President Vladimir Putin and Chinese leader Xi Jinping have signed a memorandum of understanding on the so-called “western” gas supplies route to China. The agreement paves the way for a contract that would make China the biggest consumer of Russian gas.
Russia’s so-called “western” or “Altay” route would supply 30 billion cubic meters (bcm) of gas a year to China.
The new supply line comes in addition to the “eastern” route, through the “Power of Siberia” pipeline, which will annually deliver 38 bcm of gas to China. Work on that pipeline route has already begun after a $400 billion deal was clinched in May.
“After we have launched supplies via the “western route,” the volume of gas deliveries to China can exceed the current volumes of export to Europe,” Gazprom CEO Aleksey Miller told reporters, commenting on the deal.
Speaking to journalists on the eve of his visit to Beijing, Putin was optimistic about prospects for the new gas deal with China.
“We have reached an understanding in principle concerning the opening of the western route,” Putin said. “We have already agreed on many technical and commercial aspects of this project, laying a good basis for reaching final arrangements.”
The “western” route deal is one of the 17 agreements signed at the Sunday meeting between Putin and Xi.
Read more » RT
QUETTA: An 18-inch Sui gas pipeline was blown up in early hours of Monday by unknown miscreants in Dera Murad Jamali disrupting gas supply in various areas of the insurgency-hit Balochistan province, DawnNews reported.
Read more » DAWN
By Mariana Baabar
ISLAMABAD: As Islamabad and Tehran set up a joint contracting company to complete the construction of the $7.5 billion IP gas pipeline project within the next 15 months, Pakistan does not appear apologetic and says that any other government would have done what the PPP-led government did.
“Pakistan continues to suffer from huge energy deficiency and this directly affects our industry and GDP growth. Gas is the cheapest commodity to generate electricity. We need to look at all possible sources of energy including the proposed Turkmenistan-Afghanistan-Pakistan-India (Tapi) gas pipeline. The Iran-Pakistan gas pipeline will meet only half the shortfall of energy needs of Pakistan and not our full demand. Pakistan has to do what it deems fit and what is in its national interest. Lack of economic growth has also seen peace stalled in the region,” Foreign Minister Hina Rabbani Khar told ‘The News’.
President Asif Ali Zardari is also credited widely for improving bilateral relations with Iran, investing in the region, and desperately seeking energy from a country facing severe sanctions from the West because of its nuclear policy under the guidelines of the IAEA.
Continue reading Pakistan to do what it deems fit, says Khar →
Pakistan Confirms China Pullout From Pipeline Project, Eyes Other Options
By RFE/RL’s Radio Mashaal
ISLAMABAD — Pakistan says the Industrial and Commercial Bank of China has “no more interest” in funding a project to build a natural-gas pipeline from Iran to Pakistan.
A Pakistani Finance Ministry spokesman said on March 14 that the Chinese institution had been negotiating with Pakistan’s Habib Bank over financing for the Pakistani section of the pipeline. He added that he did not know why the Chinese bank had pulled out of the deal. …
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The Baloch nation will not allow IPI gas pipeline to pass through Balochistan: Hyrbyair Marri
….Mr Marri said “we would like to make it clear to all international companies that we consider Pakistan as an occupying state that is why until regaining their independence the Baloch will not accept any agreement made with Pakistan about the fate of Balochistan. Neither can the Baloch give any guarantee for the protection of anyone’s wealth in the occupied land of Balochistan that helps make Pakistan and Iran’s strategy stronger but weakens the Baloch liberation struggle.” However, after freedom the Baloch state, for the Baloch interest, will be willing to allow and guarantee all International Companies in a competitive environment to spend their wealth in Balochistan, he added.
Hyrbyair Marri said that Pakistan cannot hoist it’s flag in Balochistan and the so called national anthem of Pakistan is not played in schools, in these circumstances how Pakistan can guarantee the protection of the wealth of other countries. He has also categorically rejected Pakistan’s claim that Pakistani top officials had contacted the Baloch pro-freedom leaders to join the so called mainstream Pakistani politics. Mr Marri said “Our stance is crystal clear to the world and to the Baloch Nation that we have no historical, linguistic and cultural ties with this state [Pakistan]. We have not accepted this state since its coming into being, similarly the state by its violent actions have proved that Balochistan is an occupied territory.” ….
Read more » BALOCHWARNA
Industrial and Commercial Bank of China won’t help finance the natural gas pipeline to Pakistan, apparently because of U.S. sanctions on Iran.
By Paul Richter and Alex Rodriguez, Los Angeles Times
Reporting from Washington and Islamabad, Pakistan—
China’s largest bank has backed out of a deal to finance a proposed Iran-to-Pakistan gas pipeline that is opposed by the United States, a potential sign of the lengthening reach of U.S. economic sanctions on Iran.
Pakistani officials confirmed Wednesday that Industrial and Commercial Bank of China had withdrawn from plans to head a consortium that would finance the $1.6-billion Pakistani portion of the cross-border pipeline, apparently over concern that the bank could be excluded from the U.S. economy.
Continue reading Chinese bank pulls out of Pakistan-Iran pipeline project →