India, Iran, Pak to sign gas deal

NEW DELHI (Reuters) – Union oil minister, Murli Deora, said on Tuesday a final agreement between Iran, Pakistan and India on a pricing formula for gas to be delivered by a proposed $7 billion pipeline should by signed by June-end.

Both New Delhi and Islamabad are comfortable with the formula suggested by a global consultant, he said.

The pipeline if built will bring Iranian gas to the energy-hungry South Asian nations.

International consultant Gaffney, Cline and Associates has recommended linking the gas price to the average of the 6-month Japanese crude basket, preceding the month of delivery.