Arce govt energy sector integration policy reflected in first YPFB-YLB and ENDE cooperation pact

This is a machine translation of the original Ministry of Hydrocarbons and Energy, YPFB, YLB and Ende release published in Spanish.

UCOM-MHE-YPFB-YLB-ENDE-07-06-2022.- The national policy of President Luis Arce promotes the integration of the entire energy sector. Following this line, for the first time in history, an Inter-institutional Cooperation Agreement was signed this Wednesday between Yacimientos Petrolíferos Fiscales Bolivianos (YPFB), Yacimientos de Litio Bolivianos (YLB) and Empresa Nacional de Electricidad (ENDE), which makes it possible to carry out the constant exchange of experiences, knowledge and technical, commercial and administrative capacities between the three State companies to strengthen the research, exploitation and industrialization of natural energy resources.

“Our companies YPFB, ENDE and YLB are three fundamental pillars for energy development, but also for the construction of a new economy, based not only on the use and exploitation of natural energy resources, but also on transformation, industrialization and the generation of employment,” stated the Minister of Hydrocarbons and Energy, Franklin Molina Ortiz.

The authority said that, since the return of democracy, the national government took the decision to integrate the energy sector: electricity, hydrocarbons, lithium, nuclear energy, into a single body and under single leadership. In this way, the portfolio that he currently leads was configured with a policy that focuses on guaranteeing energy security and industrialization.

For his part, the president of YLB, Carlos Ramos, said that this company has the great challenge of industrializing lithium, so having the cooperation of two of the most important companies in the country will help meet that goal. "With the support of these two strategic companies we will be able to move forward firmly, taking advantage of the experience they have to consolidate the industrialization of lithium," he said.

In turn, the vice president of ENDE, Mauricio Arevey, pointed out that this agreement demonstrates the unity and synchrony of the energy sector. "With this agreement, we can provide these sister companies with electricity to support the projects they carry out."

Finally, the executive president of YPFB, Armin Dorgathen stressed that this type of inter-institutional agreement is important to share experiences and knowledge. "YPFB today works hard on different projects and programs that can obviously help YLB greatly, so that it can learn the good practices that we currently have at YPFB, considering that lithium extraction and well drilling have certain similarities," he explained.

The agreement is valid for five years from the date of signing and may be renewed for a similar or longer period with the prior agreement of the three state companies.

Scope of the agreement

YPFB is committed to facilitating access to plants owned by the State oil company to personnel authorized by ENDE and to YLB, for the purposes of visiting and/or learning in the field under the supervision of assigned personnel and complying with security measures.

Developing use and/or research validation protocols in accordance with the purpose of this agreement, collaborating with ENDE and YLB in the development of safety and maintenance protocols in pilot and semi-industrial plants, providing training for the development of technical engineering specifications conceptual, pre-feasibility, feasibility, detailed engineering concerning the installation and siting of pilot, semi-industrial, industrial and other plants.

Sharing experiences of technical and/or financial analysis regarding the implementation of projects under the corresponding administrative mechanisms of ENDE and YLB and collaborating with both companies on training on marketing, import and market entry issues, among others.

YLB undertakes, according to the signed document, to provide lithium ion cell prototypes and/or battery packs in the required configurations so that related application and use validation studies can be carried out in the quantities coordinated and agreed between the parties, after prior compliance with the current contracting regulations.

YLB is committed to facilitating the use of equipment, environments and laboratories that YLB has, for training and learning purposes for authorized YPFB and ENDE personnel, under the supervision of assigned YLB personnel, providing laboratory testing services, characterization and analysis of results, within the technical scope, prior compliance with current contracting regulations.

Complying with the procedures and internal regulations, as well as respecting the regular channels of YPFB and ENDE in their inter-institutional relationship, among others.

ENDE undertakes to facilitate access to pilot, semi-industrial, industrial and other plants to authorized YLB and YPFB personnel for purposes of visiting and/or learning in the field, under the supervision of assigned personnel.

Another of the tasks that ENDE will carry out is to study alternatives for the implementation of photovoltaic systems (solar panel, LED lights, inverter) and mobile lighting (LED lighting with built-in solar panel) for YPFB and YLB projects and/or fieldwork. Facilitating the use of equipment, environments and laboratories that it has for training and learning purposes for authorized personnel of both institutions, among others.