Iran-Pakistan gas pipeline: Pakistan’s $2bn LNG pipeline project has hit a snag after it emerged that the Russian firm contracted to execute the scheme is subject to US sanctions. After the Russian government signed a deal with the Pakistani administration to lay the pipeline from Karachi to Lahore for the transportation of imported LNG, it appointed RT Global Resources (RTGR) to execute the project; but RTGR’s CEO is Sergei Chemezov a former KGB officer and close ally of President Putin.
“Now we have found out that the US has imposed sanctions on RTGR, [which is] causing bottlenecks in executing the LNG pipeline project,” a Pakistani official.
The pipeline deal was signed last October, with Moscow agreeing to lend Islamabad $2 billion for the project in return for Islamabad giving RTGR the contract to lay the 12.4bn bcm, 1,100km pipeline without going through a bidding process.
RTGR’s involvement in the project is now in doubt.