NEW DELHI, Feb 12: A pipeline through Pakistan for import of natural gas from Iran to India could be ready by the end of 2009 if an agreement is reached with Tehran in June, a senior oil ministry official said on Friday.

The $4-billion pipeline from Iran via Pakistan to import gas had been proposed for meeting the growing energy needs of Asia's fourth-largest economy.

Pakistan, which stands to earn millions of dollars in transit fees, has been keen on the project for years, but plans have made little headway because of political tensions with India.

The Press Trust of India quoted Petroleum Minister Mani Shankar Aiyar as saying he planned to visit Tehran in June to discuss the import of natural gas.

I am going to Tehran in June and hope this would act as a catalyst in furthering an agreement on import of natural gas through a pipeline passing through Pakistan, the news agency quoted Aiyar as saying.

The Indian cabinet this week authorised the oil ministry to negotiate with Iran, Myanmar, Pakistan, Bangladesh and Turkmenistan for building pipelines to import natural gas.

India produces only half the natural gas it uses and analysts say large transnational pipelines will be viable in the region only if gas reaches its vast market.

The government said natural gas imports were necessary to sustain the expected 7-8 per cent annual economic growth.

Petroleum Secretary S.C. Tripathi told reporters work on the pipeline could start in two or three years and if the work progresses the pipeline would be ready by October-December 2009.

India recently signed an agreement to import natural gas from Myanmar via Bangladesh and said a panel would be set up to work out the details such as the route of the pipeline and the price of gas.

India can consider giving a sovereign guarantee for the proposed Iran-Pakistan-India gas pipeline provided there is a reciprocal guarantee from the supplier side, Tripathi said.

The country has an estimated natural gas demand of 150 Million Standard Cubic Metres per day (MMSCMD) but the current availability is about 83 MMSCMD, both from domestic sources and imports. -Reuters