Released August 07, 2006 | JOHANNESBURG
en
Researched by Industrial Info Resources (Sugar Land, Texas). Following the decision to suspend further investment in developing natural gas supplies from Bolivia, Brazil has redoubled efforts to create projects and infrastructure to move towards self sufficiency in the gas feed for power and industry. Currently, Brazil imports 60% of its gas consumption from Bolivia via a 3,200-kilometer pipeline network. Construction has now begun on two key regional pipelines, which are scheduled to be in operation by the end of 2007 or early 2008.
The 300-kilometer Gascav line will form a part of the 1,370-kilometer Gasene pipeline that will connect the countrys southeast region with the northeast by 2008. The $239 million Gascav will have the capacity to transport 20 million cubic meters of gas per day between the cities of Cabiunas in Rio de Janeiro state and Vitoria, the capital of Espirito Santo. The projects construction contract was awarded to the Chinese company Sinopec.
The $1 billion Urucu-Manaus pipeline will stretch 670 kilometers connecting Coari in Urucu state with Manaus, the state capital of Amazonas. Urucu holds Brazils largest onshore reserve of natural gas. The feed will supply power generators for Manaus and municipalities adjacent to the pipeline and will substitute the diesel and fuel oil currently used for all power generation in Amazonas. Almost $230 million has already been invested in clearing 30 sites along the route and all the pipe sections have been put in position at the sites. In the first phase, the pipeline will transport 4.7 million cubic meters of gas per day. It will create 3,400 direct and 10,000 indirect jobs.
Ildo Sauer, Petrobras gas and energy director, presenting the companys plans at the beginning of August, said that investments had been increased based on the expansion of the natural gas market. In 1981, gas accounted for 0.9% of the Brazilian energy matrix and ten years later the share had risen to 3.1%. In 2000, after the Bolivia-Brazil pipeline went online in 1999, the share moved up to 5.4% and in 2005, it provided 9.3% of the countrys energy.
In the energy plan for 2007-2011, investment in the gas sector has risen by 71% over the previous plan to $22.1 billion of which $4.5 billion will come from third parties. Approximately $6.5 billion will be invested in the gas pipeline network and in building LNG regasification terminals. Petrobras is aiming to market 70 million cubic meters of gas per day by 2011 compared to the current 40 million.
The gas production potential of the Santos, Espirito Santo and Campos basins will be developed and the southeastern pipeline network will be enhanced to transport the additional volumes. To supply the southern region with gas produced in the southeast, expansion work will be undertaken on the Gasbel Rio Belo Horizonte line and the southern section of Gasbol, the Bolivia-Brazil line.
In the period 2003-2005, natural gas sales to state utilities soared 80%. Petrobras developed the pipeline network and completed the construction on several gas-fired power plants. The companys strategy in this period was to reduce financial exposure by acquiring three plants and thus eliminate contingency payments.
View Project Report - 67000182 67000234 67000344
Industrial Info Resources (IIR) is a Marketing Information Service company that has been doing business for over 23 years. IIR is respected as the leader in providing comprehensive market intelligence pertaining to the industrial processing, heavy manufacturing, and energy-related industries throughout the world.
The 300-kilometer Gascav line will form a part of the 1,370-kilometer Gasene pipeline that will connect the countrys southeast region with the northeast by 2008. The $239 million Gascav will have the capacity to transport 20 million cubic meters of gas per day between the cities of Cabiunas in Rio de Janeiro state and Vitoria, the capital of Espirito Santo. The projects construction contract was awarded to the Chinese company Sinopec.
The $1 billion Urucu-Manaus pipeline will stretch 670 kilometers connecting Coari in Urucu state with Manaus, the state capital of Amazonas. Urucu holds Brazils largest onshore reserve of natural gas. The feed will supply power generators for Manaus and municipalities adjacent to the pipeline and will substitute the diesel and fuel oil currently used for all power generation in Amazonas. Almost $230 million has already been invested in clearing 30 sites along the route and all the pipe sections have been put in position at the sites. In the first phase, the pipeline will transport 4.7 million cubic meters of gas per day. It will create 3,400 direct and 10,000 indirect jobs.
Ildo Sauer, Petrobras gas and energy director, presenting the companys plans at the beginning of August, said that investments had been increased based on the expansion of the natural gas market. In 1981, gas accounted for 0.9% of the Brazilian energy matrix and ten years later the share had risen to 3.1%. In 2000, after the Bolivia-Brazil pipeline went online in 1999, the share moved up to 5.4% and in 2005, it provided 9.3% of the countrys energy.
In the energy plan for 2007-2011, investment in the gas sector has risen by 71% over the previous plan to $22.1 billion of which $4.5 billion will come from third parties. Approximately $6.5 billion will be invested in the gas pipeline network and in building LNG regasification terminals. Petrobras is aiming to market 70 million cubic meters of gas per day by 2011 compared to the current 40 million.
The gas production potential of the Santos, Espirito Santo and Campos basins will be developed and the southeastern pipeline network will be enhanced to transport the additional volumes. To supply the southern region with gas produced in the southeast, expansion work will be undertaken on the Gasbel Rio Belo Horizonte line and the southern section of Gasbol, the Bolivia-Brazil line.
In the period 2003-2005, natural gas sales to state utilities soared 80%. Petrobras developed the pipeline network and completed the construction on several gas-fired power plants. The companys strategy in this period was to reduce financial exposure by acquiring three plants and thus eliminate contingency payments.
View Project Report - 67000182 67000234 67000344
Industrial Info Resources (IIR) is a Marketing Information Service company that has been doing business for over 23 years. IIR is respected as the leader in providing comprehensive market intelligence pertaining to the industrial processing, heavy manufacturing, and energy-related industries throughout the world.
