A Russian delegation headed by Deputy Minister for Energy Yury Sentyurin has arrived in Islamabad to discuss financing of the proposed Iran-Pakistan (IP) gas pipeline with Pakistani Secretary of Petroleum and Natural Resources Ejaz Chaudhary.
Iran has already completed the construction of the pipeline on its side and has committed to provide $500 million in cash and the actual pipes, gas compressors and block valves to help finance the construction of the pipeline on the Pakistani side.
Pakistan is wooing Russia and China to participate in the project to reduce the pressure of being the only partner of Iran, which is under international economic sanctions.
Sentyurin is expected to announce that Russian companies will construct the pipeline but they have asked the Pakistanis to be awarded the contract on sole-source basis, setting aside the required international bidding regulations.
China is also studying to become the Engineering Procurement Construction and Commissioning (EPCC) contractor to the project.
Source: The News, 27 June