Kaladan News

Dated: Monday, February 28, 2005

 

Tri-nations Gas Pipeline MoU will be Soon

 

Chittagong, Feb, 28: A tripartite accord between Burma, Bangladesh and India will be signed next month in Dhaka for the proposed trans-border natural gas pipeline, report says.

 

The 290-kilometer, which would run through Arakan (Rakhine), Burma, Mizoram and Tripura before crossing Bangladesh to Kolkata, is being considered by India to bring gas reserves at Shwe Gas field in blockA-1 in offshore of Arakan State, Burma, as well as volumes that are expected to be discovered in its adjacent block A-3, India’s minister Aiyar said on 27th February 2005.

 

They (3-nation) will also sign by March-end a trip write agreement for placing of a $ 1 billion Burma-India gas pipeline. We hope construction on the pipeline to Bangladesh, which would earn about US$ 70-80 million annually at transit fee for the pipeline, wants it to run through Cox’s Bazar, the minister further added.

 

A draft of the MoU has been finalized at the first meeting of the Techno-Economic Working Committee on Burma-Bangladesh-India gas pipeline which concluded in Rangoon on February, 25.

 

As per decision of the meeting three countries would conduct their own feasibility studies and submit the reports within 6-month.

 

It is learnt that the MoU after approval of the respective governments might be signed in April next in Dhaka.

 

According to a primary decision of the leaders of the three countries, a Six-member technical committee comprising two members from each country worked to finalize the draft.

 

 A joint project team of officials from oil firms of the three countries will be formed to study the feasibility of the pipeline project in six months. The team will also detail the financing and operational aspects and maintenance of the project. It will also decide the volumes, quantity and price of gas and size of the pipeline, Aiyar said. ##

 

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