The News reported that Turkmenistan has agreed with Pakistan on the price of gas it plans to send through an ambitious pipeline from its prospective natural gas fields through Afghanistan.
One of the sources said that the two countries had yet to agree with Afghanistan on a transit price for the gas. Turkmenistan, which sits on the world’s fourth largest natural gas reserves, wants to build the trans Afghan pipeline as part of its plans to diversify sales from Soviet era master Russia to energy hungry markets in Asia and Europe.
It aims at supplying natural gas from its South Iolotan field, the world’s second largest to Pakistan and India. The idea of the pipeline, known as Turkmenistan, Afghanistan, Pakistan and India was first raised in the mid 1990s but construction has yet to begin. The proposed 1,700 kilometers pipeline could carry 1 trillion cubic meters of Turkmen gas over 30 year period.
Mr Bayramgeldy Nedirov oil and gas minister of Turkmenistan said that this month which would work out at 33 billion cubic meters per annum. But the route, particularly the 735 kilometers Afghan leg, presents significant security challenges and will require Pakistan and India to agree on the volumes and price. Participants must also secure funding for the project.
Mr Kurbanguly Berdymukhameov president of Turkmenistan had signed a joint declaration with Pakistan on the sale and purchase of gas via the TAPI pipeline.
Mr Berdymukhamedov whose word is final in reclusive Turkmenistan had agreed the deal during a visit to Islamabad where he met President Mr Asif Ali Zardari and Prime Minister Mr Yousuf Raza Gilani. Price negotiations with India the final country on the pipeline route are being conducted separately.
The government source said that “We have already agreed on the price. The agreement is prepared. The contract is prepared. Only some procedural issues remain. While Turkmenistan and Pakistan had, in principle agreed on a price a question mark remained over the transit price via Afghanistan.
(Sourced from www.thenews.com.pk)
