Iran urges Pakistan to build its gas pipeline

Iranian Oil Minister Bijan Namdar Zanganeh has asked Pakistan to build its own section of natural gas pipeline.

"Big volume of gas is (ready for delivery) near the Pakistan border," Zanganeh was quoted as saying Sunday by SHANA, oil ministry news service, Xinhua reported.

Pakistan should build its own section of the pipeline, he said, adding that "in case Pakistan takes action to construct the pipeline on its soil, the project will be completed" and Iran's gas will flow into the neighbouring country.

Zanganeh said on 30 October, Iran was not hopeful of exporting its natural gas to the Pakistan "because the conditions set by the Pakistani government has made export of Iranian gas to Pakistan unlikely."

The minister was alluding to the earlier reports which said that Iran's neighbour has asked the Islamic republic to finance the gas pipeline to be built on Pakistan soil.

The reports said Pakistan has asked Iran for financing $2 billion to construct 780 km gas pipeline on its soil.

Pakistan Minister for Petroleum and Natural Resources, Shahid Khaqan Abbasi, said his country insists on implementing the deal with the Iran so that it could import natural gas.

Former president of Iran and Pakistan Mahmoud Ahmadinejad and Asif Ali Zardari respectively, inaugurated the $7.5 billion project in Iran's Chabahar city in March, which was supposed to link Iran's gas pipeline with Pakistan.

The US has threatened sanctions against Pakistan if it presses ahead with the gas pipeline project with Iran.

Iran possesses the second largest gas reserves in the world after Russia. But its gas project developments and exports have been seriously hit by the western sanctions in past years due to its insistence on continuing the controversial nuclear programme.