Pak-Russian body for gas line project meets

Published: 01:35 AM, 19 Nov, 2020
Pak-Russian body for gas line project meets
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The energy ministries of Pakistan and Russia held the first Russia-Pakistan Technical Committee on development of gap pipeline project meeting in Islamabad on Wednesday.

The project is a flagship strategic venture between the institutions of Pakistan and Russia, which will strengthen bilateral ties between two states.

The Russian delegates include energy ministry officials, diplomats, reps of companies and corporations and officials from ministries of law and energy as well as special assistant to the prime minister on petroleum.

The meeting took up finalising the broad contours and parameters of the project involving the construction of a high-pressure gas transmission pipeline from Port Qasim to Kasur district of Punjab for transportation of RLNG towards northern side of the country to overcome the gas shortage.

The recent developments after the decision of the Supreme Court in the matter of GIDC and availability of GIDC funds for the project development were a key consideration in the process.

To better reflect the close bilateral ties and strengthened cooperation of Pakistan and Russian Federation for the development of Project, the Project has been renamed from North-South Gas Pipeline Project to Pakistan Stream Gas Pipeline Project.

Gas for the project will be sourced through existing and new LNG Terminals at Port Qasim, Karachi.  Federal Energy Minister Omar Ayub Khan praised the technical committees from both sides for finalisation of the protocol to the intergovernmental agreement for the expeditious implementation of the North-South Gas Pipeline Project.

He said that the Government of Pakistan envisages this as a first step towards the establishment of a strong bilateral relationship and strategic ties towards the Russian Federation. The Minister voiced a hope that this project would benefit both countries and such cooperation between the two countries would continue in the coming time.

Nadeem Babar said that the North-South Gas Pipeline ‘a stepping stone’ towards greater cooperation between Pakistan and Russia in the energy sector.  The SAPM said that Pakistan is fully committed for an early realization of this key project and looks forward to working with the Russian Federation in an efficient manner. He shared Prime Minister Imran Khan’s desire to see the project’s successful execution.

Pakistan and Russia are keenly interested to invest in the Project and embark upon its timely, cost-effective and successful implementation for the benefit of the people of Pakistan while ensuring optimum gas tariff.

Both sides affirmed maximum utilization of Russian and Pakistan materials, equipment and resources with an aim to enhance the technical and operational capacity of Pakistani companies and human resource through mutual working and training.

Both sides agreed to sign a protocol for amendment in the Inter-Governmental Agreement (IGA) earlier signed in 2015 between both the Governments to reflect the revised implementation structure of the Project after requisite approvals from respective Governments.

The parties agreed in principle to implement the project through a special purpose company to be incorporated in Pakistan by Pakistan and Russian parties, wherein Pakistan will have the majority shareholding.