After the cuts in the supply of natural gas from the Bolivian YPFB to the Brazilian state-owned Petrobras, the company released a note stating that it will take the necessary measures to fulfill the contract as provided for in the initial agreement.
The Brazilian state-owned Petrobras recently announced a cut of around 30% in the supply of natural gas to the Bolivian company Yacimientos Petrolíferos Fiscales Bolivianos (YPFB). And, during the last Saturday, (21/05), the state He spoke again on the subject and stated that he will take the necessary measures so that the Bolivian company fulfills the supply contract as initially established in the partnership.
Bolivian company YPFB makes a 30% cut in the supply of natural gas to Petrobras and state-owned company feels impact on fuel supply
Petrobras announced at the beginning of the week a large cut made by the Bolivian natural gas company YPFB in the supply of fuel to the state-owned company. Thus, a total cut of 30% in the supply chain was carried out, which is equivalent to 6 million cubic meters of fuel per day. And, with that, the drop diminished the relief felt by Petrobras in the first quarter of the year, when it celebrated the reduction in LNG imports and the consequent drop in costs.
Also according to the first announcement by the Brazilian state-owned company, the Bolivian company would not have explained the reason for the high cut in the supply of natural gas and had only carried out the reduction in distribution. However, it is believed that the cut was motivated by the start of gas supplies from Bolivia to Argentina at better prices than those practiced by Petrobras. This is because the price of natural gas has been quite high in recent months due to the international conflicts between Russia and Ukraine and all the impact on the global market.
In this way, if before the pandemic a million BTU (measurement used in the marketing of the input) was traded at US$ 5, this Wednesday the price was around US$ 27 a million BTU, after having already beaten US$ $ 34. With this, the drop in the supply of natural gas to the Brazilian state-owned company could strongly impact the company's production and distribution chain in the national territory, if the problem cannot be resolved with YPFB as soon as possible to mitigate future damages.
The state-owned company publishes a clarification note and states that it will take measures for YPFB to comply with the natural gas supply contract
Since the beginning of the contract with the Brazilian state company, the partnership foresees that YPFB will supply Petrobras with the contracted volume of 30 MM m³/day, in addition to foreseeing consequences for the supplier in case of supply failure, which will be applied by Petrobras to the Bolivian company. And, with the drop in the delivery of natural gas to the state-owned company during this month, the Brazilian company released a note stating that it will take the necessary measures to ensure that the contract is properly fulfilled.
In addition, Petrobras stated: “We emphasize that the contracts for the sale of natural gas entered into by Petrobras with its customers have a previously established price, whose updating is based on parametric formulas linked to market indicators and agreed between the parties, which do not are affected by specific situations of failure with suppliers. Petrobrás reaffirms its commitment to its customers and to the fulfillment of contractually established conditions”.
After the cut in supply, Petrobras informed the appropriate government bodies, as well as informed the measures adopted to ensure the supply to its customers and, now, continues its efforts to establish possible measures so that the supply of natural gas is not affected more intensely in the coming days.
