ISLAMABAD, July 7: Pakistan, Turkmenistan and Afghanistan are meeting in Ashkabad on Monday to formalise technical details of the $4 billion trans-Afghanistan oil pipeline project and an allied liquefied natural gas plant in Gwadar.
A three-member Pakistan delegation, led by petroleum minister Usman Aminuddin, left here on Sunday evening for Ashkabad to attend the three-day trilateral working group meeting on oil and gas pipelines from Turkmenistan to Pakistan.
The other two members of the delegation are: joint secretary development Khurshid Anwar and Sui Southern Gas Company Limited (SSGCL) managing director Mukhtar Ahmad.
The trilateral working group, comprising energy ministers and senior officials of the three countries, was constituted on May 30 last along with two other working groups to implement the pipeline project, enhance trade and develop rail links among the three nations.
It was part of an agreement that was inked here by President Gen Pervez Musharraf, Turkmenistan President Saparmurat Niyazov and Afghanistan Interim Administration Chairman Hamid Karzai on May 30, following a trilateral summit of the three leaders.
Besides the agreement for the construction of 1,500 kilometre-long gas pipeline, the three leaders had also decided to take concrete measures for developing road and rail links and improving trade ties among the three countries.
While the two other working groups are far from scheduling any meeting, the oil and gas pipeline group is taking the lead in view of the international interest in the project.
Pakistan has already established a separate energy firm, Inter-state Company Limited, to look after the import of gas projects and its distribution in the local market. The company is jointly owned by the two gas utilities — SNGPL and SSGCL.
Pakistan’s petroleum ministry was given a comprehensive briefing on the technical details, including probable routes, pipeline technicalities and finances. A plant of liquefied natural gas (LNG) would be set up at Gwadar for export of hydrocarbon to the markets of Far East, including Japan, in cylinders and ships.
A feasibility study had been conducted few years ago, which is currently being reviewed and updated before going for the other important steps of inviting international tenders and seeking finances from the World Bank or other international financial institutions.
Afghanistan is estimated to earn around $300 million as royalty for allowing the pipeline to run through its territory.
Officials in Islamabad did not see the negative impact of the killing of Nangarhar governor Haji Abdul Qadeer on Saturday. Nangarhar and Herat are the provinces from where the pipeline is to pass. Haji Qadeer had given support to the project.
The working groups are required to meet at least once in a quarter to pursue the relevant objectives.