India, Iran set for energy talks during Ahmadinejad visit
INDIA: Iran's President Mahmoud Ahmadinejad was to arrive in New
Delhi Tuesday for a lightning visit due to be dominated by talks on gas
supplies as energy-starved India searches for new fuel sources.
Ahmadinejad, who will be in Delhi for less than five hours, was to
meet Prime Minister Manmohan Singh in the evening with two long-stalled
multi-billion-dollar deals in the works, the foreign ministry
said.."Energy issues are on the agenda for talks," said a ministry
official.
Hopes are high for progress on a 7.5-billion-dollar project to
transport Iranian gas to Pakistan and India. The project was first
mooted in 1994 but stalled by disputes over prices and transit
fees..However, Indian and Pakistani energy ministers meeting in
Islamabad said last Friday they had made "significant progress" in
discussions on transit fees and were hopeful work could start on the
project next year.
On Monday, Iran and Pakistan also said they had ironed out hurdles
delaying the 2,600-kilometre (1,615-mile) project during a brief
stopover by the Iranian president in Islamabad on the first leg of his
whirlwind South Asia tour.
India in 2005 signed another deal with Iran, which has the world's
second largest known gas reserves after Russia, for the supply of five
million tonnes of gas per year for 25 years..But that agreement,
estimated at over 20 billion dollars, has also stalled over price
disputes.
The Iranian embassy and the Indian foreign ministry plan to brief
reporters on the outcome of the visit after Ahmadinejad departs New
Delhi on a special flight.
India has been under pressure from the United States not to do
business with Iran, viewed in Washington as a state sponsor of terrorism
and seen as bent on acquiring nuclear weapons..But energy-hungry India,
which imports more than 70 percent of its energy needs, has been racing
to secure new supplies of oil and gas from abroad besides ramping up
domestic production to sustain its booming economic growth.
Last week India curtly told the US not to interfere in its dealings
with Iran after a State Department spokesman said Washington would like
New Delhi to put pressure on Ahmadinejad over his country's nuclear
programme.
India's stand was met with approval by Tehran, earlier angered by
India's votes against it at the International Atomic Energy Agency and
its commercial launch of an Israeli spy satellite in January.
Ahmadinejad will arrive in New Delhi after a visit to India's
southern neighbour Sri Lanka, which relies on Iranian crude for 70
percent of its oil supplies..During his stay, Ahmadinejad's first to
India, he will also meet his Indian counterpart Pratibha Patil. New
DLelhi, Tuesday, AFP
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