Crescent Petroleum to expand Qatar-Pakistan pipeline consortium
(MEBG) - Crescent Petroleum is thinking on adding new members to a consortium which will construct a gas pipeline from Qatar to Pakistan, reported Gulf-News on July 24. The pipeline will have a capacity of 1.6 billion cubic feet per day, and is expected to be laid within 30 to 36 months at a cost of $2.5 billion to $3 billion.
The Crescent Petroleum-led consortium, which is better known as the Gulf South Asia (Gusa), currently counts among its members has among its members: Total, Brown and Root, TransCanada and Itochu. It first signed a memorandum of understanding with Qatar General Petroleum Corp in 1991 to lay the pipeline
The consortium has long been pursuing the project, but unattractive gas price and a failure to sign up a primary buyer prevented progress. However, on July 18, Crescent signed a memorandum of understanding with Pakistan's Ministry of Petroleum and Natural Resources, according to which Pakistan will become the end-destination for the pipeline.
Crescent Petroleum will begin negotiating gas sales and purchase agreements with QGPC and Pakistan in the next 12 months.
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