Morales, Minister, Shell to Discuss Transredes Nationalization


Bolivia's President Evo Morales and hydrocarbons minister Carlos Villegas were due to meet with Anglo-Dutch oil major Shell (NYSE: RDS-B) on Monday to begin negotiations for state control of hydrocarbons transport company Transredes, government news agency ABI reported.

Shell holds a 25% participation in Transredes through its 50% participation in consortium TR Holdings. UK's Ashmore Investment Management holds the remaining 50% of the consortium.

State oil company YPFB has a 32% stake in Transredes.

The talks with Shell represent a first step toward fulfilling the nationalization of hydrocarbons transport in Bolivia.

Bolivia also aims to develop technical cooperation to industrialize its natural gas industry further and restructure the administration of its hydrocarbons ministry, YPFB and hydrocarbons regulator Superhid, Villegas said.

Bolivia has already held preliminary conversations with Holland's government, which has expressed interest in helping Bolivia with its restructuring efforts, Villegas said.

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