Pakistan To Pursue IP Gas Pipeline : Min.

Islamabad, June 26, IRNA – Pakistan Petroleum Minister Shahid Khaqan Abbasi has said that the government is committed to complete Iran-Pakistan (IP) gas pipeline project, local media reported on Tuesday. The minister told the National Assembly during question answer session that Pakistan needs gas to overcome energy crisis and the government would pursue the Iran-Pakistan gas project. He assured the National Assembly that he would inform the house about the progress of the project adding that the IP project has a long history. Pakistani and Iranian President inaugurated the ground breaking of the $7.5 billion pipeline project in March this year. The Iran-Pakistan pipeline is intended to help Pakistan overcome its mushrooming energy needs at a time when the country is facing increased blackouts and energy shortages. Iran has completed 900 km of pipeline on its side of the border and Iranian contractors will also construct the pipeline in Pakistan. Tehran-based Tadbir Energy Development Group will undertake all engineering procurement and construction work for the first segment of the project, which starts from the Iran-Pakistan border. The Iranian firm will also carry out the second segment of the project, while the remaining amount is expected to be generated by Pakistan through Gas Infrastructure Development Cess (GIDC). Tehran has agreed to lend Islamabad $500 million, or a third of the estimated $1.5 billion cost of the 750 km Pakistani section of the pipeline./end