Pakistan starts work on Iranian gasline opposed by US

The Presidents of Iran and Pakistan marked the start of Pakistani construction on a much-delayed gas pipeline on Monday, Iranian media reported, despite US pressure on Islamabad to back out of the project.

Dubbed the "peace pipeline", the $7 billion project has faced repeated delays since it was conceived in the 1990s to connect Iran's giant South Pars gas field to Pakistan.

Iranian state television showed live footage of President Mahmoud Ahmadinejad and Pakistani President Asif Ali Zardari shaking hands and offering prayers after unveiling a plaque to mark Pakistan's involvement.

Alluding to the United States, Mr Ahmadinejad accused "foreign elements" of seeking to undermine Iran's relations with Pakistan and to thwart the Islamic Republic's progress by using its nuclear programme as a pretext.

"I want to tell those individuals that the gas pipeline has no connection whatsoever with the nuclear case," Mr Ahmadinejad said in a translated address broadcast live on state television that followed the ground-breaking ceremony."

"BROWNIE POINTS"

Pakistan has pursued the pipeline scheme as a way of alleviating severe energy shortages that have sparked demonstrations and battered a weak government. At the same time, it badly needs the billions of dollars it receives in US aid.

The two sides hope the pipeline will be complete in time to start delivery of 21.5 million cubic metres of gas per day to Pakistan by December 2014.

The project faces security challenges posed by ethnic Baluch militants who have demanded greater control over Baluchistan's natural resources, and by Iranian Sunni insurgents also based in Pakistan who are fighting for greater rights in Iran.

"Having a pipeline running through the region makes it particularly vulnerable to bombings and disruption," said Mr Skinner.

"Washington could bolster its support for local elements, causing significant disruption to pipeline infrastructure", he added.

Copyright @ Thomson Reuters 2013