en.Wedoany.com Reported - Bolivian Energy Minister Marcelo Blanco said on July 9 that the country will hold technical talks with Brazil's Petrobras next week regarding the latter's potential return to oil and gas exploration and production in Bolivia. Petrobras has also expressed willingness to help restructure the state-owned energy company YPFB (Yacimientos Petrolíferos Fiscales Bolivianos).
The government of Bolivian President Rodrigo Paz is seeking to reopen the country to energy investment and restore trade with key partners such as Brazil. Years of declining natural gas production have depleted foreign exchange reserves, leading to frequent fuel shortages in what was once an energy-exporting nation.
Blanco stated that the goal is for Petrobras to once again produce, operate, and explore in Bolivia, and to establish a strategic partnership. He added that Petrobras is willing to support YPFB's restructuring using its past crisis management experience. Following a meeting on Wednesday, both sides agreed to set up a technical working group starting next week to evaluate Petrobras's renewed participation in the sector. Blanco did not provide investment figures or timelines, saying he would not give irresponsible data. He added that Bolivia is also seeking cooperation with other investors interested in the country.
YPFB President Sebastian Daroca also said that a company is expected to submit a final report next week on Bolivia's oil and gas reserves as of the end of last year. The government plans to use this data to discuss how to increase production in the coming years. The report is being closely watched by analysts and industry groups, as Bolivia has long been criticized for delaying the release of updated reserve data, creating uncertainty about the scale of the country's remaining oil and gas resources.
Petrobras halted investments in Bolivia after former President Evo Morales nationalized the industry in 2006. However, the Brazilian company has not fully exited Bolivia's natural gas business; it has been authorized to import Bolivian natural gas into Brazil through border entry points between the two countries. In March, Paz stated that Bolivia hopes to restart its relationship with Petrobras under new and clearer energy regulations designed to attract foreign capital to a country where natural gas production has been declining for over a decade.
