The global forage feed market has been undergoing noteworthy development in the past few years. This can be accredited to the progression in farm animal production, upsurge in the global meat intake, and growing awareness regar…
BMI View: Upstream investment into Bolivia has remained intact thanks to the country's strategic location
and favourable below-ground prospects. However, weak reserves growth of both oil and gas persists,
creating long-term uncertainty for production and exports. Continued investment in projects to monetise
domestic gas resources for local consumption in the residential, power and industrial sectors could tighten
the supply-demand picture in the medium term.
Latest Updates And Key Forecasts
? Data from Yacimientos Petrolíferos Fiscales Bolivianos (YPFB) shows natural gas discoveries in
Bolivia totalled about 1.5trn cubic meters in 2015, underscoring the country's below ground promise.
However, we caution that significant operational headwinds will persist given the company's shrinking
profits and budget amid the global sector downturn. Our outlook for 2016 remains positive, with a
number of key projects, including first gas from the Ipati and Aquio fields; however, we caution that
long-term growth will be challenging to achieve.
? The start-up of national oil company YPFB's virtual LNG supply project in Bolivia on February 15
marked an important change in the country's domestic energy makeup. As the first such project of its kind
in Bolivia, the USD144mn Rio Grande LNG facility will support growing demand for gas in rural
communities which lack access to the country's vast resource due to a insufficient pipeline connectivity.
? In February, the Bolivian government signed a much-anticipated series of agreements with Russian oil
and gas major Gazprom covering exploration, production and transportation of hydrocarbons as well as
construction and upgrading of associated infrastructure. The memorandum also included updates to
Bolivia's natural gas development plan through 2040, implying added involvement by the Russian firm.
? In March, the joint venture between PdVSA and YPFB to drill the Lliquimuni C X-1 well in the La Paz
region came up dry, with the well failing to yield any commercially viable quantities of oil and gas. The
project had been touted as highly promising by President Evo Morales prior to its development.