ISLAMABAD: Prime Minister Nawaz Sharif on Friday said that US $1.6 billion will be spent on different development projects in Balochistan, with Gawadar being developed as a model city.

Addressing the Cabinet Meeting, the Prime Minister said the development in Balochistan was a priority for the government and development plans to put the most neglected province on road to progress, “were being implemented expeditiously.”

He said that Gawadar was being developed as a model city and a socio-economic package has been planned for it, adding that Gawadar Airport and Sea Port were being developed on modern lines.

Prime Minister Sharif told the Cabinet that US $1.6 billion will be spent on these projects and added that he himself will monitor these projects.

He said the socio-economic package included provision of skilled manpower through training of human resource in different sectors including health and education, while development of health and education infrastructure to cater for the people of Balochistan have also been planned.

The Prime Minister said: “The public money is sacred and we should ensure its judicious and efficient spending.” He said that the economy was the government's top priority and it was providing equal attention to all parts of the country.

The Cabinet also approved the tariff of US $0.66/MMBTU for LNG services project, secured through competitive bidding process by the Ministry of Petroleum and Natural Resources.

It also decided that the policy guidelines of the tariff, will be conveyed to OGRA.

The Cabinet further decided that other aspects of the commercial agreement will be settled between the two parties, Sui Southern Gas Company (SSGC) and EPTL of Qatar.

Petroleum Minister Shahid Khaqan Abbasi, while briefing the Cabinet, informed that the price of LNG was competitive with the international market.

He said the contract will be for 15 years and will provide 200 MMBTU of LNG in the first year and would be increased to 400 MMBTU from the 2nd year.