Petroandina JV Plans to Spend $1.17B in Bolivia

The Petroandina joint venture made up of Bolivia's state oil company YPFB and its Venezuelan counterpart PDVSA will invest at least US$1.17 billion in Bolivia over the next few years, Bolivia's government news agency ABI quoted YPFB president Juan Carlos Ortiz as saying.

The investment relates to hydrocarbons exploration and the installation of two gas-liquids separation plants.

The exploration will be conducted in four blocks in southern Bolivia, the most important of which is in Chuquisaca and Tarija departments.

The exploration works will require 2-3 years before results can be reported and the companies expect news at the end of 2008 or the beginning of 2009.

Investments required for exploration totals US$1 billion, while the remainder would be directed toward the gas-liquids separations plants, Bolivian paper Los Tiempos reported.

The first gas-liquids separation plant is expected to begin operations in the second half of 2008 or the beginning of 2009.

The companies previously announced plans to build the US$100 million Yacuiba plant that would process roughly 300Mf3/d (8.5Mm3/d) of natural gas to produce 309t/d of LPG and 854b/d natural gasoline, with a similar project following afterwards, BNamericas previously reported.

Visit BNamericas to access our real-time news reports, 10-year archive, Fact File company database, and latest research reports. Click here for a Free two week trial to our Latin America Oil & Gas information service.