India keen to boost energy ties with Iran

A senior Indian official described Iran as a sustainable source of energy, and underlined India's enthusiasm for importing more oil and gas from Iran. Identifying energy security as a major challenge facing India, Lt Governor of New Delhi Najeeb Jung underlined the need for greater efforts to deal with the problem considering the long-term requirement, pti reported. Jung, who had worked extensively in the energy sector, said India must tie up with countries like Iran and Turkmenistan to ensure energy security. "I really wish we can tie up quickly with Iran and Turkmenistan and others. Years ago we were looking for an under sea pipeline from Oman that didn't workout. We must do it." Early in March, Media reports said that Iran, India and Oman are mulling delivery of the Iranian natural gas to the Indian market through a deepwater pipeline, Iranian Foreign Minister Mohammad Javad Zarif, Indian Foreign Minister Salman Khurshid, and Omani Foreign Minister Yousuf bin Alawi bin Abdullah discussed the issue in the Indian capital, New Delhi, at the time. It was the first time the negotiations on the project are being held at the ministerial level. In December 2013, Iran generally agreed to establish the deepwater pipeline, which is planned to cross the Sea of Oman. India’s South Asia Gas Enterprise Pvt. Ltd. (SAGE) has conducted feasibility studies for the planned 1,400-kilometer pipeline, which is estimated to cost $4-5bln and would carry 31 million cubic meters (mcm) per day of gas to India. The envisaged pipeline will carry gas from Iran’s gigantic South Pars gas field. South Pars covers an area of 9,700 square kilometers, 3,700 square kilometers of which are in Iran’s territorial waters in the Persian Gulf. The remaining 6,000 square kilometers, i.e. North Dome, are in Qatar’s territorial waters. India is among Asia’s major importers of energy and relies on Iran to meet a portion of its energy demands. Iran was the second-largest supplier of India’s crude oil before illegal US-led sanctions were imposed on the Islamic Republic about two years ago.