Brazilian industry representatives will accompany President Luiz Inacio Lula da
Silva on a trip to Bolivia next week,
aiming to secure natural gas supplies after Argentinas supply contract
with Bolivia state-run oil firm YPFB expires in September.
This could free up around 4,000,000 cubic meters of gas
per day that the Brazilians hope to obtain directly from
YPFB,
potentially at a lower price than through Brazil's state-run Petrobras.
Brazil's industry has long struggled with high gas prices,
impacting their competitiveness. The representatives will discuss the available volume
and pricing with Bolivian authorities,
though uncertainties remain. Bolivia has faced political turmoil,
including a foiled military coup and declining domestic oil and
gas production.
YPFB is seeking to partner with Brazilian firms like Fluxes
to boost exploration and production.
The Brazilian delegation hopes to leverage the presidential visit to
kickstart talks and potentially strike a deal directly with YPFB.