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Brazil: Studies for Big Gas Pipeline to Be Ready in July

The presidents of Brazil, Luiz Inácio Lula da Silva, Venezuela, Hugo Chávez, and Argentina, Néstor Kirchner, scheduled for July the conclusion of the in-depth study for the construction of a 10,000-kilometer pipeline connecting the three countries.

The first studies showed that the initiative may cost from US$ 17 billion to US$ 25 billion and the works should take around six years.

After the meeting at the Granja do Torto, the presidential residence, Thursday, January 19, in Brazilian capital Brasí­lia, the heads of state also decided that in March there will be a new presidential meeting, in Mendoza, Argentina, to present the new studies elaborated by the countries. Today, the ministers of Energy of the three nations presented preliminary studies.

According to information supplied by the Minister of Mines and Energy, once built, the pipeline may transport 150 million cubic meters of gas per day from Venezuela to Brazil and Argentina – enough to supply the Brazilian needs, including the Northern and Northeastern regions of the country.

Starting now, six subgroups will execute in-depth studies in specific areas: market, funds and trade; tariff definition; planning of engineering and technological aspects; financing and business model; government authorizations, environment and social aspects; and regulatory, legal, tax and institutional aspects.

A group for coordination of the activities of the Multilateral Committee was also created, and it will be in charge of examining the political aspects of the initiative.

"We have also agreed that in July the project should be advanced enough for us to make it public. We will call all the countries of South American that will be benefited," stated president Hugo Chávez, after the meeting in Brazilian capital Brasí­lia.



  • Show Comments (6)

  • Guest

    The Observer
    I can see you are obviously well informed regarding statistics and figures and know what you are talking about.

    However, i have not come onto this website to offend or to LOCK HORNS with anyone and am certainly not hiding anything. Frankly speaking I am shocked by what is going on in Brazil otherwise i would not have given my views and do hope that in time things will get better.I was only giving my opinions about the concept of this South Gas Pipine and don’t want to ruffle anyones feathers, thats all if it’s alright with you?

    You are definately attacking the wrong person so if you want to express your frustrations or anger, this should be directed to the Government of Brazil who have made you feel this way any not towards anyone else.

    All I can say is I wish Brazil the best for the future and hope that positive changes will emerge.

  • Guest

    Answer to forum member !
    Corruption, lies, manipulation, social injusticies, racism, unequal pay, poverty and all the other shocking things which are expressed on this website.

    Sorry, but this are facts.

    Therefore it looks like that facts are not shocking to you, but denouncing them are shocking !
    Strange conception.
    You certainly prefer hiding the truth, so the facts mentioned can continue for eternity.

    Furthermore after 9/11 the world went into a recession.
    And contrary to what you say, the only reason of this actual world recovery is quite simple, namely :
    – the USA reduced their interest rates to 1 %, the lowest ever. This was beneficial to the WORLD
    – the USA accept a huge trade imbalance of around US$ 700 billions. This was and still is beneficial mostly to the developing nations.

    But just wait the next U.S.economic slowdown and you will have not a slowdown but a recession . And on the next U.S. recession, you will have a new depression.
    Dont forget the 4 years U.S. economic cycle.
    Look at what happened in 2002, 1998, 1994, 1990, 1986 (crash of 1987), 1982, 1978, 1974, 1970.
    A long term stock chart will open your eyes.
    Therefore by the end of 2006 or during 2007 something important is going to happen in the U.S.A who are the WORLD engine. An economic slowdown is almost guaranteed, but it could be worse : a recession.
    The reasons could be higher than expected U.S. rates to fight inflation and reduce economic growth.
    This is what the gold price is suggesting.

    But evey time the U.S.A. have a cold flue at home, developing nations needed to go urgently to the hospital.

  • Guest

    Russia and Middle East pipelines !
    Studies and plans did not take 6 months there but YEARS !

    AND pipelines there are NOT 10’000 kms !!!!!!

    There are talks of a pipeline from Alaska to the continental USA for 25 years. No pipeline…yet !

    And I never said it CANNOT be done.
    I said : in an election year, there are more promises than rains in the Amazon.

    I also said in some previopus comments that, as per some oil experts, the project will and cannot be profitable, at a cost of US$ 17 billions.
    Originally (2 months ago only) the cost was U$10 billions, then 17 billions, now between 17 to 25 billions.
    Below is a comment published not later than….yesterday :
    The so-called “Pipeline of the South” would cost $20 billion, Chavez says. Oil experts, however, contend such a huge project could bump the price to US$40 billion.

    So, once more, this pipeline will be put in the garbage….right after the (re)elections of the 3 junkies wether they win or not : Chavez, Lula and Kirchner.

  • Guest

    The Observer
    Your comment does not make sense because similar projects are already underway in counties such as Russia and in the Middle East so the studies have already been done.

    Don’t you think Governments share knowledge or data so that lengthy studies or investigations could be minimized or refined? Think about it.

    If this proposal, which i think is an excellet idea does not manifest, the Government would only be making a fool out of itself so it’s citizen could be more vocal, justifyably.

    At the turn of the new Millennium (2000), there has been great upheavals around the world which has brought with it rapid changes for instance 9/11 and 7/7 which since then, has shocked the world into specific action – some positive, some negative.

    If your Government cannot see this what is going of happen to its people? If your Government is as competent as what it believes then let them get on with it so the citizens can judge for themseleves.

    Corruption, lies, manipulation, social injusticies, racism, unequal pay, poverty and all the other shocking things which are expressed on this website has to my knowledge never built a healthy balanced or stable nation so i rest my case.

  • Guest

    NO WAY !
    Studies for such a project cannot be made in 6 months or so, but needs several years.

    But afterall, July 2006 is only a few months before the re-election time of these 3 junkies.

    Therefore, lies and promises are all over the place.

  • Guest

    The Observer
    This artice which was written by Caroline Pimentel is interesting and these proposals seem to be very impressive and constructive and will surely bring about long-term benefits.

    But i just remembered, if i was taught geography correctly at school let me clarify. You have mentioned South American Countries, Right.

    If this is SO and i have just looked at my wall map, why is there no mention of the countries of Guyana and also Suriname and why are they not included? Or, are you just talking about Latin American countries as in Spanish speaking or Portuguese?

    I thought i would raise this matter because I am a little puzzled that all. Forgive me for my ignorance?

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