Prime Minister Shehbaz Sharif has formed a high-level committee to find a mutually acceptable solution to the long-delayed Pak-Iran Gas Pipeline project, Petroleum Minister Ali Pervaiz Malik told the Senate on Tuesday.
The committee will examine the project’s legal, financial and energy-related aspects, including Pakistan’s potential financial liability arising from the ongoing arbitration proceedings and the country’s future energy requirements.
The pipeline dispute has moved to international arbitration in Paris after Pakistan failed to complete its portion of the project. Iran has already made substantial progress on its side, bringing gas from the South Pars field to a location near the Pakistani border.
Pakistan has faced difficulties moving forward with the project, citing US sanctions on Iran and financing constraints. The government is now seeking a negotiated settlement with Tehran to avoid further complications from prolonged litigation.
The project was designed to supply Pakistan with around 750 million cubic feet of gas per day, potentially strengthening the country’s energy supply at a time when domestic gas reserves are under pressure.
Petroleum Minister Ali Pervaiz Malik said the leadership of Pakistan and Iran remains engaged in efforts to reach an amicable settlement that protects both sides’ interests.
