The Trump administration is preventing the Iran-Pakistan natural gas pipeline to be completed, Iran’s parliament speaker, Ari Larijani, said this week following a meeting with Pakistani officials in Turkey, Kallanish Energy reports.
The 1,724-mile gas pipeline, designed to supply South Pars gas to Pakistan, has previously stalled amid pressure from the U.S. Pakistan was then asked to abandon the project in exchange for support in the construction of a liquefied natural gas (LNG) import terminal.
With Washington about to impose new sanctions on Iran, targeting primarily the Iranian oil and gas industry, Islamabad is once again facing renewed challenges to fulfil its agreement with Iran. Threat of economic sanctions on Pakistan is reportedly on the table.
“The U.S. is blocking completion of the Pakistani section of the Iran-Pakistan gas pipeline and doesn’t want Iranian gas to be exported to Pakistan,” Larijani was quoted as saying by the parliament’s official website.
Under the agreement signed by Pakistan and Iran, each country should finish its section of the line, or a daily penalty of $1 million would apply. Iran has threatened to file a $1.2 billion damages claim in an international arbitration court against Pakistan.
