Iran ready for gas deal with Pakistan, without India !

[Cheetah786]

ISLAMABAD, Oct 10: Prime Minister Syed Yousuf Raza Gilani on Friday called upon Iran to consider provision of crude oil for at least one year on the deferred payment basis to help Pakistan tide over its current economic difficulties.

Talking to Iranian Foreign Minister Manouchehr Mottaki at the Prime Minister’s House, Mr Gilani said the two countries should initiate work on the Iran-Pakistan-India (IPI) gas pipeline project bilaterally, without waiting for India.

Tehran had agreed to consider the request for deferred payments, Foreign Minister Shah Mehmood Qureshi said after talks with his Iranian counterpart. “The Iranian foreign minister has assured us that Tehran will consider our request. If that is done and Pakistan gets this facility it would help stabilise the situation and ease the balance of payments.”

During his meeting with Mr Mottaki, the prime minister proposed the setting up of a financing company for the IPI project. An agreement on gas sales and purchase might be signed as early as possible, he added.

Referring to economic relations between Pakistan and Iran, the prime minister regretted that despite existence of an institutional framework, bilateral economic and trade relations remained far below potential.

Mr Mottaki stressed the need for strengthening cooperation in defence, intelligence, trade, investment and culture. He said the stability and security of Iran and Pakistan were interlinked.

The foreign minister extended an invitation by Iran’s First Vice-president Pervaiz Davoodi to Mr Gilani for visiting Tehran.

“Mr Davoodi desires to host the prime minister in the Iranian province of Gilan, from where Mr Gilani’s ancestors migrated to the Sub-continent.” The meeting was attended, among others, by Foreign Minister Qureshi and Iran’s ambassador to Pakistan.

TALKS BETWEEN FMS: Although there was no breakthrough during talks between the two foreign ministers, Shah Mehmood Qureshi and Manouchehr Mottaki told journalists that Tehran and Islamabad were ready to proceed with the project on a bilateral basis.

“Iran and Pakistan have expressed desire to finalise the gas pipeline project and exporting gas bilaterally. Whenever the third party (India) is ready it can join us. This will help us avoid wastage of further time,” Mr Mottaki told a joint press conference at the Foreign Office.

Mr Qureshi said: “Keeping in view energy requirements of Pakistan and the energy deficiency situation in the country, we feel that it (the project) should not be delayed any further.”.

“India is welcome to join this project at a subsequent stage at their convenience.”

So far negotiations on the 2,775-kilometre project, estimated to cost $7.5 billion, have focused on all three countries __ Pakistan, Iran and India.

The talks are in limbo for the past 18 months because of differences between Islamabad and New Delhi over transit fee and transportation tariff to be charged by Pakistan for delivering the Iranian gas to India.

Talks held over the past few months, including an airdash by Iranian President Mahmoud Ahmadinejad to Islamabad and New Delhi, were in vain.

Pakistan and Iran, too, have to iron out their differences over the project. However, it appeared at the press conference that the two sides did not want the pricing issue to hold up progress.

“I’m happy to report to you that four out of five issues about the project have been resolved between Iran and Pakistan. There is one issue of pricing that is still being discussed and we have decided to meet and resolve it at the earliest stage so that we can push this project forward,” Foreign Minister Shah Mehmood Qureshi said.

ELECTRICITY: Iran offered to provide 1000MW of electricity to Pakistan. The Iranian side also expressed interest in establishing power generation units in Pakistan.

Pakistan has already signed an MOU to purchase 1000MW from Iran. The new offer is in addition to that.

For providing electricity to Pakistan, Mr Mottaki said, Iran was ready to export energy to Pakistan or establish a power station within Pakistan.

SECURITY MATTERS: The two sides discussed the issue of peace along their border, which has been recently plagued with security problems.

“We discussed the issue of protecting the border so that people could travel without fear,” the Iranian foreign minister said.

Tehran and Islamabad agreed to hold talks on the situation in Afghanistan. Mr Qureshi would soon travel to Tehran for the purpose.

NA SPEAKER: In her meeting with the Iranian foreign minister, National Assembly Speaker Dr Fehmida Mirza said Pakistan and Iran shared views and perceptions on most regional and global issues.

She said the Ummah could face challenges only through unity.

She said there were misperceptions in the West about Islam and urged ulema and media to play their role to dispel the misgivings.

Mr Mottaki said the Muslim world needed to join hands to combat terrorism and “Islam-phobia” in the west.
Oil on deferred payment sought: PM asks Iran to start pipeline work -DAWN - Top Stories; October 11, 2008

 

[IceCold]

Finally after a long break something is out of some encouragement by the GOP. We will have to go ahead with Iran on this one alone. India is not going to join it. I wonder what happened about China. During Musharraf visit to China, chinese also expressed interest after Pakistan proposed this, if this option could be exercised what else would we want then that.

 

[kallu_be]

China is already constructing pipelines from central asia which is more secure and economically feasible. Laying pipeline through pakistan is not an economically feasible solution.

 

[SherdiL!]

Pakistan has proposed to Iran to buy the Indian share of gas from a proposed $7.5 billion pipeline because India appears to have lost interest in the project after signing a civilian nuclear deal with the US.
Sources in the ministry of petroleum told Wednesday that a team of energy experts led by Adviser to the Prime Minister on Petroleum and Natural Resources Dr Asim Hussain would go to Iran on Monday on a two-day visit to discuss the deal.

The sources said the team was visiting Iran on the directives of President Asif Ali Zardari and it had thoroughly discussed the deal with him and Prime Minister Yousaf Raza Gilani.

They said that the delegation would try to persuade the Iranian authorities to sign the agreement in the next few months even if India stayed out.

“We will try our best to convince the Iranian side of the need for starting work on the project as early as possible,” an official in the ministry told.

Iran recently said that it planned to link the gas prices with that of crude oil in the Gulf market, with a ratio of 80 to 100 -- meaning that if a barrel of crude oil is priced at $100 in the international market, Iran will sell one million cubic feet of gas at $80. Also, the gas prices will not remain fixed but will fluctuate in accordance with the oil price.

Pakistan, however, wants the gas priced at half of the crude price.

“We are pursuing a proposal of 100 to 50,” the ministry official said.

Iran has said that after the completion of the project, it will fix gas price at around $10 to $12 per British thermal unit compared to $4 offered by Pakistan and India.

The sources said Iran still wanted India to be part of the deal to counter growing US influence on its old ally in the energy sector.

Pakistan offers to buy India?s share of IPI gas | Pakistan Daily


LOL @ India

 

[cooldude]

Pakistan has proposed to Iran to buy the Indian share of gas from a proposed $7.5 billion pipeline because India appears to have lost interest in the project after signing a civilian nuclear deal with the US.
Sources in the ministry of petroleum told Wednesday that a team of energy experts led by Adviser to the Prime Minister on Petroleum and Natural Resources Dr Asim Hussain would go to Iran on Monday on a two-day visit to discuss the deal.

The sources said the team was visiting Iran on the directives of President Asif Ali Zardari and it had thoroughly discussed the deal with him and Prime Minister Yousaf Raza Gilani.

They said that the delegation would try to persuade the Iranian authorities to sign the agreement in the next few months even if India stayed out.

“We will try our best to convince the Iranian side of the need for starting work on the project as early as possible,” an official in the ministry told.

Iran recently said that it planned to link the gas prices with that of crude oil in the Gulf market, with a ratio of 80 to 100 -- meaning that if a barrel of crude oil is priced at $100 in the international market, Iran will sell one million cubic feet of gas at $80. Also, the gas prices will not remain fixed but will fluctuate in accordance with the oil price.

Pakistan, however, wants the gas priced at half of the crude price.

“We are pursuing a proposal of 100 to 50,” the ministry official said.

Iran has said that after the completion of the project, it will fix gas price at around $10 to $12 per British thermal unit compared to $4 offered by Pakistan and India.

The sources said Iran still wanted India to be part of the deal to counter growing US influence on its old ally in the energy sector.

Pakistan offers to buy India?s share of IPI gas | Pakistan Daily


LOL @ India

India wanted to get out of IPI but couldn't do it without showing strong american influence. Seems like Pakistan have proved a way out. Politically though it is good move for India, strategically and economically it is loss.

 

[SherdiL!]

India wanted to get out of IPI but couldn't do it without showing strong american influence. Seems like Pakistan have proved a way out. Politically though it is good move for India, strategically and economically it is loss.

sure it was good for the ecnomic move while 52& of the people live below poverty .....haha India would say anything just to prove thier positive geez

 

[cooldude]

sure it was good for the ecnomic move while 52& of the people live below poverty .....haha India would say anything just to prove thier positive geez

I am not saying it`s positive, Positive would would have been good Indian relations with Iran and America. II (Iran - India) gas line through sea. I am just presenting the positives and negatives of what is happening from Indian perspective.

 

[batmannow]

GEO news

Iran ready for gas deal with Pakistan, without India
Updated at: 0054 PST, Wednesday, December 31, 2008

TEHRAN: Iran will sign a deal with Pakistan to sell gas to the neighbouring country, even if India, a third party to the deal, walked out, a news agency reported Iran's oil minister as saying on Monday.
India stayed away from talks in Tehran on a proposed $7 billion pipeline in September, saying it wanted to agree transit costs through Pakistan on a bilateral basis first.
Iran Oil Minister Gholamhossein Nozari said a delegation from Pakistan had arrived in Tehran for two days.

"Iran will sign a deal with Pakistan, if India does not take part in the project," agency quoted Nozari as saying.

In July, Iran said India and Pakistan had accepted Iran's demand for gas price reviews based on market changes, denying reports by some Indian newspapers that the pipeline talks had failed after Iran demanded a review every three years.

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.

Iran said it has completed 18 percent of the work for the pipeline to bring gas from its South Pars field to the Iran-Pakistan border.

Pakistan has yet to begin work on a 1,000 km (625 mile) stretch of the pipeline to link Iran with India.
Iran has the world's second-largest gas reserves after Russia. But sanctions, politics and construction delays have slowed its gas development, and analysts say Iran is unlikely to become a major exporter for a decade.

 

[ahmeddsid]

I am against the Pipeline, India and Pakistan are not Mature enough for such a Relationship! It will end up as a disaster.

 

[H2O3C4Nitrogen]

Its good to have Irani OIL and Gas
We are desperet abt our energy requirements and Iran is place from where we can get the fastest solution of our growing Energy crises
As for India they have got US Nuclear deal.
why the hel they would put their hands in the controvertial gaspipeline deal .
I m sure US was doing its best to stop that deal and India was a big market for the Iranians .
Pulling India out of the deal is considered a mojor success in US .
However US could have done same for Pakistan But suprisingly they didnt....
So Pakistan was Left no choice to make a deal with Iran. I am happy abt it and i beleive this deal will be of great strtegick importance and will promote brotherly ties btw Tehran and Islamabad.

But the US influence in this country's Political sphere cannot be rulled out . US will never want this deal to go smoothely and i believe the will play their dirty tricks and i guess neithe the Indians will want Pakistan to Nurture Economically.
A milstone deal for Pakistan ...

 

[TOPGUN]

I am against the Pipeline, India and Pakistan are not Mature enough for such a Relationship! It will end up as a disaster.

Ahmeddsid the only one that is not matture in any sense is your country furthermore u cant speak for Pak since u are not a Pakistani !! we need oil period get it ? and its very good news mashallah i hope it comes through now finally without India !! no offence to you bro

 

[batmannow]

Gas prices up by 7.5pc, CNG to cost 10pc more
dawnnews
By Sher Baz Khan

ISLAMABAD, Dec 31: The government on Wednesday approved an average increase of 7.5 per cent in gas prices, but rejected a proposal by the Oil and Gas Regulatory Authority to reduce petrol prices.

The price of compressed natural gas (CNG) has been jacked up by 10 per cent, a move against which the CNG association has planned countrywide strikes.

Independent power producers (IPPs) will now have to pay 17 per cent more for the gas they consume.
The increased rates will come into effect from Thursday (Jan 1, 2009) and are based on the “price of crude oil in the international market over the past six months”.

A notification will be issued shortly, official sources said.

The rate of gas consumed by captive power plants, industrial consumers, fertiliser companies’ fuel plants and Wapda power plants has been raised by three per cent.

The tariff for domestic consumers in the first three slabs (up to 200 million btus per month) will be increased by three per cent.

The gas price for other domestic consumers, cement industry and commercial consumers has been hiked by six per cent.

The SSGC and SNGPL had sought a 40 per cent increase. The proposed increases have been forwarded to Prime Minister Yousuf Raza Gillani for approval.

The Pakistan People’s Party (PPP) lawmakers had assured the parliament a couple of weeks ago that gas prices would not be increased.

Sources told Dawn that Ogra had mooted a reduction in petrol price by Rs5, diesel (Rs7) and kerosene oil (Rs6) in line with the trend in the international market.

The government is earning Rs27.32 to Rs28.15 a litre through the petroleum development levy on petrol, Rs37.43 to Rs38.35 a litre on HOBC, Rs12.95 a litre on kerosene and Rs12.1 on diesel.


this is what we are dealing right now!
having IRAN as our new "Strategic-partner", is the need of hour, surly its about time that, pakistan should build some kind of "alliance" with the regional economical & defence powers, to counter the threats like INDIA+ALLIES! it would be very wise that if , pakistan tries to build some healthy relationship with "russia", instead of "so -called brotherly" countries?

 

[IceCold]

having IRAN as our new "Strategic-partner", is the need of hour, surly its about time that, pakistan should build some kind of "alliance" with the regional economical & defence powers, to counter the threats like INDIA+ALLIES! it would be very wise that if , pakistan tries to build some healthy relationship with "russia", instead of "so -called brotherly" countries?

I agree with this adding that we need to get out of this Ummah philosophy, the concept is long gone, and the so called brotherly relations are all well in talks and nothing more. Pakistan does need to move out from this nexus and explore its options with the regional players.
I think we need to consider the example of India who's trying its utmost to develop ties with China, they are making movies, conducting anti terror excerises, why cant we do the same as well with Russia. We need to move ahead in this field or we will be left nowhere.

 

[MAX786]

I agree with this adding that we need to get out of this Ummah philosophy, the concept is long gone, and the so called brotherly relations are all well in talks and nothing more. Pakistan does need to move out from this nexus and explore its options with the regional players.
I think we need to consider the example of India who's trying its utmost to develop ties with China, they are making movies, conducting anti terror excerises, why cant we do the same as well with Russia. We need to move ahead in this field or we will be left nowhere.

Developing alliance with someone like Russia is quite difficult task as far as serving of national interest are concerned. Since already Pak is considered as a long term friend of US and providing them with all necessary help to thrawt back terrorism in Afganistan. Under such cirucmstances, Russia wont' allow much endorsement to have some ties with Pak since it is highly dependent upon US for its various needs.

 

[IceCold]

Developing alliance with someone like Russia is quite difficult task as far as serving of national interest are concerned. Since already Pak is considered as a long term friend of US and providing them with all necessary help to thrawt back terrorism in Afganistan. Under such cirucmstances, Russia wont' allow much endorsement to have some ties with Pak since it is highly dependent upon US for its various needs.

What we have with the US is related to WOT and not as a geostrategic partnership. Pakistan already has moved away from the US nexus interms of strategic interests. Leaving rest aside, if you only consider the IP project, you will understand what i mean.
Also the sale of RD-93 to Pakistan and the Russian PM visiting Pakistan, that is a signal of ice breaking between the two sides.