IPI pipeline plans won’t affect N-deal

NEW DELHI: The Indo-US civil nuclear deal will not prohibit India from inking an agreement with Iran for sourcing oil and gas from the country. New Delhi can go ahead with its plans to lay an Iran-Pakistan-India (IPI) gas pipeline without endangering the nuclear deal.

The visiting US Secretary of Energy Samuel W Bodman has said that the US has no objection to India’s proposed hydrocarbon deals with Iran. India also plans to import LNG annually from Iran. “The India-Iran pipeline is not an issue that will affect the 123 agreement,” Mr Bodman said. “Our country’s position is that Iranians, not withstanding their protestations to the contrary, are seeking nuclear weapons and anything that helps is not good,” he added.

During a meeting with Mr Bodman, petroleum minister Murli Deora appraised him of the developments regarding the IPI pipeline. The US official did not raise any objections to the proposed pipeline or the LNG deal that New Delhi is negotiating with Tehran, he told reporters after the meeting. The two leaders met on Tuesday as part of the ongoing Indo-US Energy Dialogue.

Replying to a question regarding the US’ objection to India’s LNG deal with Iran, Mr Deora said that Washington had nothing to do with it. The discussions reviewed progress in areas of safety in oil and gas, co-operation in strategic storage, infrastructure, R&D, gas hydrates and information exchange, an official in the ministry said.

Referring to the success of NELP rounds, Mr Deora emphasised the need for greater participation of American oil firms in the Indian hydrocarbon sector. “The American oil companies could take advantage of the next offer of exploration blocks under NELP-VII which would be launched soon,” he told Mr Bodman.

Mr Bodman also met minister of power Sushilkumar Shinde to review the progress of the several working groups of the Indo-US Energy Dialogue. Mr Bodman is also meeting with Prime Minister Manmohan Singh. On the issue of greater participation by the US companies in the Indian energy sector, Mr Bodman said that he had met with the representatives of 18 American companies who were active in the areas of oil & gas exploration, equipment manufacturing and coal-based power projects.