New Gas Pipeline From Gasmig Has Begun Construction and the Expectation Is That It Will Be Completed in 2026. The Project Promises to Generate More Than 10 Thousand Jobs.
The Gas Company of Minas Gerais (Gasmig) started construction of the Midwest Gas Pipeline in Juatuba, in the Metropolitan Region of Belo Horizonte, on this Monday (04/03). With an investment of R$ 800 million, Gasmig’s gas pipeline is part of the expansion of the Natural Gas Distribution System (SDGN), a project that promises to be the largest in the sector in nearly 15 years, and which, according to the company, should generate more than 15 thousand new direct and indirect jobs in the State.
Gasmig’s Gas Pipeline Should Increase Length of Lines by 300 km
Gasmig’s gas pipeline, which will create thousands of jobs, will connect Betim to Divinópolis, passing through six other municipalities: Igarapé, Juatuba, Itaúna, Mateus Leme, Sarzedo, and São Joaquim de Bicas. This extension is expected to impact around 1 million inhabitants, or about 5% of the state’s population.
In total, these cities account for 10% of the industrial Gross Domestic Product (GDP) and 7% of the total GDP of Minas Gerais. According to information, Gasmig’s gas pipeline is expected to increase the line extension of the system by around 300 km, a greater increase than 23% of the current network.
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The potential consumption of natural gas from the project that will create thousands of jobs is around nearly 1 thousand new clients among industries, commerce, the vehicle segment, with the capture of new sales points for CNG, and residential. The start of work this March was made possible due to the approval of the environmental licensing by the State Environmental Policy Council (Copam).
New Gas Pipeline From Gasmig Is Reported to Be Completed in 2026
Present at the launch event of the work, Governor Romeu Zema (Novo) participated in the symbolic moment of welding the first tube of the construction, which is expected to be completed in early 2026. Zema emphasized that this project contributes significantly to the development of this Central region, which is already above the state average, and that now will have the capacity to grow much more, with the creation of these jobs. This energy source enhances the potential to attract investments because gas turns out to be an alternative to electricity, as it is cleaner and cheaper.
According to Gasmig’s president, Gilberto Valle Moura Filho, the pipelines will be tested and gasified in phases, allowing the start of services to municipalities to happen before the total completion of Gasmig’s gas pipeline works. The company divided the bidding into two lots, with the Main Line and five other Lateral Lines.
The works on the Main Line are already underway. The works on the other lines, which are smaller, will be completed by 2026. However, the way Gasmig is executing the project that will create thousands of jobs allows for those closest to Betim, the starting point of the connection, to be delivered to the population and clients as soon as possible. The expectation is that by mid-2025, the company will have some clients connected from this gas pipeline.
Gasmig Signs Gas Supply Contract With Shell
In addition to this initiative that will create thousands of jobs, Shell has signed a natural gas supply contract with Gasmig, the Minas Gerais gas distributor. The agreement, valid until the end of 2025, provides for the delivery of 210 thousand m³ per day this year and 150 thousand m³ per day next year.
Thus, Shell reaches the mark of 1 million m³ per day contracted with the state distributors in 2024. Present in Tupi, among other pre-salt fields, the multinational monetized part of its volumes at the UTE Marlim Azul, part with the distributors and another portion in the free market.

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