Chile Initiates Process of Natural Gas Delivery to Argentina through the Central Area

Source: www.gulfoilandgas.com 6/3/2016, Location: South America

On Friday, with the presence of the Minister of Energy, Maximo Pacheco; ENAP CEO, Marcelo Tokman; the General Manager of GasAndes, Raul Montalva; the General Manager of ENDESA Chile, Valter Moro and the General Manager of Metrogas, Pablo Sobarzo, began the process of natural gas delivery from our country to Argentina through the central area, during the winter months.

The delivery will be made through the GasAndes pipeline, which crosses the Andes Mountain through a 450-km pipeline, and considers a total volume of 3 million m3/d supplied by ENAP, Endesa Chile and Metrogas. This provision could be extended by 1 million m3/day, at the request of Argentina, provided that Chilean companies have the respective availability.

The process of agreement between the parties, was led by ENAP, which along with contributing with own gas, acted as coordinator of the business by reviewing and integrating the quantities of natural gas available in the local market from the different actors and leading the negotiations with Argentina's state-owned company ENARSA.

In this regard, ENAP CEO, Marcelo Tokman, said that "today we initiate the process of natural gas delivery to Argentina, marking a historic milestone in the energy relationship between the two countries and taking concrete steps for the integration of the Southern Cone in this matter. As a state-owned company, we are committed to bring forward this challenge and we are very pleased with the work carried out coordinately by all companies involved, and that have made possible the delivery of the gas supply to Argentina."

Likewise, the General Manager of GasAndes, Ra?l Montalva, said that "almost 20 years ago, at this same place, the GasAndes pipeline opened to transport Argentine gas to our country. Today we are very pleased to be able to use this infrastructure to start the process of sending natural gas across the Andes to Argentina, and contribute to strengthen the bond between the two nations on energy integration."

This supply through GasAndes is complemented with the delivery of 1.5 million m3/d, delivered in the North through the North Andean gas pipeline. In total, 4.5 million m3/d of natural gas will be sent to Argentina, and could eventually reach 5.5 million m3/d.


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