Photo: Bloomberg

Photo: Bloomberg

India offers to build pipeline for oil export to Pak: report

India offers to build pipeline for oil export to Pak: report

Islamabad: India has offered to build a pipeline to the Wagah land border and supply 50 million tonnes of petroleum products a year to meet Pakistan’s requirement, media reports said on Tuesday.

The offer was made during talks on Monday between a visiting Indian delegation led by P Kalyanasundaram, director (international cooperation) in the petroleum ministry, and a Pakistani team headed by joint secretary Shabbir Ahmed of the petroleum ministry.

Photo: Bloomberg

India offered to build a pipeline to the Wagah border to export oil to meet all of Pakistan’s needs if New Delhi is assured of purchases in large quantities over the long run, The Express Tribune newspaper quoted its sources as saying.

Officials said Pakistan can get oil supplies from India at prices that are 30% cheaper because of low transportation costs.

The News daily reported that India had come up with a “surprise offer" to cater to all of Pakistan’s petroleum needs by exporting 50 million tonnes of POL products per annum. It also offered to provide POL products at prices lower than that paid by Pakistan for imports from the Gulf.

An unnamed Pakistani official told The Express Tribune that the two countries were expected to sign a memorandum of understanding (MoU) relating to import of oil and liquefied natural gas (LNG) from India. “India has told us that it has a surplus capacity of 50 million tonnes of oil," he said.

During the first day of technical-level talks in Islamabad, the Pakistani team expressed desire to import all petroleum products, including high-speed diesel, furnace oil, petrol and jet fuel.

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