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Pakistan, Iran likely to conclude $7b IPI gas pipeline deal in July

DUBAI — Iran will host a trilateral meeting in Teheran next month to finalise the proposed multi-billion dollar Iran-Pakistan-India gas pipeline project.

"Iran would soon invite the Petroleum Ministers of India and Pakistan to conclude a deal on $7 billion gas pipeline project in July," a top Pakistani official told Khaleej Times yesterday.

In a recent series of meeting, Pakistan's Minister for Finance and Economic Affairs Syed Naveed Qamar met Iran's Minister for Petroleum Gholam Hossein Nozari on Saturday and discussed the proposed pipeline project.

The ministers also exchanged views to further boost cooperation in petroleum sector of the two countries.

Naveed Qamar was in Teheran to head a high level delegation to attend the 17th session of Pak-Iran Joint Economic Commission, which concluded yesterday.

The two sides already agreed that the experts had covered all aspects of the project and that Gas Sales and Purchase Agreement (GSPA) between Iran and Pakistan was now finalised and that it was time to move ahead.

India and Pakistan need natural gas from Iran to overcome energy shortages in order to maintain their economic growth. Both countries are resisting US pressure to end talks on multi-billion dollar pipeline project, which they want to build by December 2012.

The proposed pipeline would run 2,615 kilometres from Iran to India through Pakistan and initially carry 2,120 million cubic feet of gas a day.