http://www2.irna.ir/en/news/view/menu-237/0807259496121129.htm

*India, Pak, resolve bilateral issues impeding implementation gas pipeline
from Iran*

India and Pakistan Friday said they have resolved all bilateral commercial
issues impeding implementation of the $ 7.4 billion gas pipeline from Iran
and will jointly address Tehran's demand for price revision.

"I am happy to report that as far as Pakistan and India are concerned, we
have resolved all bilateral issues. There is no issue whatsoever that needs
to be addressed now," visiting Pakistani Foreign Minister Shah Mahmood
Qureshi told reporters after a brief meeting with Petroleum Minister Murli
Deora.

India has been boycotting Iran-Pakistan-India gas pipeline talks since
August 2007 over transit fee demanded by Pakistan for passage of gas through
that country.

Differences between the two nations were narrowed at a meeting of oil
ministers in Islamabad in April.

"Transit fee is a small issue. We have reached an agreement on the
principles of charging transit fee. India remains fully committed to the
project," Deora said.

Meanwhile, according to PTI, Oil Secretaries of the two countries will now
meet, as early as July 1 in Madrid, to evolve a strategy to deal with Iran's
insistence on a price revision clause in rates already agreed by the three
nations. Both India and Pakistan are opposed to the new clause and plan to
make a joint case at the trilateral meeting that may take place in Tehran
next month.

Qureshi, who also holds additional charge of oil ministry, said that his
country had no issues with India's demand that Iran hand over custody of gas
at the India-Pakistan border and not at Iran-Pakistan border, as had been
suggested by Tehran, to cut transit risk through Pakistan.

On security of the pipeline and the safe passage of gas, which has been the
prime concern of New Delhi, he said "Pakistan will address the security
issue and provide fool-proof security."


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