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Russia, Pakistan Ink Gas-Pipeline Deal


Russian Energy Minister Aleksandr Novak (L) and Pakistani Petroleum Minister Shahid Khaqan Abbasi sign an agreement of the North-South gas pipeline project as Pakistani Prime Minister Nawaz Sharif looks on during a ceremony in Islamabad on October 16.

Russia and Pakistan have signed an agreement to build a natural-gas pipeline from Lahore to the Arabian Sea port of Karachi.

Officials announced on October 16 that the North-South pipeline will be built by a subsidiary of Russia's Rostec company and that Russia will invest about $2 billion.

The agreement was signed in Islamabad by Russian Energy Minister Aleksandr Novak and Pakistani Petroleum Minister Shahid Khaqan Abbasi at an event attended by Pakistani Prime Minister Nawaz Sharif.

The first phase of the 1,100-kilometer project is scheduled to be completed by December 2017. Ultimately, it will have a capacity of 12.4 billion cubic meters per year, connecting liquefied natural gas terminals in Karachi and Lahore.

The entire project should be completed by 2020.

Novak is expected to visit Tehran on October 21 for a two-day visit to discuss energy cooperation.

Based on reporting by Bloomberg, TASS, and AFP

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