Bush U-turn on Iranian pipeline

President George W Bush has indicated the US has dropped its staunch opposition to a proposed gas pipeline from Iran to India via Pakistan.

Mr Bush said on his visit to Pakistan he understood the need for natural gas in the region and that the US argument with Iran was over nuclear weapons.

The $6bn project for the 2,600km (1,625 mile) pipeline will bring Iran revenue, Pakistan transit fees and India energy.

The nations hope to start construction in 2007, with key talks due this month.

The US had previously stated it was “absolutely opposed” to the gas pipeline, even indicating Pakistan and India could face sanctions if the project got under way.

BBC