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Expert assesses prospects of Iran-Pakistan pipeline

Commentary Materials 30 May 2017 10:49 (UTC +04:00)
Iran-Pakistan pipeline project is unlikely to be realized in the near future, Behrooz Abdolvand, managing director of German Consulting company DESB GmbH focusing on Iranian energy market, expert on the Caspian region believes
Expert assesses prospects of Iran-Pakistan pipeline

Baku, Azerbaijan, May 30

By Elena Kosolapova – Trend:

Iran-Pakistan gas pipeline project is unlikely to be realized in the near future, Behrooz Abdolvand, managing director of German Consulting company DESB GmbH focusing on Iranian energy market, expert on the Caspian region believes.

“I don’t think, that Iran-Pakistan pipeline will be finished soon, because Pakistan doesn’ have the financial resources for building the pipeline on its own territory and furthermore it wants purchase the gas on very low priced conditions,” Abdolvand told Trend by email.

The analyst noted that the pipeline would only generate profits in case of its extension to India.
“But India wants to avoid being dependent on Pakistan regarding its gas supplies,” he said.

Abdolvand went on to add that there is also political pressure from US and Saudi Arabia on Pakistan, as the both countries want to prevent the pipeline to be built.

“Only if China decides for building a gas pipeline along the Karakoram Highway to its Xinjiang province as part of its larger ambitions to realize Energy Silk Road, it is possible to implement this project,” the expert said.

Iran-Pakistan gas pipeline project (also called Peace pipeline) worth $7.5 billion has been discussed for years. Iran has already completed the construction of its section of the pipeline from the South Pars field to Pakistani border. Pakistani section of the pipeline is still not ready and Islamabad explains the delay by the lack of funds.

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