Oil and gas: Russian team to arrive soon

Russian oil and gas experts to visit Islamabad on January 25 to discuss cooperation in exploration and joint ventures.

ISLAMABAD: A delegation of Russian oil and gas experts, headed by the Russian petroleum minister, is expected to arrive in Islamabad on January 25 in order to discuss cooperation between the two countries in oil and gas exploration with a view to developing a time-bound roadmap of joint ventures.

Pakistan has already welcomed Russia’s interest in financing and participating in the Turkmenistan, Afghanistan, Pakistan and India (Tapi) gas pipeline project.

It is interested to bid for construction and investment in the $7.6 billion project which is likely to be completed by 2014.

It is expected that Gazprom, a major Russian petroleum company, and its subsidiaries will participate in Pakistan-Iran gas pipeline.

Meanwhile, it has been learnt that President Asif Ali Zardari will visit Moscow in February or early March to sign a number of investment and trade-related agreements with his counterpart President Dmitry Medvedev. “The exact date of the visit, however, is yet to be finalised,” a source said.

Pakistan and Russia had signed a memorandum of understanding (MoU) on cooperation in the oil and gas sector in Moscow on November 19. As part of the agreement, the two have agreed to pursue joint projects and cooperation in the oil and gas sector, including exploration, construction of transnational gas pipelines, training, technology transfer and other areas of mutual interest.

Russia has also shown inclination to enter into joint ventures with the Oil and Gas Development Company Limited (OGDCL) for exploration and development in different areas of Pakistan. Moreover, it has offered the country technological support.

Russian Premier Vladimir Putin, during his meeting with Prime Minister Syed Yousaf Raza Gilani on the sidelines of the 9th Shanghai Cooperation Organisation (SCO) Heads of Government Council (HGC) hosted by Tajikistan in the last week of November said that many Russian companies were looking to increase their presence in the Pakistani market.

On the other hand, Islamabad seeks more Russian involvement in the expansion of Pakistan Steel Mills.

Pakistan had earlier proposed that Russia, Afghanistan, Tajikistan and Pakistan should initiate consultation on quadrilateral transit trade arrangement.

Published in The Express Tribune, January 8^th, 2011.