  |
Argentina secures $689 million loan for gas pipeline expansion
PLATTS
BUENOS AIRES
Petroleumworld.com 06 27 06
Argentina has secured a $689 million credit from Brazil's National
Development Bank, BNDES, for projects to add 20 million cu m/d of capacity to
its natural gas pipeline system, Argentine Planning Minister Julio De Vido
said Monday.He made the announcement at a ceremony to sign 1.05 billion pesos ($341
million) in contracts for the expansion of a power transmission line in the
north. The credit will go to a 4.5 billion peso project to expand capacity of
the privately run gas pipeline system over the next three years. The project
involves laying 1.02 million km (about 634,000 miles) of pipes and installing
and refurbishing compressors to add 67,000 horsepower to the system, the
government announced in April this year. The added capacity will make it
possible for producers to get more gas to market, helping alleviate
bottlenecks that are threatening the slow the economy.Argentina produces 140 million cu m/d of gas but only has 126 million cu
m/d of pipeline capacity. It exports the excess to Brazil, Chile and Uruguay.
Some analysts say another 30 million cu m/d of pipeline capacity is needed on
top of the 20 million that is going to be added. De Vido added that there
would be "important announcements about the construction of the Northeast
Pipeline" at a meeting between Argentine President Nestor Kirchner and his
Bolivian counterpart Evo Morales on Thursday.Argentina wants to build the $1 billion Northeast Pipeline to import
around 20 million cu m/d of additional gas from Bolivia. It is currently
importing 7.7 million cu m/d under a contract that expires at the end of 2006,
helping to meet domestic demand.For similar news, take a trial to Platts LNG Daily at
http://www.LNGdaily.platts.com.
Platts 26 06 06
Copyright ©Platts. All Rights Reserved.
Your
feedback is important to us!
We invite all our readers to share with us
their views and comments about this article.
Write to editor@petroleumworld.com
Any
question or suggestions, please write to:
editor@petroleumworld.com
Best
Viewed with IE
5.01+
Windows
NT 4.0, '95, '98 and ME +/ 800x600 pixels