Iran Cancels Pakistan Gas Pipeline Project

TEHRAN: Iran says it has canceled Pak-Iran Gas pipeline project. Iran says that Pakistan have no interest in this project so Iran is going to cancel this project. “Pakistani officials were told in recent talks that, given the sanctions, Iran is not able to finance construction of the pipeline (in Pakistan) and has no obligation to do so,” he said. He said Tehran will demand compensation if Islamabad fails to take Iranian gas by end of next year. Under a valid contract, Pakistan is required to finish construction of the pipeline on its territory by the end of 2014. “If a contractor is chosen today and pipeline construction begins today, it will take four years to complete it. Should Pakistan fail to take gas by the end of next year, Iran will demand compensation under the terms of the contract,” he said.