Closure of the Mashaal LNG project might discourage US investors

This article was last updated on April 16, 2022

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The United States has firmly dismissed all rumors about having detailed talks with Pakistan with regard to civil nuclear energy programs. Department spokesman Patrick Ventrell confirmed on Tuesday that there was no such discussion during the US officials’ visit to Islamabad; however, he maintained that the US strongly encourages Pakistan’s efforts to overcome its energy crisis.

“We have seen those rumors, but I can confirm there was no discussion of civilian nuclear technology. For further discussions, I would direct you to the government of Pakistan and OPIC, which is the government agency on our side. But there was no discussion of civil nuclear technology.

“I can confirm there is no discussion of it here. I do not have anything for you on it. But broadly speaking, you know that we have been supportive of efforts with Pakistan’s energy problems, and much of the aid that the US has provided and the expertise and technology and know-how. But I do not have anything for you on that,” Ventrell told the press.

Meanwhile, President of OPIC (Overseas Private Investment Corporation) of USA, Ms. Elizabeth L. Littlefield raised concern over the closure of Mashaal project to import 3.5 mmcfd LNG. She also questioned the practicality of tariff hikes on wind power projects which has alarmed investors about funding energy projects in Pakistan.

“The abolishing of the Mashaal project and feed in tariff for wind projects has shattered the confidence of US investors in Pakistan in the area of the energy sector,” an official quoted the OPIC delegation.

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