New Delhi: Iran on July 22 expressed the hope that renewal of ties between New Delhi and Islamabad will revive the Indo-Iran gas pipeline, whose economic benefits overshadow political obstacles.

"The economic justifications of the proposed pipeline are so huge that they overshadow any problem or obstacle including political (Opposition)," visiting Iranian Deputy Foreign Minister Mohsen Aminzadeh said at a business meet in Delhi.

Making an appeal for laying the gas conduit through Pakistan, he said, "We are hopeful that the new climate of friendship (between New Delhi and Islamabad) will remove all problems (in the way of its implementation)."

India and Iran are exploring possibilities of laying an on-land pipeline passing through Pakistan and a deep-sea option that avoids Pakistani territorial waters for transporting gas from Southern Iran to consumption centres in India.

"We are discussing all possible options for gas export. Results of feasibility study would decide what course the pipeline would take," he said, adding during his discussions with External Affairs Ministry officials, it was agreed to resume negotiations.

New Delhi's reluctance on going ahead with the project due to concern over safe delivery of gas through a pipeline via Pakistan and the high cost offshore option had forced Tehran to offer to ship the gas in the form of LNG.

In return for India buying 5 million tonnes of LNG annually, Tehran promised to give stake in its oil and gas fields to Indian firms.

"We are discussing the terms of LNG export and identifying oil and gas fields for Indian firms," the Minister added.

PTI