KARACHI, Feb 22: Managing Director Sui Southern Gas Company Limited (SSGCL), Munawar Baseer Ahmad, while expressing the Pakistan’s government position, has said that the Iran-Pakistan-India Gas Pipeline project will remain feasible even it is restricted to supplying gas from Iran to Pakistan alone.

Commenting on the statements made by some of the Indian speakers at the 11th International Middle East Gas Summit 2006 held in Doha from February 19-21 regarding uncertainties associated with the Iran-India Pipeline, he said that the pipeline should actually be seen as Iran-Pakistan-India pipeline.

He said that the demand for natural gas was growing at a rapid rate in Pakistan in view of the accelerated GDP growth targets set by the government, says a press release issued by the SSGCL.

The MD SSGCL presented Pakistan’s 25-year National Energy Plan at the summit and the country’s robust gas distribution infrastructure.

The SSGCL’s integrated LNG import project is envisioned to create additional capacity of between 3 to 3.5 mtpa, equivalent to 400-500 mmcfd of natural gas, in the first phase. The project requiring an estimated capital investment of $400-500 million, including the construction of an LNG storage and re-gasification terminal near Karachi, and is set for completion in 2009. In the second phase its capacity is projected to be increased by another 3.5 mtpa equivalent to nearly one bcfd of natural gas.

Munawar Baseer said that the financial and technical advisers appointed for the LNG project are in the process of completing the feasibility studies and giving the project a final shape. He hoped that as a result some viable options would emerge for Qatar to become a part of Pakistan’s LNG supply chain.

Abdullah Bin Hamad Al-Attiyah, Second Deputy Premier and Minister of Energy and Industry of Qatar, in his keynote address said the steady increase in the price of oil in recent years, and the growing uncertainty about prices and supply in future, will accelerate the pace of development of the natural gas projects.

He also pointed out that traditionally Japan and South Korea were major markets for LNG from Qatar, but the focus is now shifting towards regional markets. He stated that Qatar was looking at the requirement of the neighbouring states, as these are expected to receive sizable off-take on an economic basis.