Bolivia's government on Tuesday signed natural gas development deals with Spain's Repsol, Brazil's Petrobras, and Royal Dutch Shell that are expected to bring nearly $1.6 billion in investment
Bolivia’s government on Tuesday signed natural gas development deals with Spain’s Repsol, Brazil’s Petrobras, and Royal Dutch Shell that are expected to bring nearly $1.6 billion in investment into the sector and boost output, President Evo Morales said at an industry summit. The deals cover blocks in the Iniguazu, San Telmo and Astillero gas fields. Repsol would lead the Iniguazu consortium with Royal Dutch Shell a minority partner, while Petrobras would lead the other two, he said. Bolvia’s state-run YPFB would be partner in all of the projects. “We are very confident and we have hope,” said Morales, at the Gas Exporting Countries Forum (GECF). “We are committed to secure transparent contracts.”
He said the projects could add about 21 million cubic feet per day, with early production coming on line as early as 2020 or 2021. Antonio Brufau, Repsol’s CEO, said he expected the Iniguazu project to go well: “As there is existing infrastructure (near Iniguazu), if the exploration phase succeeds, we will be able to supply gas to the market very fast,” he said. Morales said he expected that project alone to bring in $900 million in investments.