Russian Gas Giant May Fund 780-Km Pipeline

The Iran-Pakistan gas pipeline projects have attracted global investors, technical experts eyeing to participate in this economically lucrative energy project.

In this respect Abu Dhabi state-run company International Petroleum Investment, and China National Petroleum Corp. (CNPC) have all shown interest in the project to construct an Iran-Pakistan gas pipeline, said informed sources.

Russian gas-export monopoly Gazprom may fund and help build the 780-kilometer Iran-Pakistan gas pipeline.

Pakistan plans to borrow $300 million from local banks to build a pipeline that will carry natural gas from Iran in order to resolve its serious energy crisis while local state-owned companies will provide about $210 million in equity for the $1.3 billion pipeline

Pakistan may approach foreign companies including OAO Gazprom, International Petro-leum Investment Co. and China National Petroleum Corp. for the rest of the financing, it is learnt. Sources were of view that the local funding is crucial for the project because of pressure on Western banks and international agencies to isolate Iran.

Acute fuel shortages persisting for quite a few years have forced the government to ration sup-plies, cutting power for as much as half the day in major cities yet the bill for electricity con-sumption were highly inflated not less than two months consumption.

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