One of the round-table meetings held at the VI International Gas Forum that opened today in St. Petersburg focused on the realization of joint NGV projects between PJSC Gazprom and Bolivia.

Representatives of the natural gas consortium, Gazprom International, Gazprom Gas-Engine Fuel LLC, and members of the Bolivian delegation, headed by the country’s Deputy Minister for Hydrocarbons and Energy, Mr. Fernando Dario Salinas Fernandez, took part in the meeting.

The participants discussed the current state of affairs and the ongoing preparations to run tests to assess the possibility of using Russian-made machinery powered by natural gas in the conditions of Bolivia’s mountainous regions. According to Mr. Salinas Fernandez, the delegation had just met with the representatives of Russian machinery producers (GAZ group, Kirov Tractor Plant) to seek their participation in the pilot project. Earlier this year the Russian side shipped a sample of the machinery – a KAMAZ tractor truck– to Bolivia, and it is currently being tested.

A second important subject discussed at the meeting covered the possibility of creating a joint venture company that would oversee natural gas production and natural gas for vehicles development projects in Bolivia.

Background

Gazprom International is a subsidiary company of PJSC Gazprom specializing in the realization of the company’s hydrocarbon exploration, production and development projects outside of the Russian Federation. The company is currently involved in approximately 40 projects in two dozen countries on four continents.

Cooperation with Bolivia is based on the Memorandum of Understanding signed by Gazprom and Bolivia’s YPFB on 21 February 2007, to establish grounds for cooperation with regards to production, transportation and treatment of natural gas, as well as to establish technological and scientific cooperation. Gazprom International is currently involved (as part of an international consortium) in the development project at the Incahuasi field, located on the Ipati and Aquio blocks. Industrial production on the field began on 16 September 2016. It is estimated that natural gas daily production will reach a level of 6.5 mln cubic metres by the end of the year.

Gazprom International is also involved, together with Total E&P Bolivie, in a joint exploration project at the Azero block on the country’s Central Pre-Andean oil and gas-bearing basin.

In June 2016, Gazprom International and YPFB signed an agreement to carry out joint exploration at the prospective blocks of La Ceiba, Vitiaqua and Madidi.

PJSC Gazprom and Bolivia’s Ministry of Hydrocarbons and Energy have previously signed a number of agreements outlining the parties’ commitment to realizing joint projects on the use of LNG as fuel for freight, passenger and river transport, as well as with the purpose of providing independent gasification for a number of Bolivia’s settlements and inhabited regions.  

The St. Petersburg International Gas Forum is a leading platform for discussing some of the more pressing issues in the industry. This year more than 3,000 delegates from 36 countries took part in the Forum, including representatives of leading Russian oil and gas companies, as well as representatives of government bodies, Russian and foreign industrial corporations, scientists, experts, and heads and members of industry-wide scientific research and design institutes and think tanks.