Pakistan working with China on gas needs

LNG terminal and pipeline should take four years to commission.
By Daniel J. Graeber Follow @dan_graeber Contact the Author   |   July 21, 2014 at 9:41 AM
| License Photo

ISLAMABAD, July 21 (UPI) -- Pakistan's government said Monday it was getting China's help with the construction of a liquefied natural gas terminal and associated pipeline infrastructure.

The Ministry of Petroleum and Natural Resources said it consented to the construction of an LNG terminal for the port city of Gwadar near the Iranian border. An associated pipeline would be built through a government-to-government arrangement.

"We are running from pillar to post to get this mega LNG terminal-cum-pipeline included in the list of early harvest projects agreed with China," Pakistani Natural Resources Minister Shahid Khagan Abbasi told The News, a Pakistani newspaper. "It will take three to four years to get commissioned."

The minister said the pipeline would cost an estimated $1 billion and more than $2 billion would be needed for the LNG terminal.

The Pakistani government has said aging infrastructure in the country is leaving it short on energy supplies.

Sanctions on Iran are inhibiting Islamabad's gas pipeline options from its western neighbor. The government said the new pipeline from Gwadar could be reviewed whenever U.S. sanctions pressure on Iran eases.

Related UPI Stories
Latest Headlines
Trending Stories
Pepsi to release 'Back to the Future Part II' inspired Pepsi Perfect
Nobel Prize in medicine awarded to parasitic disease scientists
Womb transplants begin in U.K. after Sweden's success
Gay Vatican priest comes out day before Pope Francis begins synod on family issues
Scientists find roadmap that may lead to 'exercise pill'