The National Iranian Gas Company (NIGC) has said is not prepared to waive the daily fines it is imposing on Pakistan for its delay in the Iran-Pakistan (IP) gas pipeline project.

The NIGC made the statement after stories in the Pakistani press saying that the $3m a day the country was accruing in fines would not have to be paid.

Islamabad had requested the deadline for completion of the project be extended from December 2014 to December 2015, but Tehran refused to sanction the move.

Iran has already invested a reported $2bn in the project and the pipeline on its side of the border is believed to be complete. Pakistan still has to carry out the vast majority of construction work on the scheme.

Gas exports are supposed to commence from the Islamic Republic to Pakistan on 31 December 2014.