Spanish energy firm to invest $640 mn in Bolivia

November 24th, 2011 - 11:58 am ICT by IANS  

La Paz, Nov 24 (IANS/EFE) Repsol CEO Antonio Brufau told Bolivian President Evo Morales that the Spanish energy giant plans to invest $640 million in operations in this Andean nation for the 2010-14 period, the company said in a statement.

Brufau and Morales visited the Margarita natural gas field in the southern province of Tarija, where a plant is under construction to boost gas production for domestic and foreign markets.

At the end of Tuesday’s tour, Brufau reaffirmed Repsol’s commitment to developing reserves in the Caipipendi block - which encompasses the Margarita and Huacaya fields - as part of a consortium that also includes the local units of British Gas and Pan American Energy.

The new processing plant will enable output at Margarita - Bolivia’s largest gas field - to triple to 9 million cubic meters per day.

According to the statement, Morales hailed Repsol’s investment as “the most important underway in this sector” in Bolivia and stressed his government’s strong relations with the Spanish energy major.

The leftist leader also added that “investment and private property are guaranteed (in Bolivia) and that any investor not only has the right to recover their investment” but also earn a profit.

The first phase of the development plan for Margarita and Huacaya, both discovered by Repsol, is currently being implemented and will require investment of approximately $500 million.

In the second phase, the consortium partners are mulling an investment outlay of $660 million to raise daily production to 14 million cubic meters beginning in 2014.

The Repsol CEO visited the Margarita field with a group of international financial analysts.

Repsol also participates in Bolivia in YPFB Andina, a joint venture whose main shareholder is state-owned Yacimientos Petroliferos Fiscales Bolivianos.

–IANS/EFE
rd

Related Stories

Tags: , , , , , , , , , , , , , , , , , , ,

Posted in Business |

Subscribe