Gas pipeline project: Iran, Pakistan agree to speed up construction

Iran offers to pay for the construction of pipeline on the Pakistani side of the project.

ISLAMABAD:
Iran and Pakistan agreed to speed up the gas pipeline project in a meeting in Islamabad, Express 24/7 reported on Thursday.

Iran also offered to pay for the construction of pipeline on the Pakistani side of the project.

Pakistan agreed to purchase 1,000 megawatt of electricity from Iran as the representatives of the two countries laid emphasis on putting this project on fast track.


It was also decided to set up a joint investment fund spurring the private sector on both sides to play their part in promoting trade between the two countries.

The Iran-Pakistan pipeline, a key part of the agenda of the Joint Economic Commission (JEC) talks, was originally meant to have India as its terminal location but New Delhi has not been able to make a firm commitment on the project to date.

Iran has already built its portion of the gas pipeline up to the Pakistani border. The Pakistani portion of the pipeline is expected to cost $1.65 billion, little more than a fifth of the total $7.5 billion price tag of the whole project. The total cost may rise after the completion of a feasibility study. It is expected to begin supplying gas to Pakistan by the middle of 2014.
Load Next Story