Myanmar will export natural gas to energy-hungry India by a pipeline through Bangladesh, according to a joint statement issued after a meeting of energy ministers of India, Bangladesh and Myanmar in Yangon.
"The governments of Bangladesh and India reserve the right to access the pipeline as and when required, including injecting and siphoning off their own natural gas; details in this regard will be worked out on the basis of commercial agreements," the statement said.
The joint statement was issued after a tripartite meeting between Myanmar Energy Minister Brig Gen Lun Thi, Bangladesh's Minister for Energy and Mineral Resources A K H Mosharraf Hossain, and Petroleum Minister Mani Shankar Aiyar.
"The route of the pipeline may be determined by mutual agreement of the three governments with a view to ensuring adequate access, maximum security and optimal economic utilisation," the statement, released here, said.
The pipeline was one of several options being considered by India to bring gas reserves at Shwe field in Block A-1 in offshore Myanmar, as well as volumes that are expected to be discovered in its adjacent block A-3.
ONGC Videsh has 20 per cent stake and GAIL has 10 percent in both the blocks where South Korea's Daewoo is the operator.
Bangladesh will earn about 125 million dollars annually as transit fee of the pipeline, which would run through Arakan (Rakhine) state in Myanmar, the Indian states of Mizoram and Tripura before crossing Bangladesh to Kolkata.
The $1 billion 290-km gas trunkline would be "operated by an international consortium," the statement said.