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Mizzima: Gas Export from Burma to I



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Gas Export from Burma to India likely

New Delhi, January 22, 2001
Mizzima News Group (www.mizzima.com)

The volume of bilateral trade between India and Burma could go up
substantially if Burma can export gas to Indian market. A leading
state-owned company the Gas Authority of India Limited (Gail) in 1998
signed a Memorandum of Understanding (MOU) with Brown & Root, Cairn
Energy and Shell to bring in 28 million cubic meters per day of natural
gas from Burma to India. The Navratna Company (a Gail subsidiary) has
also reportedly plans to bring gas from Burma to Orissa Sate of India
through a sub-sea pipeline.

The two countries are at present exploring the possibility of exporting
gas from Burma to India through Bangladesh. As Burma has considerable
gas reserves in the Arakan State of the country, the gas can be piped to
India along a corridor through Bangladesh. The officials in Dhaka have
been reluctant to commit itself on the idea due to the domestic
political opposition.

The authorities in Rangoon have, however, offered to cooperate with
India in the supply of gas and Indian officials are discussing the
possibility of taking this gas pipeline project under the framework of
BIMSTEC grouping which has Burma and Bangladesh as members straddling
the Bay of Bengal.

The hopes were raised recently as the Bangladesh government is expected
to take a decision on long-awaited Indo-Bangladesh gas pipeline project
in the coming few months for exporting the natural gas reserves in
Bangladesh to India. This Indo-Bangladesh pipeline project, which was
recommended by the U.S. energy giant UNOCAL as the only feasible option
for utilizing the natural gas reserves in Bangladesh, will cost
910-million US Dollars and the pipeline will extend 1350 kilometers from
Rashidpur in Bangladesh to the HBJ pipeline in India.

India and Burma are increasing political and economic ties in recent
years. Burma has already invited India for developing a deep-water port
and also sought India?s involvement in developing some of key
infrastructure development projects in the country. During the
high-profiled visit to India in November last year, Burma?s
Vice-Chairman of the State Peace and Development Council (SPDC) General
Maung Aye sought India?s participation in the 750 MW Yewa power project
near Mandalay. India is already involved in the 110 MW Tamanthi hydel
project on the banks of the Chindwin river. India is also involved in
the Kaladan project in developing a transport corridor along the Kaladan
river, which leads into the Bay of Bengal. It assisted Burma in
constructing the 160 km-long Tamu-Kalaymyo road, which is now waiting
for the official inauguration by both countries.



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<html>
<b><font size=+2>Gas Export from Burma to India likely</font></b>
<p>New Delhi, January 22, 2001
<br>Mizzima News Group (<a href="http://www.mizzima.com";>www.mizzima.com</a>)
<p>The volume of bilateral trade between India and Burma could go up substantially
if Burma can export gas to Indian market. A leading state-owned company
the Gas Authority of India Limited (Gail) in 1998 signed a Memorandum of
Understanding (MOU) with Brown &amp; Root, Cairn Energy and Shell to bring
in 28 million cubic meters per day of natural gas from Burma to India.
The Navratna Company (a Gail subsidiary) has also reportedly plans to bring
gas from Burma to Orissa Sate of India through a sub-sea pipeline.
<p>The two countries are at present exploring the possibility of exporting
gas from Burma to India through Bangladesh. As Burma has considerable gas
reserves in the Arakan State of the country, the gas can be piped to India
along a corridor through Bangladesh. The officials in Dhaka have been reluctant
to commit itself on the idea due to the domestic political opposition.
<p>The authorities in Rangoon have, however, offered to cooperate with
India in the supply of gas and Indian officials are discussing the possibility
of taking this gas pipeline project under the framework of BIMSTEC grouping
which has Burma and Bangladesh as members straddling the Bay of Bengal.
<p>The hopes were raised recently as the Bangladesh government is expected
to take a decision on long-awaited Indo-Bangladesh gas pipeline project
in the coming few months for exporting the natural gas reserves in Bangladesh
to India. This Indo-Bangladesh pipeline project, which was recommended
by the U.S. energy giant UNOCAL as the only feasible option for utilizing
the natural gas reserves in Bangladesh, will cost 910-million US Dollars
and the pipeline will extend 1350 kilometers from Rashidpur in Bangladesh
to the HBJ pipeline in India.
<p>India and Burma are increasing political and economic ties in recent
years. Burma has already invited India for developing a deep-water port
and also sought India?s involvement in developing some of key infrastructure
development projects in the country. During the high-profiled visit to
India in November last year, Burma?s Vice-Chairman of the State Peace and
Development Council (SPDC) General Maung Aye sought India?s participation
in the 750 MW Yewa power project near Mandalay. India is already involved
in the 110 MW Tamanthi hydel project on the banks of the Chindwin river.
India is also involved in the Kaladan project in developing a transport
corridor along the Kaladan river, which leads into the Bay of Bengal. It
assisted Burma in constructing the 160 km-long Tamu-Kalaymyo road, which
is now waiting for the official inauguration by both countries.
<p>&nbsp;</html>

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