In a bid to take forward the Indo-Iran gas pipeline, petroleum ministers of India and Pakistan have decided to hold talks on the issue. The meeting is likely to take place next week.
According to sources, this will be the first time the two ministers will have direct consultations on the $2 billion project.
Iran has already expressed its support for this project to build a natural gas pipeline to export Iranian gas to India via Pakistan, believing it could spark a regional economic boom.
India is concerned about the security of the Pakistani route, fearing that any diplomatic trouble with Pakistan might affect the gas flow. In July, Petroleum Minister Mani Shankar Aiyar is reported to have said that Iran and New Delhi were also studying the possibility of supplying Iranian gas to India via a deep-water offshore gas pipeline.