BAKU, Azerbaijan, February 21. Iran and Pakistan are in talks to resume the gas trade deal they signed in 2009, known as the “Peace Pipeline," said Iran’s Oil Minister Javad Owji, Trend reports.
He made the remark to reporters after a cabinet meeting in Tehran on February 21.
Owji said that the Pakistani side has expressed its interest in restoring the gas trade agreement and that the discussions are still ongoing.
He explained that the deal was not executed after its signing due to the sanctions imposed on Iran and Pakistan’s lack of enthusiasm. Iran did not take any serious measures to implement the deal in the subsequent years. However, both sides are now keen on the gas trade.
Owji added that the plan is to transport gas through pipeline No. 7, which runs from Asaluyeh County in southern Iran to Chabahar County in southeastern Iran, and then to Pakistan. Currently, 120 million cubic meters of gas are delivered daily to the provinces along the pipeline, which has a diameter of 56 inches, and some of it is exported to Pakistan (by tankers from Chabahar County).
The Iranian minister said that Pakistan has declared that it will construct a pipeline from its border with Iran to the port of Gwadar. In this regard, Iran will also take some steps to facilitate the gas trade.
The “Peace Pipeline” contract was signed on June 5, 2009, between the National Iranian Gas Company (NIGC) and Pakistan’s ISGS Company. The contract stipulated that Iran would deliver gas to Pakistan by December 31, 2014. The contract envisaged the export of 8 billion cubic meters of gas per year (21 million cubic meters per day) from Iran to Pakistan.
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