March 31, 2023
2 mins read

Iran may drag Pakistan to arbitration court over pipeline delay

Prime Minister Shehbaz Sharif constituted a committee to resolve the Iranian nuclear problem in light of US sanctions…reports Asian Lite News

Prime Minister Shehbaz Sharif has been informed that Iran has the right to take Pakistan to the Court of Arbitration under French law if the IP (Iran-Pakistan) petrol line project is not finished by February or March 2024, sources quoted by The News International said.

The News International first broke the story under the headline in its issue from January 31, 2023, “Iran dangles the threat of penalty of USD 18 billion over IP gas line project.” The story revealed that Iran had given Pakistan notice to construct a portion of the Iran-Pakistan petrol line on its territory by February or March 2024 or face a USD 18 billion fine. In response to the news story, Prime Minister Shehbaz Sharif constituted a committee on January 31, 2023, at a high-level meeting to resolve the Iranian nuclear problem in light of US sanctions, under the leadership of SAPM on Foreign Affairs Syed Tariq Fatemi.

“Under the new scenario, the committee has submitted its recommendations to the prime minister with a focus to keep Iran engaged and extend assurances that Pakistan is very committed to the project as it is a sovereign obligation of the country,” said top sources, as cited by The News International.

However, they declined to disclose specific recommendations, citing diplomatic sensitivities and the country’s greater interests in delaying public disclosure of the recommendations. But, according to the officials, because the Gas Sales Purchase Agreement (GSPA) was signed between the two countries in accordance with French law, Iran has the right to take Pakistan to arbitration court before February 2024.

The officials also added that Pakistan also urgently needs to start a significant diplomatic initiative to engage top American officials in Washington to request a waiver to implement the project. However, initial communications between senior representatives of the Petroleum Division and the US ambassador in Pakistan resulted in no reaction from the latter. On the other hand, India had managed a waiver from the US sanctions and continues to import POL products from Iran, The News International reported. (ANI)

ALSO READ: Prince Faisal to meet Iran FM during Ramadan

Previous Story

UN rights office concerned over arbitrary arrests by Taliban

Next Story

HP Inc to scale up manufacturing footprint in India

Latest from -Top News

Multi-alignment, upgraded

With US ties strained and China tense, New Delhi taps Europe’s harder edge for co-development, clean tech and strategic autonomy, writes Manoj Menon India is recalibrating its great-power hedging as frictions with

India-EU Trade Deal Breakthrough Soon?

Negotiators report increased momentum in discussions, which have been given a boost from US President Donald Trump’s tariff offensive…reports Asian Lite News India and the European Union aim to finalise a trade

Europe Seeks Peace in Gaza

European countries condemn Israeli interception of Gaza-bound flotilla, demand safety of citizens…reports Asian Lite News Israel’s interception of an international flotilla carrying humanitarian aid to Gaza has sparked condemnation across Europe, with

GAZA: Egypt to Host Peace Talks

Egypt hopes the discussions will help “end the war and the suffering of the brotherly Palestinian people, which has continued for two consecutive years…reports Asian Lite News Egypt will host Israeli and

‘My Injuries Made Me’

During his four-year battle with injury, the incumbent fast bowling spearhead made occasional appearances but couldn’t bear the workload and demands of red-ball cricket….reports Asian Lite News England tearaway Jofra Archer believes
Go toTop

Don't Miss

No peace in Pak-Afghan border as clashes continue

At least one person was killed and 15 others were

Pakistan is living in a fool’s paradise

Kashmir was and is a paradise where people of all