Government to complete IP gas project by December 2014

13 Jun, 2013

The government has planned to complete the construction of 786 kilometres long Iran-Pakistan (IP) gas pipeline project costing $1.24 billion by December 2014, Annual Plan 2013-14 documents indicate. According to the annual plan, the government has indicated that it would take further significant steps on the imported gas pipeline projects including IP and Turkmenistan-Afghanistan-Pakistan-India (TAPI) in 2013-14.
On IP, it has planned to appoint third party inspector agency in June-July 2013, procurement/supply of equipment and materials under employer scope in financial year 2013-14. As per the plan the government is expecting first flow of gas through IP in December 2014.
As per planned major activities on Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline project, the government would appoint Transaction Advisor (TA), update feasibility study and route survey by TA, select construction lead, finalise TAPI-operations agreement and transit fee agreement. The estimated cost of laying the Pakistan segment of the 42" diameter IP pipeline is $1.24 billion, which will initially carry 750 MMCFD of natural gas.
In 2012-13 Iran and Pakistan have made following developments on IP project: Bankable Feasibility Study (BFS) on September 2012, Front End Engineering Design (FEED), Detailed Route Survey (DRS), Social Environmental Impact Assessment (SEIA), Initialization of Co-operation Agreement with Iran, Cabinet approval to give effectiveness to the co-operation agreement, installation of concrete markers on right of way and land acquisition, initialisation of Engineering Procurement and Construction (EPC) contract along with the financial agreement.
Under TAPI 3.2 Billion Cubic Feet per Day (BCFD) of natural gas would be imported from Turkmenistan of which Pakistan and India will receive 1.325 BCFD each while Afghanistan will receive 500 Million Cubic Feet per Day (MMCFD) gas. The estimated cost of the 56" pipeline project is around $7.6 billion.

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