Pakistan, Russia ink agreement to build an offshore gas pipeline

[Taimoor Khan]

ever Seen Crimea on the map?

How Crimea is relevant to Pakistan? Between us and Russia is either China or all the "stans" centeral Asians countries., overland.

 

[RIP Pak LAW]

I think agreement is of just 'feasibility' study.

p.s. something doesn't seem right with this project or it is not disclosed yet. It only make sense if gas is further routed to China and India via Pakistani land. Also major exploration of gas is going on in Pakistani waters so in case of discovery, what will be the use of this imported gas to us ?

 

[VCheng]

“Both countries have concluded various proposals in the energy sector, including construction of North-South Gas Pipeline, import of LNG from Russia, installation of air mix plant and establishing a 600MW combined cycle power plant,”

Now this makes more sense. A North-South pipeline would be a great step. I think the OP used the word "offshore" wrongly, and that would explain my confusion, but this clarifies it for me.

 

[Sugarcane]

Now this makes more sense. A North-South pipeline would be a great step. I think the OP used the word "offshore" wrongly, and that would explain my confusion, but this clarifies it for me.

North-South pipeline is separate project which have to be built in any case for transportation of gas (LNG and IP/IPI offshore or onshore if ever materialized). The offshore pipeline is separate, if you still are confused than you can read below link about Gazprom signing similar MoU with Iran (India backed out from project for time being, but Gazprom is going ahead with feasibility study perhaps after that they will negotiate with India again)

On November 1, 2017, the Russian Energy Ministry and the Iranian Petroleum Ministry inked the Memorandum of Understanding to cooperate on the construction project for the Iran – Pakistan – India offshore gas pipeline.

http://www.gazprom.com/press/news/2017/november/article376878/

 

[War Thunder]

How Crimea is relevant to Pakistan? Between us and Russia is either China or all the "stans" centeral Asians countries., overland.

You said we don't share the sea.
Try looking at the map about sharing a sea shore.

 

[VCheng]

North-South pipeline is separate project which have to be built in any case for transportation of gas (LNG and IP/IPI offshore or onshore if ever materialized). The offshore pipeline is separate, if you still are confused than you can read below link about Gazprom signing similar MoU with Iran (India backed out from project for time being, but Gazprom is going ahead with feasibility study perhaps after that they will negotiate with India again)


http://www.gazprom.com/press/news/2017/november/article376878/

Thank you for that explanation. These are only feasibility studies, so let's see what becomes of them.

 

[manga]

It look like This PL will go to India as well...………. I am all in for this …… Gas from Iran , seller Russia , buyer India and Pakistan...….. Pakistan get extra(royalty) as well. And avoiding land will safe this project from many international and local hazards and India can feel extra safe about this pipeline …

Why and who will pay extra royalty to pakistan for this project ?

 

[ghazi52]

Pakistan signs $10 bn gas pipeline agreement with Russia

ISLAMABAD: As a major sign of increasing economic cooperation, Pakistan and Russia on Wednesday signed an inter corporate agreement for the laying of more than 1,500 km offshore gas pipeline costing $10 billion that would be transporting natural gas from the Russian gas company Gazprom’s sources in the Middle East to Pakistan with possibility of extending it further to South Asian countries.

Mobin Saulat, Managing Director of Inter-State Gas Systems (ISGS), a state-owned company with the mandate to build gas pipelines and gas import projects, and Vitaly A Markelov of Russian Gazprom Gas Company signed this Inter Corporate Agreement (between companies) here.

Initially, the feasibility study of this $10 billion offshore gas pipeline project would be carried out by Gazprom at its own expense. The pipeline would follow an integrated approach, including other ancillary projects such as Under Ground Gas storage, desalination and other power projects.

Pakistan will import some 500 million to one billion cubic feet of gas per day (MMCFD) from these Russian sources, which would be transported via sea link, the agreement stipulates. The pipeline construction is expected to be completed in three to four years.

Russia holds huge gas deposits in Bahrain, Qatar and other Middle Eastern countries and had offered Pakistan and India gas exports by laying the offshore pipeline that would be passing through Gwadar.

A Russian delegation headed by Vitaly A. Markelov, Deputy Chairman of the Management committee, PJSC, ‘Gazprom’ International, visited the Petroleum Division and held a meeting with Petroleum Minister Ghulam Sarwar Khan and other government officials.

According to a statement, federal Petroleum Minister Ghulam Sarwar Khan appreciated the expanding trajectory of bilateral relations between Russia and Pakistan. Khan welcomed Gazprom’s interest in offshore gas pipeline project and termed it a manifestation of multifaceted cooperation between both countries.

The Russian side thanked their Pakistani counterparts for the facilitation being extended in preparing necessary groundwork for the project and renewed their commitment to deepening energy cooperation between both sectors. The Russian side invited the federal minister to visit Russia at mutually convenient dates, which the minister gladly accepted.

Pakistan’s energy demand is multiplying under the China Pakistan Economic Corridor (CPEC) and industrialisation drive. It would meet its demands to a large extent through this project. Besides, it would place Pakistan on the world map as transit country for offshore gas pipelines.

It is worth mentioning that this project has been planned by the Russian government to capture the Pakistani market. Pakistan has been experiencing gas crisis, particularly in winter, for the past many years as domestic production has declined with new additions being offset by depleting old deposits. In a bid to tackle the crisis, the PML-N government started liquefied natural gas (LNG) imports from Qatar under a 15-year agreement and brought supplies from other sources as well.

The ISGS is also working on the Turkmenistan-Afghanistan-Pakistan-India (Tapi) gas pipeline. It has also been designated by Pakistan for executing the pipeline project along with Russia’s energy giant Gazprom.

The under-construction CPEC is making the region more important for foreign investors. Special Economic Zones (SEZs) are being constructed under the CPEC to boost industrialisation in the country.

Russia has nominated Public Joint Stock Company, Gazprom, for implementation of the project. Pakistan’s cabinet has permitted the company to conduct the feasibility study at its own cost and risk.

Separately, the ISGS is working on the $10 billion Tapi gas pipeline, which will connect South and Central Asia. Construction work on the scheme in Pakistan is planned to start in March 2019. These projects are termed game changer for Pakistan.

Owing to a long-running tussle with Europe and the United States over the annexation of Ukrainian region of Crimea, Russia is looking for alternative markets and wants to capitalise on the increasing energy demand in South Asia.

Russia has been a huge gas exporter to the European Union (EU) countries and Turkey for long and despite US anger, Moscow has continued to provide gas to them. Moscow receives gas from Turkmenistan and then exports it to the EU states.

 

[Clutch]

Gwadar is quickly becoming a major oil and gas hub.

Need to fast track its basic infrastructure.

 

[Arsalan]

Can someone explain how this would work on a map of the world as it exists on this planet, pretty please.

This is what the report had to say about it:

Gazprom will use the pipeline to transport gas from its sources in the Middle East onwards to Pakistan and may extend it further to South Asian countries. “The pipeline would follow an integrated approach including other ancillary projects such as Under Ground Gas storage, desalination, and other power projects,” the press release said.

 

[POPEYE-Sailor]

After failing TAPI, PAK-IRAN_INDIA Gas pipe line and LNG from Qatar.. Now here we have PAK-RUSSIAN GAS PIPE LINE lol xD

 

[Taimoor Khan]

You said we don't share the sea.
Try looking at the map about sharing a sea shore.

Well perhaps reading the story first will make sense? They are talking about building pipeline! If they want to get Russian gas into Pakistani market, would it make sense to build a pipeline starting from Crimea, into black sea, into Mediterranean, into red sea, into Arabian sea and to overland in Pakistan, OR, having a pipeline from Russia, into China and enter Pakistan??

 

[VCheng]

This is what the report had to say about it:

Thank you for that, but I noticed it too, and came to the conclusion that it is best to wait and see what actually happens after the feasibility studies are done. Gasprom is a giant in the global energy market and its involvement can only be good for Pakistan. This is a potentially promising development.

 

[Pakistansdefender]

Pakistan will import some 500 million to 1 billion cubic foot of gas every day from Russia, which would be transported via sea link, the agreement says. The pipeline construction is expected to be completed in three to four years.

There is no sea between Russian Federation and Pakistan. Unless they are talking about the Gas fields Russia owe within Iranian territory and wants to sells the gas from there to Pakistan. But still why the sea? Just build overland pipeline from Iranian territory into Pakistan.

They are talking about the very same.
Our reporting is pathetic.
Other reports mentioned gass fields owned by Russia in Iran and Oman.

 

[nahtanbob]

This is what the report had to say about it:

"Russia holds huge gas deposits in Bahrain, Qatar and other Middle Eastern countries"

there is no evidence that is true