India on Tuesday said its vote against Iran's nuclear plans will not affect the prospects of the proposed $7.4 billion Iran-Pakistan-India gas pipeline and its $22 billion deal to import LNG from Tehran.
"No, I do not believe current development would in anyway adversely affect the progress made on the Iran-Pakistan-India gas pipeline or the import of liquefied natural gas,"
Petroleum Minister Mani Shankar Aiyar told reporters in New Delhi.
New Delhi had last week along with the US and EU voted on a resolution that would refer Iran to the UN Security Council for sanctions if Tehran did not abandon its nuclear programme.
Iran is reported to have expressed disappointment at India's stand at the International Atomic Energy Agency vote and its ambassador had stated that the fate of the LNG deal and the pipeline depended on New Delhi's future stand.
Aiyar said he was in agreement with the government's decision on the IAEA vote.
India had in June, before the present government led by Mahmoud Ahmadinejad took over in Iran, inked a pact with Tehran to import 5 million tonnes of LNG per annum beginning 2009-10 but the agreement is yet to be ratified by the board of National Iranian Oil Co, the firm that will execute it.
"I am aware that NIOC has not yet ratified the LNG deal," Aiyar said but anticipated no problems on that front.
Iran, Pakistan and India are continuing negotiations on the proposed 2,400-km pipeline and hope to finalise a tripartite agreement by the year-end for the project to take-off.
Both LNG imports and pipeline project are essential for India to meet energy demands.
Aiyar said he was waiting for the appointment of the new oil minister of Iran to establish contact and hoped that he would be able to strike the same kind of relationship he had with the incumbent.
Import of natural gas through the pipeline and in form its liquefied state through ships from Iran would more than double the present supplies of gas, which barely meets half the demand.
New Delhi hopes to import 90 million standard cubic meters per day of gas through the pipeline and one-fifth of the quantity in the form of LNG. India's current gas supplies are around 91 mmscmd.
Asked if Iran would be able to procure technology to liquefy gas (for transportation as LNG), Aiyar said: "That technology, which is tightly held was known to Iranians and us Indians before we entered into the LNG pact. They (Iranians) are quite confident of being able to procure that...they will be able to meet their supply and purchase requirements."
The petroleum minister said while a deal for import of 5 million tonnes of LNG was sealed in June, there was disagreement over the price of additional 2.5 million tonnes.
"We hope to begin negotiations for the additional volumes soon," he said.
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