President Morales promulgates exploration and exploitation contract for Iñiguazu area

Monday, August 13, 2018

This press release from Bolivia's Ministry of Hydrocarbons was published using an automatic translation system.

On Friday, the president of Evo Morales Ayma, accompanied by the Minister of Hydrocarbons, Luis Alberto Sánchez, the president of YPFB, Óscar Barriga, among other authorities, promulgated the Petroleum Exploration and Exploitation Services Contract Law in the Iñiguazu Area, which It will allow an investment in the Gran Chaco of $ us899.8 million. "It's a lot of money, this year the road is going to be tendered and ironed, so we are guaranteeing investment in Bolivia, and with the unit nothing is impossible for the Bolivian people," said President Morales during the event held in the municipality of Caraparí, considered the gas capital, where in 2006 the historic act of nationalization of hydrocarbons was carried out.

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For his part, Minister Sánchez said: "The future of Gran Chaco, Caraparí, Villamontes and Yacuiba is assured for the next decades, that is thanks to the will of President Morales, today is a holiday." He also reported that the location of the exploratory well, which is estimated to be drilled next year, has been identified, "I hope we are very successful," he said in time to highlight the large and immediate investments that the Law of Incentives is attracting to the country.

Iñiguazu has a potential in hydrocarbon resources estimated at 1.2 trillion cubic feet (TCF's). It is expected to produce 8 million cubic meters a day (MMmcd). It is estimated that the project will generate an oil income of $ us5.150 million.

The investment partners of the Iñiguazu project are YPFB Andina, YPFB Chaco (as majority shareholders), Shell, Pae, and Repsol, the latter company being the operator of the project.