Hope this will affect positively on the economy of the country, creating employment, electricity and new industries.
DAWN.COM | Business | Pakistan, Iran finally sign gas pipeline accord
Iranian President Mahmoud Ahmadinejad shakes hands with his Pakistani counterpart Asif Ali Zardari before convening for a trilateral summit in Tehran.—AFP
**The ISGS is a semiautonomous body looking after Pakistani interests in the international gas pipeline projects to import gas from Iran and Turkmenistan. **
The federal cabinet had earlier agreed to allow the import of one billion cubic feet of gas at the rate of 80 per cent of the price of crude oil.
The petroleum ministry also said that power generation and usage of imported Iranian gas by heavy industries would result in annual saving of up to $1 billion in furnace oil imports, if the crude oil prices are at $50 per barrel.
The reports and calculations forwarded by the ISGS further said that there would be an annual saving of $735 million, compared to if the equivalent quantity of LNG was imported for power generation, and the saving will increase in line with the hike in global crude oil price.