Aiyar, Aziz to discuss gas pipeline project

Aiyar, Aziz to discuss gas pipeline project

Wednesday, November 24, 2004 (New Delhi):

Petroleum Minister Mani Shankar Aiyar will meet Pakistan Prime Minister Shaukat Aziz today.

During their talks, the proposed $4.16 billion gas pipeline from Iran to India via Pakistan is expected to come up.

New Delhi wants Pakistan to accord Most Favoured Nation status to India and provide security guarantees before considering the gas pipeline project.

Guarantee security

India also wants Islamabad to guarantee security of physical infrastructure as 760-km of the 2775-km pipeline will pass through Pakistan and guarantee uninterrupted supplies.

Iran has been pursuing the pipeline proposal, which will save India millions of dollars in energy cost, with New Delhi and Islamabad since 1996. But tensions between the two countries has blocked progress.

Pakistan is expected to get $600-800 million annually in transit fee alone from the proposed pipeline.

The pipeline will connect Iran's gas fields at Assaluyah (South Pars) to India's main trunk line of HBJ.

SAARC Summit

Meanwhile, Aziz will also be holding discussions with Prime Minister Manmohan Singh today on a host of issues relating to SAARC as also in the bilateral context.

The Pakistani leader will extend a formal invitation to Singh to attend the SAARC Summit in Dhaka in January. Bangladesh takes over the SAARC Chairmanship from Pakistan at this summit.

Earlier today, Aziz offered prayers at the Hazrat Nizamuddin Dargah in the Capital, one of the most sacred Sufi shrines in the country.

News From ndtv.com

(With PTI inputs)