Iran would not terminate gas deal with Pakistan

TEHRAN, Nov. 26 (MNA) – Iran’s oil minister has rejected speculations that Iran would withdraw from gas deal with Pakistan. Bijan Namdar Zanganeh told reporters that Iran was prepared to start its gas exports to Pakistan. “Pakistan has signed a deal to import 21.5 million cubic meters of natural gas daily from Iran and by the beginning of 2015, it should start receiving this amount of gas according to agreement,” he said. However, Pakistani officials had ascribed their failure in construction of even single cubic meters of gas pipeline in their soil to international sanctions, and according to provisions signed in the agreement, it would pay $3mn to Iran in compensation for each day delay in its pipeline inauguration. Oil ministry officials still have not commented about Pakistani side’s claims. Amid uncertainties created by Pakistanis' failure in construction of pipeline, experts from both sides have speculated that the gas deal would be suspended, which Mr. Zanganeh rejected these speculations, saying that Iran’s daily production of natural gas increased 100 million cubic meters, bordering 600 million cubic meters daily. Oil minister emphasized that Iran was prepared to start gas experts to Pakistan; “the operation to construct pipeline to Pakistani borders approaches final stages, and whenever Pakistanis construct their domestic gas pipeline network, Iran would start gas delivery to eastern neighbor." On Pakistanis' recent statements relating sanctions to gas agreement with Iran, Zanganeh told Mehr News that the Islamic Republic of Iran had been committed to its obligations made in gas deal with Pakistan, and it expected Pakistan to remain committed to its obligations as well. “Mere remarks would not be criteria for action, but provisions made in the draft of the agreement would guide the next steps,” said the oil minister. After so many negotiations with Iran’s oil ministry officials, Pakistanis ultimately hit a gas import agreement to buy 21.5 million cubic meters of natural gas daily in 2009; since four years ago, Pakistan had not constructed gas pipeline on its own soil, and it is predicted that Iran would file lawsuits against Pakistan in international courts and possibly Pakistan would be given verdict of paying Iran in compensations for delayed gas pipeline construction. Amid oil ministry’s warnings, Pakistan’s Oil and Natural Resources Minister Shahid Khaqan Abbasi arrived in Tehran last week to discuss gas pipeline construction with Iranian counterpart. Ali Majedi, oil deputy minister for commercial and international affairs had told reporters that Iran had invested $2bn in gas pipeline in Iranian side, and $1bn would be required to finish the pipeline. “If Pakistanis start the pipeline construction project now, it would take 4 years to complete; Iran would not support Pakistan in construction of pipeline inside borders,” he had told reporters earlier.