Chinese Will Help Brazil Build Southeast-Northeast Gas Pipeline

Petrobras and the Chinese State petroleum company, SINOPEC, signed a contract Monday, April 17, to build the Cabiúnas-Vitória Gas Pipeline (GASCAV), which will run through 14 municipalities in the states of Rio de Janeiro and EspÀ­rito Santo, in southeastern Brazil.

The GASCAV is the first section of the GASENE, the gas pipeline that will link the Southeast with the Northeast. The GASENE will also comprise the Vitória Cacimbas pipeline, which is already under construction, and the Cacimbas-Catu pipeline, which is still in the planning stage.

According to Ildo Sauer, Petrobras’ director of petroleum and gas, the total value of the contract is US$ 239 million, which Petrobras will receive from SINOPEC, and the project is expected to create 2,600 direct jobs..The GASCAV should be ready in May, 2007, while the GASENE should be concluded in 2008.

Sauer adds that construction of the GASENE will also make it possible to make up for the gas deficit in regions like the Northeast.

"It will serve to consolidate Brazil’s gas pipeline grid, allowing us, in the medium-run, to move gas between the various regions of the country, sending it from where it is produced to the regions that need the gas."

Sauer also referred to the possibility of Petrobras’ importing Liquefied Natural Gas (LNG), permitting gas to be transported from any country without the need for gas pipelines.

According to the director, at a meeting last Thursday, April 13, the company’s executive board decided in favor of studying the project.

"What was approved is for us to study this possibility, but there is still nothing concrete," he affirmed.

Agência Brasil

Tags:

You May Also Like

Delta Daily from Atlanta to Rio, Brazil

Whether hitting the famous beaches at Copacabana or Ipanema, ascending the rocky spire of ...

Brazil: FTAA, Hopes and Fears

Donna Hrinak, US Ambassador to Brazil, is confident that the FTAA will go into ...

Experts Discuss How Good Is Brazil for Investors

In an investors roundtable in Brazil chaired by Dario Epstein, President of Sur Investments, ...

Brazil’s Lula Visits and Praises Landless

On Saturday, January 22, Brazil’s President Luiz Inácio Lula da Silva paid a visit ...

Latin America Will Grow Meager 0.3 Says World Bank

Brazil might do a little better, but growth in Latin America will plunge strongly ...

US Pilots and ExcelAire Sued in New York for Brazilian Air Tragedy

Another American law firm, this time, Lieff Cabraser Heimann & Bernstein, announced they are ...

It’s Easier to Be a Dollar in Brazil These Days

The unification of the free (commercial) and fluctuating (tourist) exchange rates went into effect, ...

Inquiry Asks for Ouster of 71 Brazilian Congressmen

Brazilian Senator Amir Lando, reporter of the congressional inquiry that investigated the sale of ...

Olodum Power

Tieta, Teresa Batista, Gabriela, Quincas Berro Dágua, Vadinho and Dona Flor. For many of ...

Good Tides Bring Record Number of Tourists to Brazil’s Coast

The coast of Brazil is having a party. This year is seeing the largest ...