BG and Enron want to import natural gas in Brazil

Jun. 1, 1998 British Gas will request authorisation from the Brazilian oil commission ANP (Agencia Nacional de Petroleo) so as to build a gas pipeline to import nearly 15 mm cmpd of natural gas from Argentina. The company teams the BTB consortium along with El Paso and BHP. The consortium holds a 24 % share of the gas pipeline that will be built between Bolivia and Brazil.
British Gas, along with Pan American Energy and Ancamp, succeeded by early 1998 in a $ 125 mm-worth auction to build a 216-km gas pipeline between Montevideo (Uruguay) and Buenos Aires (Argentina). This gas pipeline will be extended to Porto Alegre, State of Rio Grande do Sul. The whole project will demand investments of $ 450 mm, 40 % of which to be spent by British Gas.
The natural gas will be supplied to Porto Alegre by June, 2000.
British Gas predicts to be provided with $ 500 mm-worth annual revenues by selling gas to Brazil. Enron also awaits ANP's authorisation to import 2.5 mm cmpd of natural gas from YPF in Argentina. The product will power the 480-MW thermoelectric plant that will be built in Cuiaba, State of Mato Grosso, Brazil. This will provide Enron with $ 35 mm-worth revenues per year in case the plant operates at 85 % of its full production capacity.