Pakistani ambassador: Islamabad to continue with peace pipeline project

Oil&Gas Materials 9 February 2014 11:03 (UTC +04:00)

Baku, Azerbaijan, Feb. 9

By Rahim Zamanov - Trend:

Pakistan's ambassador to Iran Noor Muhammad Jadmani rejected western media outlets' reports on Islamabad's unwillingness to continue with the peace pipeline project, Iran's ISNA News Agency reported on Feb. 9.

"Islamabad faces some obstacles in implementing the project, but it feels obliged to finish it," he said.

"Iran and Pakistan have deep and close relations, and our goal is to enhance these relations," he added.

Iran rejected Pakistan's request for supplying gas at discount rate in December.

The request was made by Pakistan's Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi during his visit to Tehran.

Reducing the price of the gas to be delivered by the Iran-Pakistan pipeline, as well as extending time for building Pakistan's side of the pipeline, and financing about $500 million by Iran were suggested by Khaqan Abbasi in a meeting with Iranian officials.

He said that Pakistan is committed to building a multi-billion-dollar gas pipeline from neighboring Iran, but the threat of international sanctions makes the task difficult.

Iranian Oil Minister Bijan Namdar Zanganeh had previously said that he is not optimistic about Tehran's gas exports to Islamabad.

APP on Nov. 28 quoted Shahid Khaqan Abbasi as saying that Pakistan will find an opportunity to complete the proposed gas pipeline project within a year.

"I think trade restrictions will be lifted on Iran following agreement between Iran and world powers," he said.

Abbasi said that Pakistan has intensified its efforts to realize the Iran-Pakistan gas pipeline project.

The peace pipeline project was originally initiated between Iran and Pakistan. Later India expressed an interested in joining this project.

The Iran-Pakistan gas pipeline projected to cost $1.2-1.5 billion, would enable the export of 21.5 million cubic meters of Iranian natural gas to Pakistan on a daily basis.