NEW DELHI, 17 June 2006 — With the importance of Kuwaiti Emir Sheikh Sabah Al-Ahmad Al-Sabah’s visit extending beyond oil diplomacy for India, President A.P.J. Abdul Kalam touched upon crucial issues of global, regional as well as bilateral importance, including Iran and Iraq, while addressing a banquet hosted in his honor on Thursday night.

“India and Kuwait would like to see the issues relating to Iran being settled through dialogue and consultations with respect for international law and obligations by each and every party concerned,” Kalam said.

On Iraq, Kalam said India was “sincerely interested in seeing peace and stability return to Iraq in the interest of its people and the region.” Taking note that economic and commercial cooperation between India and Kuwait was not commensurate with its true potential, despite their bilateral relations being free from any political problem, Kalam expressed the hope that this visit would enhance the same.

“As India rapidly expands its economy in the coming years, our cooperation in the energy and related sectors will be an important area underpinning our partnership,” he said.

With oil diplomacy a focus of Kuwaiti delegation’s visit, the Indian Oil Corporation (IOC), offered a stake to Kuwait Petroleum Corporation (KPC) in its upcoming petrochemical plant at Panipat in Haryana and Paradip refinery in Orissa.

The issue was discussed during the 40-minute meeting between visiting Kuwaiti Oil Minister Sheikh Ahmad Fahd Al-Sabah and IOC Chairman Sarthak Behuria. Later, Behuria told reporters: “We discussed the Panipat (project) and Paradip refinery… The discussions focused on (possibility of) equity participation (in the projects).”

Without divulging the quantum of stake offered to KPC, Behuria said: “These are preliminary discussions. Let’s see how things shape up.” Describing his meeting with Indian oil representatives as “positive,” the Kuwaiti minister pointed to there being many investment opportunities for Kuwait in India and visa versa.

“India is considered one of the world’s largest markets and we would like to see Indian companies entering the Kuwaiti market,” he said. Expressing the hope that a joint project between Indian and Kuwaiti oil firms could be launched soon, with operations in both countries, he said: “I believe we are at an advanced stage. I think it’s getting a positive signal, very soon we will have a joint project here and also in Kuwait.”

Displaying Kuwait’s interest to invest in existing Indian refineries, Al-Sabah said: “We are looking to invest as a joint venture partner in existing Indian refineries and have already signed two MOUs (memorandums of understanding) for the same.”