Rains Delay San Miguel-Cuiaba Pipeline

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Friday, March 10, 2000

eavy rains have delayed the construction of a 626km natural gas pipeline between the Bolivian town of San Miguel and the city of Cuiaba, capital of Brazil's Mato Grosso state.

Works were due for completion in February but may not be ready until July, sources close to the operations said.

The pipeline will supply a 480MW power plant in Cuiaba, controlled by Enron. The project has a total value of US$570mn, including US$230mn for construction of the pipeline and US$340mn to build the power plant.

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Cuiaba authorities also plan to tender a local gas distribution concession for the city.