Pakistan has re-opened negotiations with Russia on a 1000-kilometer-long natural gas pipeline.

ByShehryar Makhdoom | Published date:
pakistan-has-re-opened-negotiations-with-russia-on-a-1000-km-long-natural-gas-pipeline

According to a major newspaper, the Pakistan Stream Gas Pipeline (PSGP), which is 1,040 kilometers long, is being discussed again. Despite the difficulties in moving forward, the pipeline project to be built between Karachi and Kasur has received much attention from investors.

The project's ultimate goal is to aid in reducing the country's growing demand for LNG.

Preliminary Russian FEED (Front-End Engineering Design) studies were provided to the Kuwaiti delegation during the first day of the bilateral talks, which focused on the pipeline's structure.

A debate arose about OGRA's right to implement the project. According to Pakistani officials, OGRA's current license was still valid. Despite this, the Russian party asserted that support needed to be obtained through an SPC and was thus obtained by the Inter-State Gas System. So the corporation proposed that it be in charge of the project's implementation.

The gas companies submitted facts about their capability to handle the RLNG-I and RLNG-II pipelines and their ability to keep the operation running smoothly.

The formal start of the discussions will take place today, and they will be completed in three days. The problem of the pipeline's diameter will be settled later.

After these discussions, the two nations were able to work out the scope and details of the vast undertaking. After completing the technical specifications, project funding costs can be estimated, and the project can commence.

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