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Minister: Iran May Drop Gas Pipeline Project with Pakistan

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Falon

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Minister: Iran May Drop Gas Pipeline Project with Pakistan
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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.
 
What's the point of Iran spending a billion dollars to complete the pipeline on their side only? It will be of no use to man or beast if they cancel the pipeline project at this stage.

Money gone down the drain? I feel this is only a temporary hiccup as there's too much at stake here.
 
What's the point of Iran spending a billion dollars to complete the pipeline on their side only? It will be of no use to man or beast if they cancel the pipeline project at this stage.

Money gone down the drain? I feel this is only a temporary hiccup as there's too much at stake here.

i also hope pakistan will be able to get their facts straight about the issue . weather they agree with the terms after all these yrs , or not.

there is no need for cat and mouse play
 
What's the point of Iran spending a billion dollars to complete the pipeline on their side only? It will be of no use to man or beast if they cancel the pipeline project at this stage.

Money gone down the drain? I feel this is only a temporary hiccup as there's too much at stake here.
with this pipeline we also provided gas for our eastern provinces, so not much lose for us.
 
with this pipeline we also provided gas for our eastern provinces, so not much lose for us.

If it doesn't serve Iran's interests then the cancellation of this project might not be a bad idea.
 
It will be in the interest of Iran to keep the project on, Pak may not be able to complete the pipeline in given time, so some free funds coming in.
 
Good. We can get it from somewhere else.
 
Good. We can get it from somewhere else.
Where? CAS?
If you are referring to LNG, then we need to have a terminal first. PPP government has already done quite a bit of justice with Mush plan on it.
 
Good. We can get it from somewhere else.

PERFECT !! but do it fast , before the winter ......... rough yrs ahead

It will be in the interest of Iran to keep the project on, Pak may not be able to complete the pipeline in given time, so some free funds coming in.

the amount of money that iran can bring home from this project , aint gonna be a boost to our economy whatsoever ,
we wanted to help pakistan and get some money at the same time

our economy is much more vast that this small amounts of money
 
What is the negotiated price of Gas?
 
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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