Inter State Gas Company (ISGS) has issued tenders for revalidating the survey and Front-end Engineering Design for the Pak-Iran gas pipeline project, amid anticipation of Iranian President Ebrahim Raisi’s visit to Pakistan on April 22. Delays in the project, originally slated for completion in 2014, have been attributed to US sanctions on Iran.

Under the agreement, Pakistan faces an $18 billion penalty if the project isn’t finished by March 2024. The crucial 80-km pipeline section, housing two compressors to handle an initial gas flow of 100mmcfd, is vital for meeting local demand and avoiding penalties.

Land acquisition is in progress, with the next step being the awarding of the Engineering, Procurement, and Construction (EPC) contract. The project’s total cost is estimated at Rs44 billion.

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