Gas Import from Iran can solve energy crisis – Pakistan oil and gas news

ISLAMABAD – It has been learnt from reliable sources that federal government of Pakistan has decided to negotiate with Iran to increase its natural gas imports for the running tax year. Currently, Pakistan is importing 750 million cubic meters of per day
and it was told by the OGDCL officials that the government has plans to import 1 billion cubic meters of gas per day to meet the requirements of Balochistan at Gwadar Port for industrial estates.

Baluchistan’s Chief Minister Nawab Mohammad Aslam Raisani reiterated its demand of 250 mmcfd gas allocation out of supplies under IP gas pipeline project to meet requirements of industrial estates at Gwadar in a meeting held with Secretary for Petroleum
and Natural Resources Muhammad Ejaz Chaudhry on Monday.

Sources revealed that Baluchistan required 250 mmcfd gas for industrial estates at Gwadar Port and therefore gas should be allocated under the IP gas pipeline project. When contacted, Secretary Petroleum Ijaz Chaudhry said that Iran had already expressed
its desire to provide 250 mmcfd of additional gas that could be used for industrial estates at Gwadar Port.

He maintained that the Ministry of Petroleum had already moved a summary to the Economic Coordination Committee (ECC) of the Cabinet in 2010 seeking approval for import of this enhanced volume.

‘I have asked the Baluchistan Chief Minister to work out pricing related to gas imported from Iran,’ IjazChaudhry said.

He also maintained that Baluchistan wanted to set up an energy company on the pattern of Oil and Gas Development Company Limited (OGDCL).

‘We have assured Baluchistan of help in setting up such a company to carry out oil and gas exploration projects,’ he added.

An energy expert said that the government should meet Balochistan’s demand to allocate gas under the IP pipeline project that would boost economic activities in Gwader. ‘The imported gas from Iran would not be sufficient to bridge the gas shortfall, so the
government should expedite local oil and gas exploration activities,’ he said adding that import of Liquefied Natural Gas (LNG) will also help overcome the energy crisis.