Argentina unable to guarantee Bolivia gas supply for new pipeline

Monday, May 8, 2017

Argentine state energy company Enarsa will not be able to guarantee sufficient natural gas supply for the US$3bn GNEA pipeline in the country's northeast.

The reason is due to concerns over the ability of neighboring Bolivia to continue meeting its supply commitments to Argentina, the latter's state news service Télam reported, citing comments from Enarsa CEO Hugo Balboa.

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Construction of GNEA – which will connect to the Juana Azurduy cross-border pipeline connecting the two countries – could be complete by year-end, the report said.

Enarsa plans to tender the final 100km stretch of the 1,500km pipeline within the next three months, the report said.

Argentina has sought to attract investment in its immense shale and tight gas resources, in order to close a growing natural gas import deficit.