At the inauguration ceremony of the Néstor Kirchner gas pipeline, the Minister of Economy, Sergio Massa, thanked the private sector companies that carried out the project “in time and form.” On the other hand, the companies also view the work very favorably, according to what they stated in a dialogue with Ambit: From the energy sector, they expect greater production and for Argentina to become a regional player. From the industrial point of view, they foresee that the most competitive energy can develop industrial poles and generate more employment.
Damian Mindlin, President of SACDEone of the gas pipeline construction companies, defined the work as “transcendental”and one of the points he mentioned to highlight was “the successful joint work between the State and the private sector, which will serve as an example for the development of future projects”. It is that, although the construction was carried out by private companies, the regulation was carried out by the state-owned Energía Argentina (formerly Enarsa) and the financing was from the Treasury.
Mindlin added that the know how Acquired will be used for upcoming infrastructure works: “Together with Techint, we used new technology for the first time in the country, and we provided more than 30,000 hours of training to workers in specific trades. All that knowledge acquired will be left for new works that are as important as this gas pipeline”. Ámbito toured the new school that Sacde opened to train welders in the use of the new machinery acquired. There, the company anticipated that at least another six pipelines will be needed.
While, Daniel Funes de Rioja, president of the Argentine Industrial Union (UIA), highlighted the relevance of the work: “Energy in the world gained fundamental importance, and in Argentina it made Vaca Muerta revalue, with gas as transition energy. It will be important for the substitution of energy imports, for the possibility of exporting, for national consumption and for adding value to that gas”.
In any case, when asked if the public financing model for the works should be continued in the future, he replied: “You have to think about other alternatives. It is not ideological. Argentina has to look for a partner public-private, which can be mixed works, or private works, with the State with the fundamental role of regulation. Because there is a lot of investment that will be needed for what comes in energy and mining”.
For his part, from TGN, another company in the energy sector specializing in transportationhighlighted the possibility of the gas pipeline opening up for Argentina to be a “regional player” if it advances with the works that allow it to export gas to neighboring countries. In fact, from the company they indicated that they have just finished two works in Córdoba that will be key to the “future reversal of the Northern Gas Pipeline”, which will allow Vaca Muerta gas to be brought to the north of the country, and supplant the decline of Bolivia. The works were carried out at the Leones and Tío Pujio compression plants, and increase the volume of transportation by 40%.
While, Luciano Fucello, country manager of NCS Multistage, assured that there is a unanimous position among the hydrocarbon producing companies: “The entire private and public sphere sees it as a necessary work. One more cubic meter of gas could not be transported and, if the molecule cannot be transported, it is worth zero”. In addition, he celebrated that “Argentina is thinking about the medium term”, because it is going to stop importing energy from Bolivia, which has its production in decline.
For this reason, he anticipated that As of the work, wells will be opened in Vaca Muerta that the companies had closed, without producing. “As soon as they see the gas pipeline working, those wells that are stopped are going to start working.” However, Fucello also stressed that this gas pipeline is only “the first step” in a series of works that must be carried out.
The industrial look
As a lesson, Fucello considered: “This work should have been carried out in 2019, since then it was known that the transportation capacity was going to end. Going forward, the sector hopes that these bottlenecks will be solved before they explode. The most imminent: the lack of equipment to sustain the activity, and the 50,000 qualified workers that the industry will need”.
For his part, Funes de Rioja, head of the UIAconsidered: “The work shows that there are milestones that allow us to rethink Argentina. With points of agreement, without discussing whether it had to be done 10 years ago, or 4 years ago. It is a sign that despite the contradictions, common paths can be found”, he mentioned. In addition, he highlighted the work of the private sector companies that participated in the construction, which was carried out in 10 months. “They tell me that it was a job for no less than 24 months. There were many branches of the industry that the UIA represents, we are proud of the final result”, he stated.
Particularly on the industrial sector, Funes de Rioja hopes that companies can have gas at “more competitive costs.” As industries that could be developed, he mentioned fertilizers, polyethylene, chemical and petrochemical industry. However, he anticipated that areas with resources such as Patagonia or the Cordillera could become “true industrial poles”, but for that there should be strong investments in education and connectivity.
Meanwhile, from the SME industrial sector, Daniel Rosato, IPA owner, mentioned: “The gas pipeline will be essential to think about the growth of the industry in the future, because having energy, it can be projected, and it will give greater predictability to investments.” In addition, he also highlighted the possibilities at the labor level: “A more industrialized country is more work, greater purchasing power, and being able to end social plans and rebuild the productive network.”
Source: Ambito