like to peg it to world prices of gas? This is trying to be oversmart. They need to sell gas, they have really too much of it and nobody buys it from them. We are the ones who are in a position to ask for fair terms and I am sure any apt negotiator should be able to get a reasonable and fair agreement with price of Iranian gas linked to world prices of gas. This seems a bit contrived to calculate BTU values and link them to oil. Why not world prices of gas itself directly. That is how price of every commodity is calculated.

We also need to make sure, like a lot of other people in our nation, our negotiators are not corrupt. If a deal gets done according to unreasonable Iranian conditions, this could be one factor.

When the deal was originally signed, gas prices were high and now, they are expected to crash in the international markets due to the shale reserve revolution. Our negotiators simply could not or did not appreciate that when inking the deal. Now we are stuck with this provision unless the Iranians let it go, but why would they?

 

[Bilal.]

When the deal was originally signed, gas prices were high and now, they are expected to crash in the international markets due to the shale reserve revolution. Our negotiators simply could not or did not appreciate that when inking the deal. Now we are stuck with this provision unless the Iranians let it go, but why would they?

I think they are quite forthcoming for renegotiation. We don't have any indication that they are insisting on pegging it to a percentage of crude price.

 

[Sugarcane]

Everyone wants gas.

The idea is how you gonna pay the hard cash aka Dollars and Euros for it?

Handing over personally over the border

 

[VCheng]

I think they are quite forthcoming for renegotiation. We don't have any indication that they are insisting on pegging it to a percentage of crude price.

The best indication is the language of the existing contract. Let's see what the renegotiated contract's exact wording is before we conclude anything else, if and when it happens.

 

[Viking 63]

When the deal was originally signed, gas prices were high and now, they are expected to crash in the international markets due to the shale reserve revolution. Our negotiators simply could not or did not appreciate that when inking the deal. Now we are stuck with this provision unless the Iranians let it go, but why would they?

I had severe reservations about this deal.(signed by Zardari and clan), now its open that they are so stupid and corrupt or both ~~prices fluctuate why there was no provision for it in the agreement..???

 

[FaujHistorian]

I had severe reservations about this deal.(signed by Zardari and clan), now its open that they are so stupid and corrupt or both ~~prices fluctuate why there was no provision for it in the agreement..???

May be Zardari will eat pipeline just like his clan has eaten every scarp of metal in Pakistan.

But the point with gas prices is that they are coming down fast.

And countries like Qatar are having hard time selling their gas at the price from only 3 years ago.

Discovery of shale gas in USA, tar sands oil in Canada etc. have put a HUGE monkey wrench in the gas and petroleum pricing especially long term pricing that Iran would like Pakistanis to commit to.


Peace

 

[AhsanAmin]

Why would they not like to peg it to world prices of gas? This is trying to be oversmart. They need to sell gas, they have really too much of it and nobody buys it from them. We are the ones who are in a position to ask for fair terms and I am sure any apt negotiator should be able to get a reasonable and fair agreement with price of Iranian gas linked to world prices of gas. This seems a bit contrived to calculate BTU values and link them to oil. Why not world prices of gas itself directly. That is how price of every commodity is calculated.
We also need to make sure, like a lot of other people in our nation, our negotiators are not corrupt. If a deal gets done according to unreasonable Iranian conditions, this could be one factor.
When the deal was originally signed, gas prices were high and now, they are expected to crash in the international markets due to the shale reserve revolution. Our negotiators simply could not or did not appreciate that when inking the deal. Now we are stuck with this provision unless the Iranians let it go, but why would they?

I did not track the strict timings of the deal but gas extraction technology had become advanced quite a bit ago and signs of divergence of Oil and gas prices had started to appear.

Now My professional activities have nothing to do with gas and oil technology or their prices and this fact was known to me so why would our negotiators not know this and sign a stupid agreement. Either they were really incompetent or may be corrupt. The deal is also written in a way that somebody had already sensed this divergence. Which means any of the following combinations
1. Iranians truly oversmarted us
2. Our negotiators were incompetent.
3. Our negotiators were corrupt.

 

[Sugarcane]

1. Iranians truly oversmarted us
2. Our negotiators were incompetent.
3. Our negotiators were corrupt.

Iranian over smarted us because we elected corrupts and idiots who in turn appointed incompetent at key positions in bureaucracy - we simply screwed ourselves big time as always be it negotiation with Iran over gas, India over water or Afghanistan over transit trade.

 

[AhsanAmin]

AhsanAmin said: ↑
1. Iranians truly oversmarted us
2. Our negotiators were incompetent.
3. Our negotiators were corrupt.
Iranian over smarted us because we elected corrupts and idiots who in turn appointed incompetent at key positions in bureaucracy - we simply screwed ourselves big time as always be it negotiation with Iran over gas, India over water or Afghanistan over transit trade.

LoveIcon, I was just trying to state various possibilities. No need to take it to your heart. I criticize my own country everywhere while I deeply love my country. I would like to tell you that I do hold most Iranians in great esteem. I have also been to Tehran for a week. A great city.

 

[Sugarcane]

LoveIcon, I was just trying to state various possibilities. No need to take it to your heart. I criticize my own country everywhere while I deeply love my country. I would like to tell you that I do hold most Iranians in great esteem. I have also been to Tehran for a week. A great city.

I am also proud Pakistani - And yeah Tehran is great city

 

[FaujHistorian]

Time to explore and extract shale gas in Pakistan. In 2-3 years we should get decent amount going.

We don't have money to pay for the gas imports.

But we can always make a deal with shale gas extraction at 50-50 share with American companies.

I say American companies, because they are the ones with tech right now.

We may have to be nice to ask them though.

Because they have plenty of work in USA itself.


peace

 

[A1Kaid]

I can't believe Pakistan actually managed to get the Iranians to pay for the gas-pipeline on the Pakistani side, that is true politics...

 

[AhsanAmin]

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