close
Advertisement
Can't connect right now! retry

add The News to homescreen

tap to bring up your browser menu and select 'Add to homescreen' to pin the The News web app

Got it!

add The News to homescreen

tap to bring up your browser menu and select 'Add to homescreen' to pin the The News web app

Got it!
November 23, 2013

Pakistan, India sign initial TAPI gas accord

Sports

AFP
November 23, 2013

ISLAMABAD: In a major breakthrough, Pakistan along with Turkmenistan, Afghanistan and India have signed the Transaction Advisory Services Agreement (TASA) with Asian Development Bank (ADB) at Ashgabat, Turkmenistan, Mubin Saulat managing Director of Inter State Gas System told The News.
“This will enable the Manila-based Asian Development Bank as Transaction Advisor to find a leading, technically and financially sound company that could form a consortium to generate the finances for the much talked about TAPI gas pipeline.”
TASA has been signed with reference to the Turkmenistan-Afghanistan-Pakistan-India (TAPI) Gas Pipeline Project, aiming to import 3.2 billion cubic feet per day of natural gas from Turkmenistan to be shared among Afghanistan, Pakistan and India.“The project will be completed as per the envisaged timelines and schedule by the end of 2017.”
The sources said under TASA, ADB as transaction advisory will be charging a fee of $50,000 per month from the four countries meaning that every country will give over $12,000 per month. “The consortium leader will pay $30 million to the Transaction Adviser on the date on which the consortium leader assumes responsibility. The gas will be imported from Yolotan-Osman gas field in Turkmenistan under TAPI gas line of 56 inches. The consortium will lay down the whole trans-border pipeline from Yolotan-Osman gas field in Turkmenistan through Afghaistan, Pakistan upto India.
However, the government of Pakistan is aggressively pursuing the Project in order to meet the gas shortfall in the country.In pursuance of the agreement, the four countries have appointed ADB as the Transaction Advisor for the TAPI Project. Mr. Mobin Saulat, Managing Director, Inter State Gas Systems (Pvt) Ltd. signed the agreement on behalf of the Government of Pakistan. The representatives from GAIL, India, Afghan Gas Corporation, Afghanistan and Turkmen gas, Turkmenistan signed the agreement on behalf of their respective

governments.
The Transaction Advisory Services Agreement was approved by the Economic Coordination Committee of the Cabinet in its meeting held on November 13, 2013. As per TASA, the ADB has been tasked to advise on the incorporation of special purpose company for the project i.e. TAPI Ltd., to facilitate arrangements with a technically competent and financially sound international oil company, and draft and negotiate all related agreements on behalf of the four TAPI countries. TASA signing is a big milestone towards smooth and early implementation of the TAPI Gas Pipeline project. The government of Pakistan intends to complete this project on a fast track basis with the support of participating countries and ADB. It is hoped that the project will be completed as per the envisaged timelines and schedule by the end of 2017. The signing ceremony of TASA was witnessed by a large number of representatives of international oil and gas companies and diplomatic community on the occasion of 18th International Oil and Gas Conference (OGT 2013) held in Ashgabat, Turkmenistan.