The Gulf Cooperation Council (GCC) states are considering building a joint gas distribution network with a $1 billion price tag, reported the Gulf Daily News on Wednesday.
The pre-feasibility study for the project, which is at a very preliminary stage, is to be done at a cost of up to $200,000 (BD75,600), said Bahraini Oil Undersecretary Mohammed Saleh Sheikh Ali.
His remarks came following a meeting of GCC Oil undersecretaries in Bahrain, said the paper.
The GCC states agreed to go ahead with the pre-feasibility study on the gas pipeline network, said Sheikh Ali.
The study, which will take about six months to complete, will cost $170,000 (BD64,260) to $200,000 (BD75,600.
A meeting of GCC oil ministers will later review the findings of the study and decide on further steps to be taken on the project, he added.
It is expected that the gas pipeline network will cost more than $1 billion, said Sheikh Ali.
He noted that the project strategy did not involve the storing of oil reserves for emergencies, but was rather “a procedural plan.”
The meeting decided to go ahead with a simulation trial of an oil plan, he said.
The joint oil policy will determine the common denominators among the GCC states and formulate future plans for maximizing the benefits to the GCC oil industry, he said – Albawaba.com
