JNN 21 Sept 2013 ISLAMABAD: Russia is ready to execute the Pakistan-Iran gas pipeline project, ignoring the U.S. sanctions on Iran, a Russian minister has revealed in a meeting with Pakistan’s petroleum minister in Islamabad.
This will be done in view of the new Russian policy to look towards South Asia.To this effect, Gazprom, a state-owned Russian company or one of its subsidiaries will soon make a formal contact with the Government of Pakistan to execute the Pak-Iran gas pipeline project.
This message has been clearly conveyed by a Russian delegation led by Yury Sentyurin, Deputy Minister of Energy, at a meeting with the Federal Minister for Petroleum and Natural Resources, Shahid Khaqan Abbasi, a top official who was part of the meeting told The News.
The Russians have also decided to play a role in accomplishing the TAPI gas line project and want to become part of a consortium which is to execute the project. Apart from it, Moscow has also clearly indicated to Islamabad that it wants the electricity trade project (CASA-1,000) to be extended to Russia as it is rich in electricity and is currently exporting power to Mongolia, China and Europe.
The official said that Russia has also sought a role in developing coal-based projects at Gadani, arguing that it has the best expertise in the world to make such coal based projects.Additionally, the Russian delegation also offered its services to install power projects based on the lignite coal of Thar.
“In the meeting, the visiting team also expressed its willingness to install a 600MW coal based project at Jamshoro,” the official said, adding that both sides have decided to hold another meeting some time in November at the Joint Working Level to workout a roadmap for future cooperation in the energy sector.
A press release says the Russian delegation led by Yury Sentyurin, Deputy Minister of Energy, expressed the Russian intentions to invest in the energy sector of Pakistan. Abbasi, while talking to the members of the delegation, said Pakistan has huge potential of investment in the energy sector, especially in the oil and gas sector. He welcomed the Russians’ desire for investment in oil and gas exploration and expressed the hope that this cooperation will help a great deal in coping with the energy shortages in the country.
The Russian delegation also had a meeting with the Pakistani delegation led by the Minister of State for Petroleum and Natural Resources, Jam Kamal Khan, who assured the Russian delegates that Pakistan encourages foreign investment on equality basis, and a level playing field will be provided to all companies whether public limited or private.
Electricity Import from Russia
Russia has offered Pakistan to invest in energy sector and export 5000 MW electricity through Kyrgyzstan-Afghanistan route.
A Russian delegation led by deputy minister for energy, comprised representatives of major energy companies here on Thursday called on Federal Minister for Planning, Development and Reforms, Ahsan Iqbal and discussed cooperation in energy sector.
The delegation extended its cooperation in energy sector including import of electricity, LNG, natural gas, coal power production and oil and gas exploration.
Russian investors offered 100 per cent technical and financial solutions for the Jamshoro and Muzaffargarh power plants and also showed interest to invest in Gaddani Power Park.
Russia is building hydro-power plants in Kyrgyzstan and Tajikistan including 3900MW project in Kyrgyz Republic and looking for new markets to export cheap electricity.
Russian delegation made an initial offer of 1000MW which would subsequently be increased to 5000MW and this electricity will be available throughout the year.
Russian Companies also showed interest in export of LNG and oil exploration in Pakistan.
Speaking on the occasion, the Russian minister said that he was encouraged with policies of the government and Russian investors are eager to invest in energy sector of Pakistan.
He stressed the need for constituting a working group to tap the potential of energy cooperation between the two countries and offered cooperation in modernising existing thermal plants and shifting them into coal-fired technology.
Ahsan Iqbal informed that there was a great potential between both the countries for cooperation. “We welcome Russian investment in our energy sector. We are in the center of three major engines of growth which puts us at strategically important position,” he added.
South Asia, China and Central Asia represent a market of three billion people, he added.
The minister urged Russian investors for taking advantage of this opportunity as Pakistan possesses rich resources and offers best incentive for foreign investors.
Ahsan Iqbal said that government believes in transparency and zero tolerance against corruption for socio-economic uplift of the country.