Indian and Pakistan companies sign on TAPI deal – Pakistan oil and gas news

Indian and Pakistan companies sign on TAPI deal – Pakistan oil and gas news

Turkmen officials have stated that the proposed
pipeline could carry 1000000000000 cubic meters of gas over 30 years, or 33 billion cubic meters a year.
"After
more than 20 years of diplomacy, 1,800 kilometers of gas pipeline, which connects one of the largest energy suppliers in Central Asia critical enough market in South Asia is another step forward," said a press release from the Asian Development Bank (ADB)
published in the media.

GAIL India Limited and Pakistan to the interstate transmission system Private Limited
were parties to the agreement with Turkmenistan. In addition,
Afghanistan has also signed a memorandum of understanding on long-term gas cooperation with Turkmenistan, the statement said.
India and Pakistan, as hungry for the supply of gas and Turkmenistan,
formerly part of the Soviet Union, anxious to escape from its dependence on gas exports to Russia.
Most of the
exported gas to help meet the energy demand in South Asia, where demand for energy will double by 2030, and the rest will alleviate the chronic shortage of power in Afghanistan.
The Government of India said in a statement May 17 that the pipeline will be operational in 2018.
India and Pakistan will get from 38 mcmd gas, while the remaining 14 mcmd will be delivered to Afghanistan, he said.

"This is a historical moment of unprecedented regional cooperation," said ADB’s
Central and Western Asia CEO Klaus Gerhaeusser. ADB has played a leading role in coordinating and facilitating TAPI talks over the past
10 years. "This pipeline
is a win-win scenario for each member country, as this will allow Turkmenistan to more diverse markets and help power the fuel economy of the South", Gerhaeusser said.
He
added that each country will win, calling him not only as a `world Pipeline", but the channel of delivery of gas at the peak. With TAPI channel in place, the Turkmen gas will serve a wider range of markets for land, diversification of the existing markets
in Russia, Iran and China’s.
Nevertheless, an analyst at IHS Global Insight Lilit Gevorgyan said that while the pipeline can be a profitable commercial project, it will work in a few high country risk security ", which puts the actual construction of a large question mark."

Sale and purchase agreement between Afghanistan and Turkmenistan are expected to be completed in the near future.
The next step for the
four countries TAPI is to attract commercial partners for the creation, financing and operation of the pipeline, estimated in 2008 would cost at least $ 7.6 billion.
Analysts and officials say that construction can cost from $ 10 billion and 12 billion dollars.

Separately, the Indian oil ministry official said last week
that the transit fee for gas was set at 50 cents per million British thermal units.
India imports 80% of the demand for oil while the decline in production caused him to buy an expensive liquefied
natural gas.

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Posted by Ahmed Tariq on May 24 2012. Filed under 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