Iran Pakistan Gas pipeline inaugurated

This pipeline could really take Pakistan off of Arab oil charity and their brainwashing of our future generations, but the question is will the US and its lackey, KSA, ever let it complete?

Will the US block an Iran-Pakistan gas pipeline? - CSMonitor.com

Next week Iran and Pakistan will begin work on a $7.5 billion gas pipeline that the US has been fighting tooth and nail to stop in all manner of proxy methods.

On 11 March, Pakistani officials braved the “international community” by announcing that “groundbreaking” work on the 780-kilometer pipeline would begin on the Pakistani side of the border, marking the start of construction by an Iranian-Pakistani consortium.

Just prior to the announcement, Pakistani President Asif Ali Zardari met with Iranian President Mahmoud Ahmadinejad and Supreme Leader Ayatollah Ali Khamenei in Tehran.

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The Pakistani portion of the pipeline will cost around $1.5 billion. This is the key here because the 900-kilometer Iranian portion of the pipeline is already nearing completion.

The pipeline will go ahead largely because Pakistan’s energy crisis dictates that it must. And even US sanctions won’t prevent it, and threats emanating from Washington (largely through the US mainstream media) are only working to increase already volatile anti-American sentiment in Pakistan. (Related article: RUSSIA-ISRAEL: New Oil & Gas Geopolitics in the Mediterranean)

The US State Department has warned of sanctions, but is keeping a low profile on direct threats until the pipeline deal is sealed. It’s still working the back rooms to stop the deal, but Iran is working even harder—namely by putting up the bulk of the funding for the Pakistani portion of the pipeline.

So far, while the US has promised to offer Pakistan a better deal than a pipeline with Iran, we haven’t seen anything concrete that can compete with this type of energy security. After all, the pipeline will bring Pakistan some 21.5 million cubic meters of gas a day.

The US had been hoping to lure Pakistani into an alternative pipeline deal – the Turkmenistan-Afghanistan-Pakistan-India (TAPI) pipeline, which would bypass Iran. The TAPI pipeline, however, is a stop-and-start project that has its own security issues to deal with: it would be either targeted by the Taliban or the Taliban would have to be figured in as benefactors, which would mean much for the conflict in Afghanistan. Even the most optimistic observers put a completion date at around 2018.

Washington remains adamant that the pipeline is a violation of sanctions on Iran over its nuclear program. But Islamabad is unmoved by the threats and President Zardari has intimated that the pipeline deal will go through despite external influence.

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“Nobody has the power to halt this project,” he was quoted by The Express Tribune newspaper in Pakistan as saying. (Related article: TURKEY-ISRAEL: Gas Pipeline Rumors Are Geopolitically Tectonic)

Of course, it’s not an easy time for Zardari, whose five-year term is coming to an end, leaving open a window of opportunity for external influence in the election process to various ends. Pakistan’s parliament is due to dissolve in two weeks in preparation for elections that will tentatively be held in mid-May.

There are other ways to sabotage this pipeline as well. The pipeline runs through some extremely insecure territory in Balochistan, which is likely to become a new (old) frontline in regional pipeline wars in the immediate-medium-term future.

The US and Saudi Arabia are willing to go quite far in derailing this project. They’ve already succeeded to some extent. Originally, the pipeline was meant to include India and was dubbed the “Peace Pipeline”.

Under pressure from Washington (plus a controversially generous gift of civilian nuclear technology access), India backed out in 2009.

So with India out of the equation, all attention turned to another front to derail this pipeline—Balochistan. The US and Saudi Arabia are both fomenting separatism in Balochistan, which is a convenient venue for stirring up trouble. The Pakistani province has huge gas reserves and vast mineral resources, coupled with an ongoing, armed dispute between economically, culturally and socially marginalized Balochi nationalists who have serious grievances against Pakistan’s Punjab-dominated federal government.

Iran has a problem with Balochi separatists, the latter occasionally clashing with Iranian forces in Baloch-dominated regions across the border. The US is hoping that if the Balochis are empowered to step up the conflict, Iran could be forced to back down from its pipeline plans in light of the security situation. So far, this proxy war in Balochistan has been a major hindrance to Iran, but the end result is that it has only further inspired the pipeline plans.

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

I don't think so USA will allow to complete this pipeline.....
But i must say if Zardari took this step one or two year before then it was a bold step but now it will leave pressure on next Govt and lets see how they will manage it.

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

Ye Pipe line zaroor bane gi jagirdara(^ー゜)

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

Saudia wouldnt want this pipeline to be completed, as that would provide Pakistan with a counter balance. The interests of US and Saudia coincide in this matter as well.

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

Anything to get out of the hands of the Saudi vipers is a welcome development.

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

Pakistan should make it clear that we will make decisions according to what's in best interest of our country, not what US/Saudi dictate us.

due to the construction of gas pipeline, many fear situation in Balochistan is likely to get worse in coming days..... :(

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

While getting rid of the Saudis, we should also inform the US to stop meddling in our internal affairs. The pipeline will help the people of Pakistan. All the US wishes to do is continue their misery.

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

Not sure what this has to do with the Saudis. Saudi gives us oil, not gas. And our dependence on oil is not going to go down just because we 'got gas'.

This 'gas' is one of the most expensive in the world. It will cost 78% of the price of crude....and will be utilized in far higher quantities. My question is, if our govt doesnt have the money to pay its oil bills, where will it find the money to pay these gas bills?

Wait...thats for the next govt to decide.

The thing is, Iran is in a bind, and needs a long term buyer for its products, which is why they are ready and willing to finance the pipeline construction.....and are not willing to negotiate the price down to international levels. Pakistan is a sucker. We could have solved our energy crisis by a lot of other methods that would have utilized domestic resources (water/coal)...but we have a habit of pinning our hopes with one or the other.

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

Kayani conveys army’s concerns to Zardari
US urges Pakistan to avoid sanctions

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

Pakistan leaves little room to budge on Iran pipeline plan despite threat of US sanctions | Fox News

Pakistan says it is determined to build a gas pipeline with Iran despite the threat of U.S. sanctions for the move – with a top Pakistani official suggesting the uncertainty in U.S.-Iran relations is a deciding factor.
“Can America guarantee us that they will never make friends with Iran?” Asim Hussain, adviser to the Pakistan prime minister on petroleum and natural resources, told Fox News. “Will Iran never come to terms with the world order? And if someone can give us that guarantee then we will not [build] that infrastructure."
However, with the window still open – though barely open – for improvement in Iran’s diplomatic standing, Pakistan presumably isn’t willing to stop laying the infrastructure for the gas pipeline, as officials claim Pakistan is a depleted nation facing a chronic energy crisis.
Pakistani President Asif Ali Zardari and his Iranian counterpart, President Mahmoud Ahmadinejad, are scheduled to inaugurate the gas pipeline project near the Pakistani border town of Gabd, Baluchistan, on Monday. Many head of states and foreign ministers have been invited to attend the ground-breaking ceremony, but Iranian diplomats and Pakistani officials in Islamabad declined to share the names of the dignitaries.
Both countries also will sign a memorandum of understanding to build Pakistan’s largest oil refinery at the southwestern port city of Gwadar costing $4 billion. Pakistan hopes that this may prompt China, which was granted a contract last month to run the port through a state-owned company, to join the gas pipeline project and partner in building the refinery.
Pakistan’s Foreign Office spokesman told Fox News that China hasn’t shown interest in the gas pipeline project, however Iran agreed to provide Pakistan with $500 million for construction of a third of the total length of the pipeline, which an Iranian company will undertake.
Washington strongly opposes the project, as it tries to cripple Iran economically for continuing its controversial nuclear program, suspected of developing atomic weapons. Though Tehran disputes that charge, the U.S. and its allies say Iran hasn’t provided sufficient evidence that its nuclear program is for peaceful purposes.
The U.S. State Departments says it has made it absolutely clear to the Pakistanis that if the pipeline deal is finalized, it would raise serious concerns under the Iran Sanctions Act.
“Pakistan has a lot of energy requirements. We are working with them in close partnership on other, better ways to meet those needs," State Department spokeswoman Victoria Nuland said Thursday, responding to Fox News at a press briefing. She added that Iran has proven to be an unreliable partner again and again, suggesting Pakistan should discard the project.
The United States has been aiding and assisting Pakistan to overcome its energy deficit by supporting large-scale turnkey projects through renovation and modernization of power plants and building new dams.
But Pakistan says what its getting is not enough. According to the Ministry of Petroleum, the projects haven’t taken off and the completion time frame is not suitable to them.
“If you talk of giving something after 10 years, does not make sense to us,” says Dr. Hussain. He continued, “We need immediate gas, and we were not helped in getting LNG (liquefied natural gas) in any way.”
For Pakistan, the shortest and easiest way to get the LNG supply in the country is Iran, and Pakistani officials aren’t willing to abandon the project under U.S. pressure, even with sanctions possible.
Nuland said moving forward in that direction would cause sanctions to kick in, but Pakistan thinks the U.S. ultimately will grant a waiver similar to the ones it has granted to India, China, and Turkey, all of which import oil from Iran.

Read more: Pakistan leaves little room to budge on Iran pipeline plan despite threat of US sanctions | Fox News

Iran Pakistan Gas pipeline inaugurated

Positive development.

High pressure: President inaugurates historic gas pipeline – The Express Tribune

TEHRAN: President Asif Ali Zardari along with Iranian President Mahmoud Ahmedinejad inaugurated the mlti-billion dollar Pak-Iran gas pipeline on Monday, reported Express News.

The contentious gas pipeline was inaugurated by Zardari as he pulled the rope to reveal the foundation laying plaque on the Pak-Iran border for the 1,600 kilometer long pipeline.

A 300-member strong Pakistani delegation led by President Zardari and comprising the country’s foreign minister, petroleum minister and National Assembly speaker and a number of prominent politicians attended the historic ceremony.

Foreign ministry spokesperson Moazzam Ali Khan said several heads of states had also been invited at the inauguration — an event that will see the two neighbouring states sign a crucial yet controversial mega project aimed at easing Pakistan’s energy crisis. However, he refused to give any further details.

One official pointed out that the high-powered inauguration clearly indicated that Pakistan would pursue the project at all costs.

The US has publicly threatened to invoke economic sanctions already in place against Iran if Pakistan went ahead with its plans to import natural gas from the Islamic republic.

Re: Pipleline or a pipe dream: Will the US block an Iran-Pakistan gas pipeline?

It is really good news .

[http://external.ak.fbcdn.net/safe_image.php?d=AQBaE5maA11FTX06&w=155&h=114&url=http%3A%2F%2Fwww.thenewstribe.com%2Fwp-content%2Fuploads%2F2013%2F03%2FIP-Gas-pipeline.jpg

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Islamabad: The presidents of Pakistan and Iran formally launched the multibillion-dollar Iran-Pakistan (IP) gas pipeline project on Monday.

Re: Iran Pakistan Gas pipeline inaugurated

Laudable news despite US and saudi pressure. Well done to that! :k:

But that makes you wonder how little authority this parliament ever had.

All in all a good development. Hope whoever forms the next government, takes it forward.

Re: Iran Pakistan Gas pipeline inaugurated

Be prepared for lots of terrorism in B-Stan...

Re: Iran Pakistan Gas pipeline inaugurated

^ balochistan as well as sectarian so the impact could be felt by the whole country.

Re: Iran Pakistan Gas pipeline inaugurated

Karachi stock market plummets over 400 points due to fear of US sanctions after pipeline opens.

Pakistan stock market plummets over Iran pipeline sanction fears | Pakistan | DAWN.COM

Re: Iran Pakistan Gas pipeline inaugurated

gerat artcile by dr. farukh saleem

lets not be so excited…this project requires financing and technology…iran and Pakistan have none

how is iran going to finance this project? iran is begging for money itself..lol..February 6, 2012, Iran defaulted on payments for wheat imports from Ukraine. On February 7, 2012, Iran defaulted on payments worth $144 million for rice shipments from India. Conclusion: Iran has no hard currency left in its reserves…lol

On March 14, 2012, the Beijing-based Industrial and Commercial Bank of China Ltd (ICBC) backed out of a deal to finance the Pak-Iran gas pipeline.

On May 14, 2012, Gazprom, the largest extractor of natural gas in the world, pulled out of the Pak-Iran pipeline project.

Pakistanis are happy as they see this project a major revolt against USA…not really..it is all topi drama…**BIG TOPI DRAMA…**and Pakistanis are jumping up and down with joy as if signing a contract is equivalent to actual completion of the project…lol

sorry if i sound mad .. but i work in energy space (oil & gas, power & water) on finance and M&A side and i know how complex financing mechanisms are for such projects with so much sovereign risk involved even if financing is freely available…and who is going to provide all the technology and engineering services for drilling, artificial lift, excavation, engineering design , construction etc? both iran and pakistan are only good enough to kill shias and sunnis! that is abt it…

Pipedream? - Dr Farrukh Saleem

Re: Iran Pakistan Gas pipeline inaugurated

you read this and you cannot stop laughing…no details, no numbers, no facts, no financing info, contracts, just high level stupid stuff…this is the level of our reporting!

read this:

“One official pointed out that the high-powered inauguration clearly indicated that Pakistan would pursue the project at all costs”

acha jee..who is that idiot offical…lol…pak will pursue the project at all costs…LOL…but who will pick the tab for those costs…no answer!

A 300-member strong Pakistani delegation led by President Zardari and comprising the country’s foreign minister, petroleum minister and National Assembly speaker and a number of prominent politicians attended the historic ceremony.

oh begiarat zardari…you know this is a topi drama..at least don’t take 300 idiots with you…and save some money for this poor country

Re: Iran Pakistan Gas pipeline inaugurated

^^^^
This is called paki-syndrome, never trust any one, because all pakis are fraud except himself or herself. In coming days if Sam really slapped restrictions, which are highly likely, above author should be heavily kicked on his butt.

Re: Iran Pakistan Gas pipeline inaugurated

anyway now that i made enough fun of this project,...let me provide some facts

Iran has already built 900 kilometers (560 miles) of the pipeline, with about 320 kilometers (200 miles) remaining to be built inside Iran. As of now iran is struggling with finances to complete pipeline on its end.

The Pakistan segment of the pipeline is expected to be about 780 kilometers (500 miles). Iran is saying that Iranian contractors will be involved in building the Pakistani portion of the pipeline...but that will cost 1.5B dollar

Who will finance it? No one will risk American ire by financing the project. and NO China and Russia will absolutely not do it.They made it clear several times.

In a statement Monday, Pakistani officials said Iran will give Pakistan a $500 million loan to build part of it...yeah right...stupid Pakistani officials..iran has no money..period!

The Pakistanis said "they will finance the rest of the project – roughly $1 billion – through a $500 million Chinese loan and a fee added to customers' bills"....China has already said NO plus that is a tough proposition, considering how few Pakistanis actually pay for electricity.

so it is all topi drama.........................