Uruguay will import natural gas from Argentina through the company Oilstone, requested by the state company National Administration of Fuels, Alcohol and Portland (Ancap) and processed through Energía Argentina SA (Enarsa) for an amount of 5 dollars per million BTU with daily volumes of up to 350,000 cubic meters per day.
The gas extracted from the Argentine areas of Cutral Co and Plaza Huincul will be imported by Uruguay through Enarsa, which requested a tender for companies located in the neighboring country to participate. Inside the auction – conducted by the Electronic Gas Market (Megsa) – 14 companies participated with equal prices, of which the chosen one was the proposal of oilstone because she was the first to show up.
“The floor price for the tender was 6.27 dollars per million BTU, which was what we offered and since it is awarded on a first-come, first-served basis, we won,” specified the Commercial Director of Oilstone, Mauricio Russo to the Argentine daily Rio Negro. ancap will use natural gas during the month of September, so the gas has already begun to be dispatched as of this Friday from Cutral Co and Plaza Huincul and will continue to do so until October begins.
The director of the company assured that ancap is who has the export contract with enarse, so the nominations and other procedures will be between those two organizations. On the other hand, Russo assured that “winning this tender was a breath of fresh air at least for September, because it is close to 5 dollars, which is a barbaric price” and that they intend to bid again for the summer contract with Ancap.
The contract contemplates a maximum volume of 350,000 cubic meters per day. The shipment of natural gas will be through the Cruz del Sur gas pipeline that connects Montevideo with Buenos Aires. Added to this, there was a clear increase in demand from Ancap since the last contract was for 280,000 cubic meters per day.