Bolivia signs Brazilian gas supply deal

Distributor CDGN has an agreement for gas, but flexible contracts and limited output mean Bolivian volumes are likely to continue to flow to the highest bidder

Bolivia’s state-owned YPFB has signed an interruptible supply contract with Brazilian distributor CDGN Logistica for the purchase and sale of up to 4mn m³/d of gas. The deal, which runs from mid-July until the end of 2023, is subject to the availability of Bolivian gas and there are no minimum supply obligations for YPFB, which says it will deliver gas to CDGN “once the commitments with the internal [Bolivian] market and the obligations of the firm contracts in force have been fulfilled”. “If we do not have that volume, we do not supply the energy and no penalty is applied to YPFB,” explains company president Dorgathen Tapia. 4mn m³/d – Maximum supply volume The state-owned comp