ISLAMABAD, 9 September 2005 — India and Pakistan made it clear yesterday that they were pressing ahead with a tri-nation gas pipeline project. The $7 billion project will pipe Iranian gas to South Asia.

A 10-member Indian delegation led by Indian Petroleum Secretary Sushil Chand Tripathy arrived in Pakistan Wednesday to attend the second meeting of the joint working group on the multi-billion dollar Iran-Pakistan-India gas pipeline starting yesterday.

Pakistani delegation was headed by Secretary Petroleum Ahmed Waqar whereas energy adviser to prime minister, Mukhtar Ahmed, also attended the meeting.

Officials from both countries discussed legal, financial, technical and commercial aspects of the project at a meeting in Islamabad. Doubts have been cast over the pipeline after Washington expressed concern about the project because of its opposition to Iran’s nuclear program.

The International Atomic Energy Agency last week said questions remained about Tehran’s atomic activities and confirmed Iran had resumed its uranium processing work, setting the scene for a possible referral to the UN Security Council. “As far as we are concerned, we are going ahead,” Tripathy said.

“We are going ahead with the development of a project structure ... so we can put together a project feasibility and a project structure.”

The two countries are likely to issue a joint statement today outlining their progress in the latest talks.

The proposal to build the pipeline has been discussed for years but uneasy relations between nuclear rivals Pakistan and India has prevented progress. But the plan gained momentum after a peace process between the South Asian nations began early last year.

Pakistan earlier said it wanted the project to be completed by 2010, after which the country would be facing an acute gas shortage.

India has suggested the pipeline should initially bring 60 million cubic meters of gas a day in the first year, which should be upgraded to 90 million cubic meters in the second year and 120 million in the third year. National Iranian Gas Export Co. and National Iranian Oil Co. along with Indian, Pakistani and international companies may own and operate the pipeline but several options would be considered.

— Additional input from Reuters.