Pakistan to import more gas from Iran – Oil and gas sector Update

Pakistan to import more gas from Iran – Oil and gas sector Update

Islamabad— Iranian Deputy Oil Minister Javad Oji has reported on Thursday that Pakistan has asked to import more natural gas from Tehran as energy crisis in the country continues to worsen. Pakistan has been fighting its energy crisis for the last four years now and it has now asked Iran to help them find solution to on-going problems.

Pakistan signed an agreement with Iran in June 2009. According to the 25-year contract, Pakistan will be importing nearly 7.8 billion cubic meters of natural gas from Iran via long pipeline to overcome the energy crisis.  It is assumed that pumping of gas through the pipeline will start in February 2014.

Iranian Oil and Natural Resources minister quoted, “The new round of negotiations between the two countries over the subject of increasing the volume of gas exports to Pakistan is underway in Tehran”.

The Mehr News Agency of Iran stated that Islamabad has asked Tehran to increase the volume of imported gas from 21.5 million cubic meters per day to 30 million cubic meters. Mr Javad Oji concluded that Tehran has no issues sending more gas to Pakistan as it has strong and friendly relations with its neighboring country. Iran Petroleum Ministry explained that the next round of negotiations between the two countries is expected to take place very soon in Pakistan’s capital, Islamabad

Managing Director of National Iranian Gas Exporting Company Hossein Bidarmaghz furher added that Iran hopes to start exporting gas to Pakistan in early 2012. Bidarmaghz went on to explain that the Iranian federal government has made all the arrangements to finish the construction of pipeline in its territory by the end of next year.

India still remains the part of the gas pipeline deal and it has not been omitted from the negotiations. China also wants to import gas from Tehran, he further commented.

Iran is rich in natural gas resources. It ranks second in the world in natural gas reserves with an estimated 33 trillion cubic meters of gas.

Pakistan’s Prime Minister Syed Yusuf Raza Gilani has said on numerous occasions that import of natural gas from Iran will ease the tensions in energy sector of Pakistan and that the imported gas will be used to produce 1000 MW of electricity.

Posted by Ahmed Tariq on Oct 20 2011. Filed under Pakistan, Sci-Tech. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry