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Written by Amir Richani for Industrial Info Resources (Sugar Land, Texas)--Transportadora de Gas del Sur (TGS) (Buenos Aires, Argentina) has been awarded the public tender by Argentina's ENARSA (Buenos Aires) to expand the capacity of the 563-kilometer Perito Moreno pipeline by 14 million cubic meters per day (m3/d) in the Tratayen-to-Salliquelo segment with the construction of three compression plants.

With this expansion, the asset will be able to transport up to 35 million m3/d.

Two of the new compression plants will have a capacity of 30,000 horsepower (HP) while the third one will have 15,000 HP. Additionally, the company will install new equipment at the Tratayen gas plant to further expand its capacity by 15,000 HP. The total investments for these projects amount to US$560 million.

The contract awarded to TGS also permits the company to further develop assets to expand Perito Moreno's capacity by another 6 million m3/d, depending on market needs. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can learn more by viewing the related project reports.

The pipeline's new capacity is expected to be online in the first months of 2027, for companies to use. TGS will offer the new capacity to companies operating in Vaca Muerta, Argentina's shale reservoir.

In addition, TGS will spend another US$220 million in the construction of a 20-kilometer pipeline with a diameter of 36 inchesand another compression plant of 15,000 HP along the Neuba III gas pipeline. This will transport natural gas to the Mercedes-Cardenales gas pipeline, operated by Transportadora del Gas del Norte (Buenos Aires), letting Vaca Muerta's products flow to the Buenos Aires province and the north of the country. Subscribers can learn more by viewing the related project reports.

TGS is Argentina's largest natural gas midstream company with its network of 9,250 kilometers of pipeline across the nation's provinces.

"The transport works we will carry out on the Perito Moreno Gas Pipeline are essential for the development of Vaca Muerta, as they will provide a solution for the evacuation of incremental gas production, connecting it to the consumer market," said Oscar Sadir, TGS's chief executive officer.

Argentina's recent midstream expansion campaign was partly driven by the inauguration of Perito Moreno in 2023. The project has helped Vaca Muerta, the nation's shale hydrocarbon prospect, to ease midstream bottlenecks and expand production. Recent announcements, such as the Argentina LNG project, also aim to further boost transport capacity.

In August, Argentina produced 158 million m3/d of natural gas, about 3.3% higher than the same period last year and among the nation's highest monthly paces in recent times.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).

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