Photonews Logo Photonews logo
  • Home
  • Pakistan
    • Punjab
    • Sindh
    • Khyber Pakhtunkhwa
    • Azad Jammu Kashmir
    • Balochistan
    • Gilgit – Baltistan
  • World
  • Business
  • Entertainment
  • Videos
    IShowSpeed Daniel La Belle race
    Videos

    IShowSpeed Beats Daniel La Belle in 40-Meter Race, Hits 41M Subscribers

    June 24, 2025 2 Min Read
    Cardi B new single Outside
    Videos

    Cardi B’s ‘Outside’ Single Sparks Buzz Over Offset and Stefon Diggs

    June 20, 2025 2 Min Read
    Squid Game Season 3
    Videos

    Squid Game Season 3: Final Trailer Unveils Epic Plot

    June 14, 2025 2 Min Read
  • Sports
  • Technology
  • Offbeat
  • Blog
  • Contact
Reading: Work on TAPI pipeline to begin in December
PhotoNews Pakistan PhotoNews Pakistan
Font ResizerAa
Search
  • Home
  • Pakistan
    • Punjab
    • Sindh
    • Khyber Pakhtunkhwa
    • Balochistan
    • Azad Jammu Kashmir
    • Gilgit – Baltistan
  • World
  • Business
  • Entertainment
  • Videos
  • Sports
  • Technology
  • Offbeat
  • Blog
  • Contact
Have an existing account? Sign In
Follow US
© 2022 Photonews. All Rights Reserved.
PhotoNews Pakistan > Business > Work on TAPI pipeline to begin in December
Business

Work on TAPI pipeline to begin in December

Web Desk
By Web Desk Published August 21, 2015 5 Min Read
Share
SHARE

Federal Minister of Petroleum and Natural Resources Shahid Khaqan Abbasi has announced that heads of Pakistan, Afghanistan, India and Turkmenistan will inaugurate a multibillion-dollar transnational gas pipeline project in December this year.

The project, called Tapi pipeline, would be inaugurated on December 25 and would be completed in the next three to four years, said Abbasi while speaking at a press conference along with State Minister of Petroleum Mir Jam Kamal Khan here on Thursday.

He said Afghanistan would be the net beneficiary as it would earn $500 to $600 million in royalty on the shipment of gas through its territory.

The pipeline will run along a highway built in Afghanistan and a special security system will be installed to raise alarm before any incident to ensure the security of infrastructure.

“It is believed that $25 billion will be spent on the upstream and downstream sections of the pipeline,” the minister said.

Upstream development will cost around $15 billion whereas the downstream section will cost $10 billion. Work on both will start simultaneously.

In the last meeting of the Tapi steering committee in Ashgabat, the stakeholders decided that a state-owned company of Turkmenistan would lead a consortium to oversee coordination in the construction, financing, ownership and operation of the 1,800km-long pipeline.

According to the agreement, Pakistan, India and Afghanistan will have 5% obligatory shares in the project, while the Turkmen company, being the lead financier, will have a 51% stake. The remaining 34% will be available to other partner countries.

“We will receive 1.32 billion cubic feet of gas per day, which accounts for 35% of our total production,” Abbasi said, adding the government had collected Rs85 billion in gas infrastructure development cess, which would be spent on the pipeline.

Emphasising the importance of meeting energy needs, the minister said Pakistan would not only complete the Tapi pipeline, but work on the Iran-Pakistan (IP) gas pipeline and more liquefied natural gas (LNG) terminals in Karachi and Gwadar was also under consideration.

China is also constructing a gas pipeline in Pakistan while negotiations are under way with Russia for laying another pipeline at a cost of $2.5 billion.

If the Tapi project was completed on time, the stakeholders would seriously consider building another pipeline from Turkmenistan, the minister said.

Replying to a query, he revealed that a Qatari delegation would arrive on August 24 to talk about LNG supply in a government-to-government arrangement.

A tender was floated for spot purchase of LNG, but no response was received and the only solution was LNG import through a long-term contract with Qatar, he stressed.

Speaking about prices, the minister said prices for LNG, IP and Tapi gas were at the same level when seen in the context of current crude oil prices.

IP pipeline

Abbasi voiced hope that the stalled IP pipeline project could be implemented now as sanctions against Iran were being lifted. In this regard, an LNG pipeline is being laid in Gwadar.

In reply to a question, he said oil price hedging was possible but local oil rates would go up. “People come to us for oil price hedging, but it may lead to a rise in local oil prices.”

The price of diesel and petrol in Pakistan was cheaper by Rs35 per litre compared to prices in India, the minister said.

Gas prices

Abbasi announced that the government had decided to notify 5% to 6% increase in consumer gas prices, which would come into effect from September 1. However, the price increase would not be passed on to domestic consumers.

Share This Article
Facebook Twitter Pinterest Whatsapp Whatsapp LinkedIn Email Copy Link Print
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Advertisement

HBL Saving Made Easy
HBL Saving Made Easy

Recent Posts

Wall Street Tesla

Wall Street Dips as Tesla Falls Amid Trump-Musk Feud Over Tax Bill

Pakistan's Inflation June 2025

Pakistan’s Inflation Rises to 3.2% in June 2025, Aligns with Forecast

International Driving Permit at Lahore airpot

Punjab Launches Pakistan’s First International Driving Permit Kiosk at Lahore Airport

Post Archives

More Popular from Photonews

SCO summit 2025 Qingdao
World

China Hosts Iran, Russia Defense Ministers at SCO Summit in Qingdao

3 Min Read
iPhone 17 Pro Max 2025
Tech

iPhone 17 Pro Max Set to Launch in September 2025 with Major Upgrades

3 Min Read
Fantastic Four trailer
Entertainment

Marvel’s The Fantastic Four: First Steps Trailer Reveals Galactus, Sparks Doom Rumors

3 Min Read
Sports

Manchester City Stunned by Al-Hilal in 4-3 Club World Cup Thriller

On July 1, 2025, Manchester City suffered a sensational 4-3 extra-time defeat to Saudi Arabia’s Al-Hilal…

July 1, 2025
Top NewsWorld

U.S. Airstrikes Failed to Destroy Iran’s Nuclear Sites, U.S. Intelligence Assessment Reveals

A preliminary U.S. intelligence assessment revealed that US airstrikes on Iran’s nuclear facilities, conducted alongside a…

June 25, 2025
Sindh

Karachi Maid Shehnaz Arrested for Rs50M Theft, Owned Luxury Cars and Properties

Karachi police arrested a domestic worker named Shehnaz in the Khayaban-e-Tanzeem area of Defence Housing Authority…

June 25, 2025
Top NewsWorld

Iran Holds State Funeral for 60 Killed in Israel Conflict

On June 28, 2025, Iran commenced a state funeral in Tehran for 60 individuals, including military…

June 28, 2025
PhotoNews Pakistan

Always Stay Up to Date

Subscribe to our newsletter to get our newest articles instantly!

Categories

  • World
  • Pakistan
  • Punjab
  • Sindh
  • Khyber Pakhtunkhwa
  • Balochistan
  • Azad Jammu Kashmir

 

  • Top News
  • Business
  • Entertainment
  • Sports
  • Videos
  • Tech
  • Offbeat
  • Blog

© 2024 Phototnews
All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?