Talks on Iran, India Gas Pipeline to Continue: Official

Citing certain reports that talks between India and Iran on the project has ended, he said his country is still considering the construction of a natural gas pipeline between the two countries.

The official said that there are two alternatives in this respect, either constructing a pipeline from Iran to India passing over land through Pakistan, or carrying Iran’s natural gas via a deep-sea pipeline.

NIOC had already commissioned BHP Billiton to do the feasibility study for the onshore pipeline while Snamprogetti is studying the prospects of bringing natural gas through the deep-sea pipeline.

Asked about the conclusion of the deal, the First Secretary said that various options are under consideration for the implementation of the pipeline project “but we have not come to any conclusion yet,” He added.

While the Indian government stresses that talks on the project still continue and a joint working committee, set up in August 2000, is evaluating its pros and cons, some sources say that the project may eventually be shelved.

Business Standard, an Indian based internet site, reported on July 2nd that the possibility of finding large reserves of natural gas in the Krishna-Godavari basin and the deep waters of the Andamans had cast its shadow on the proposed Indo-Iran gas pipeline project.

AF/MR

END

MNA