Iran and Pakistan have signed a sovereign guarantee agreement paving the way for the completion of gas pipeline project. <br/><br/>According to Iranian news agency ILNA, as per the 7.5-billion-dollar agreement signed, the 900-kilometre pipeline will be between Asalooyeh, in southern Iran, and Iranshahr, near the border with Pakistan, and will carry natural gas from Iran's South Pars field. <br/><br/>The agency quoting petroleum ministry statement has said that supply of gas is contracted for a period of 25 years, which is renewable for another five years. As per current project implementation schedule, the first gas flow is targeted by end 2014.<br/> <br/>Iran and Pakistan have been discussing the project with India but the negotiations have dragged on due to India’s concern on security of the pipeline in Pakistani areas and pricing of the gas.