Mato Grosso Signs Contract With Bolivian State Company to Supply Natural Gas for 5 Years

The Contract For Supplying Natural Gas Was Signed Yesterday Between The Governor Of Mato Grosso And The Company From Bolivia, Yacimientos Petroliferos

Yesterday, the governor of the state of Mato Grosso, Mauro Mendes, signed the new firm contract for the supply of natural gas from Bolivia to the state. The contract will be valid for five years, starting in January 2022, and may be extended for another five. The signing took place in Santa Cruz de La Sierra, Bolivia, alongside the state-owned company Yacimientos Petroliferos Fiscales Bolivianos (YPFB), represented by its president Wilson Zelaya. See also: Petrobras Authorized By The MME To Import Natural Gas From Bolivia

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Signing Of Contract For Supplying Natural Gas To Mato Grosso

Present at the contract signing were Bolivia’s Minister of Hydrocarbons and Energies, Franklin Molina; the Deputy Minister of Hydrocarbons and Energies, Luis Alberto Poma Calle; the Deputy Governor Otaviano Pivetta; the secretaries of the state of Mato Grosso, Mauro Carvalho (Civil House), Rogério Gallo (Finance), and César Miranda (Economic Development); the president of the Mato Grosso Gas Company (MT Gás), Rafael Reis; and the administrative and financial director of MT Gás, Toco Palma.

The governor of Mato Grosso states that this is the first time, after more than a decade, that gas has arrived in Mato Grosso. He emphasizes that they have never had a firm, uninterrupted contract for the supply of natural gas. “Sometimes there was gas, sometimes there wasn’t,” Mendes states, and this ultimately led to a loss of confidence in this energy matrix.

Benefits For Mato Grosso Sectors

Mauro Mendes also mentions that, as a result, they will expand in the Industrial District and also undertake other projects that will allow gas to reach other municipalities. Natural gas is an important energy matrix that currently brings significant cost savings for those using vehicles powered by this matrix and also for industries, the governor says.

The supply of natural gas will bring numerous benefits to Mato Grosso, one of which encompasses the class of drivers, especially app drivers, as natural gas generates an estimated savings of between 30% and 38% compared to diesel, around 50% compared to ethanol, and 30% compared to gasoline, says Mauro. 

The governor of Mato Grosso further notes that many people converted their vehicles to gas and then there was no supply, which frustrated them and caused losses, but now this problem has been resolved. This contract will bring savings to citizens who have already converted and for those who will need to convert their vehicles to natural gas, concludes Mauro.

Advantages For The State Of Mato Grosso With The Supply Of Natural Gas From Bolivia

According to the Secretary of State for Economic Development, César Miranda, the contract allows Mato Grosso to receive up to 3.5 million m³ of natural gas per month during the year 2022 and, in the following years, it can reach up to 6.5 million m³ by 2027. Miranda states that with this guaranteed volume, natural gas becomes an alternative for industries in Mato Grosso, as, with proper piping, gas becomes a cheaper option than electric energy, firewood, and cooking gas.

The president of MT Gás, Rafael Reis, pointed out that in addition to all the mentioned benefits, natural gas is an energy matrix that does not pollute the environment. The manager reported that the contract will allow MT Gás to intensify programs to encourage consumers to adopt the “gas kit.”

Rafael says that this contract with Bolivia will ensure the supply of CNG (Compressed Natural Gas), which is currently available for hybrid GNV-Diesel trucks and for the industrial gas pipeline, as previously there was not enough volume to serve them. He emphasizes that it is a long-term guarantee of service and provides more security for those who will convert their cars to natural gas.