Brazil and Bolivia want to strengthen energy ties

Feb 20, 2002 01:00 AM

Representatives from the governments of Brazil and Bolivia said they would work to strengthen bilateral ties in the area of energy. Toward that end, Brazil's Mines and Energy Minister Jose Jorge said the two countries had created five work groups to look into ways to increase the use of natural gas drawn from fields in Bolivia.

One group would look into the possibilities of creating an industrial complex in Bolivia which would produce chemical derivatives of natural gas.
Another would evaluate the creation industrial hubs that could foster greater integration between the Bolivian and Brazilian markets.
The third group would work on increasing Brazilian demand for natural gas imported from Bolivia and work to foster more gas-generated electricity in Brazil.
A fourth group would work on developing thermoelectric plants that could create electricity in Bolivia for export to energy strapped Brazil.
The fifth group would be charged with coordination and planning.
The groups have 60 days to complete their reports.

Brazil imports gas from Bolivia along a 3,000 km (1,900 miles) pipeline that when running at full capacity will move 30 cmpd (1,050 cfpd) of natural gas. By 2004, Brazil is expected to spend $ 600 mm on Bolivian gas.

Source: AP Worldstream
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