WASHINGTON - Amidst reports of Iran building an oil refinery inside Pakistan and a joint gas pipeline project, the United States on Thursday cautioned Islamabad against activities that are ‘sanctionable’ under US laws, reported a private TV channel.

The US asserted that there are better and more cost-effective ways to address Pakistan’s energy needs. “We’ve made clear to countries around the world, including Pakistan, that we believe that it’s in their interest to avoid activities that could be prohibited by UN sanctions or that could be sanctionable under US law,” State Department spokesperson, Victoria Nuland, told reporters at daily news conference.