Zardari to ink $7.6bn gas pipeline pact

[Pak123]

ISLAMABAD: President Asif Ali Zardari is scheduled to ink an agreement on the $7.6 billion Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline project with the Turkmen and Afghan heads of state at Ashgabat on December 11.

According to Geo News, Pakistan is all willing to complete the project even India decides to quit. According to Geo News correspondent, Pakistan is geared up to buy additional gas in the event India opts out of the project.

Indian Prime Minister Manmohan Singh will not be at the signing of the "inter-governmental agreement" as he will be on a three-day visit to Belgium to participate in an India-EU summit.

Petroleum Minister Murli Deora will lead the Indian delegation to Ashgabat. The 1640-km TAPI pipeline will pass through volatile Afghan territory to link with Pakistan's national gas network near Multan.

It will terminate at Fazilka in India. The four countries will ink two agreements that will cover operational aspects and give political backing for the proposed pipeline. The TAPI project, conceived in 1995, was initially designed to provide gas from Turkmenistan to Pakistan through Afghanistan.

India was later invited to join the project in 2008. Zardari will hold bilateral meetings with Afghan President Hamid Karzai and Turkmen President Gurbanguly Berdimuhamedov and discuss the strengthening of ties in all spheres.

Petroleum Minister Naveed Qamar will ink an agreement on the "Gas Pipeline Framework Agreement" at Ashgabat on December 10. The pact has already been approved by Pakistan's cabinet. Under the project, Pakistan will get 30 billion cubic meters of gas a year.

It has indicated that in case India backs out of the project at any stage, it will be willing to purchase additional gas. Turkmenistan has the world's fourth largest proven reserves of gas and is already providing gas to Russia and China.

Following the inking of the pacts, international bids will be sought from energy companies to launch the project that is likely to be completed by 2014.

Ashgabat is likely to include the Southern Yoloten-Osman and Dovletabad gas fields in the project to ensure regular supply. Pakistan is expected to offer assistance to develop these gas fields.

Zardari to ink $7.6bn gas pipeline pact - GEO.tv

 

[TechLahore]

Fabulous. Anyone who needs gas east of us, has to sit down and work it out with us.

By the way, progress on the IP pipeline is also going well. Iran has actually accelerated construction.

Daily Times - Leading News Resource of Pakistan

 

[Lankan Ranger]

Indian PM to skip meet on TAPI gas pipeline

Prime Minister Manmohan Singh will skip the summit on the Turkmenistan-Afghanistan- Pakistan-India (TAPI) pipeline at Ashgabat, which will be attended by Pakistan President Asif Ali Zardari and the Presidents of Afghanistan and Turkmenistan.

According to sources, the Prime Minister has asked petroleum minister Murli Deora to lead the official delegation on his behalf to the Turkmenistan capital for the signing of the inter-governmental agreement on the pipeline.

The Prime Minister has expressed his inability to attend the pipeline summit as the date clashes with the India-EU summit in Brussels on December 10-11.

In a sense this will also save the Prime Minister the embarrassment of having to share the table with an unpredictable Zardari who has failed to live up to his promises on being serious about controlling terrorist activities launched against India from Pakistani soil.

According to senior officials, the India-EU summit is more important in view of the expanding economic relations with the European countries and the key role in global economic cooperation that India now plays as a member of the G-20.

Officials claim the clash of dates "is a coincidence". However, it will clearly drive home the message to Islamabad that India has a greater role to play in world affairs both in political and economic terms.

While India does not want to play spoilsport on the TAPI project, it clearly cannot ignore the fact that the pipeline has to pass through hostile Taliban territory in Afghanistan and the rebellious Pashtun-dominated areas of Pakistan.

Apart from the security issue, the price at which the gas is to be supplied and the transition fee that Pakistan will demand have to be sorted out. These aspects are expected to be flagged by Deora when he goes for signing of the inter-governmental agreement aimed to take the pipeline project ahead.

These are critical issues that were involved with the Iran- Pakistan- India pipeline as well and which could not be resolved despite several meetings between the three countries and the heady enthusiasm of former petroleum minister Mani Shankar Aiyar.

Pakistan had insisted on an exorbitant transition fee and could not satisfy India on the security concerns over the pipeline given the open rebellion in its tribal belt.

Security is an all- important issue as apart from the huge investment in the pipeline India will have to invest thousands of crores to set up power plants and fertiliser factories for using the gas, and any disruption in supplies would lead to heavy losses and the entire investment going waste.

Any penalties for disruption of supplies are of little consequence in such a scenario.

According to industry sources, the price of natural gas will pose a tricky issue as large deposits of shale gas discovered in America have emerged as a game changer. With the US not as dependent on gas imports, the prices have come down and could continue to do so in future.

The proposed TAPI pipeline will start from the Dauletabad gas field in southeast Turkmenistan.

After a 145- km stretch through the home country it will cross into Afghanistan to cover 735 km. It will then enter Pakistan and traverse another 800 km before it enters India at Fazilka in Punjab.

PM to skip meet on TAPI gas pipeline: Business : India Today

 

[Lankan Ranger]

How much money will Pakistan get if India joins in?

There will be a monthly fee for transit.

 

[ares]

^^Five-Six hundred million dollars a year as transit fees. over a period of 20 years both undersea pipeline(though initially expensive) and IPI will cost the same as no transit fees are involved.

 

[AgNoStiC MuSliM]

^^Five-Six hundred million dollars a year as transit fees. over a period of 20 years both undersea pipeline(though initially expensive) and IPI will cost the same as no transit fees are involved.

Which sea are you going to go 'under' from Turkmenistan to bypass Pakistan?

 

[TARIQ BN ZIYAAD]

assalam alaikum,

May be he means from qatar or iran
Any how good for pakistan. I hope U.S leave Afghanistan then we might have some peace there.

TARIQ

 

[TechLahore]

Indian PM to skip meet on TAPI gas pipeline

Excellent decision!

 

[ares]

Which sea are you going to go 'under' from Turkmenistan to bypass Pakistan?

As the question was with regards to transit fees... I answered it wrt IPI pipleine, the details of which are known(as details TAPI are not out yet).

 

[Areesh]

As the question was with regards to transit fees... I answered it wrt IPI pipleine, the details of which are known(as details TAPI are not out yet).

But Agnostics question still stands valid. Which sea are you going to go 'under' from Turkmenistan to bypass Pakistan?

^^Five-Six hundred million dollars a year as transit fees. over a period of 20 years both undersea pipeline(though initially expensive) and IPI will cost the same as no transit fees are involved.

 

[ares]

But Agnostics question still stands valid. Which sea are you going to go 'under' from Turkmenistan to bypass Pakistan?

Isn't that question redundant..as I said it "wrt IPI"??

 

[Areesh]

Isn't that question redundant..as I said it "wrt IPI"??

Check your post you wrote both undersea pipelines.

 

[MM_Haider]

As far as I am aware, even the basic engineering, FEED, has not been started yet for the IP Gas Pipeline. ILF , a German Engineeering Consultants Firm, was likely to be awarded the FEED for the project from Abu Dhabi but due to unavoidable circumstances it has been put on halt. Soembody was mentioning above that Iran has done alot construction in this regard, I really doubt that.

I personally know this pipeline business as I have been involved in pipeline pojects engineering peronally, PARCO, WOPP in pakistan and ADCOP in UAE. So just inking the project something and actual execution is a different scenario.

Anyways hope for the best for Pakistan. One last thing, Pakistan must expedite the exploration gas reserves in the country instead of signing such deals.

 

[ares]

Check your post you wrote both undersea pipelines.

Gosh!! put on your reading glasses or learn English. I said " both undersea pipeline(no 's') and IPI will cost the same as no transit fees are involved."

Obviously I am refering to IPI and the undersea pipeline which will be built in lieu of it, if 'P' is removed from IPI.

 

[Gazzi]

Brilliant news...........any time we have a disagreement.......PULL THE PLUG for India.........lol