Iran and India disagree over sub-sea pipeline

Vol 8, PW 7 (30 Jun 04) News in Brief

Iran continues to dismiss as unviable the subsea pipeline option for gas exports to India despite continued reluctance by Delhi to abandon the idea.

As far as we are concerned the deepsea pipeline route is off, reveals a Tehran source. It is not viable.

On 28th and 29th June, India began government-to-government talks in Delhi with a delegation from Iran on all gas export options to India, including the subsea pipeline. The Delhi agenda includes a meeting of the technical subcommittee for the pipeline projects both subsea and overland, a GAIL source tells this report.

The technical subcommittee still has the subsea pipeline before it. We expect Snamprogetti to hand in its report by September this year.

Only after this happens will the subcommittee take a view whether or not to go ahead with the project. Also to be discussed is an Iranian proposal to supply 5m t/y LNG to India over 25 years.