YPFB increased the reference price for the purchase of diesel oil in its bid: ‘Supply liquid hydrocarbons by ships West 2020’, from $15.3 to $34 per cubic meter (m3). The proposal establishes the reduction of the volume of purchase, placing it at 237,427 m3; despite this decline, the total cost will increase by $4.4 million that YPFB will have to pay for the product until the end of the year.
Imports of $1 billion subsidized liquid fuel (petrol and diesel) are unsustainable for the state. The Ministry of Hydrocarbons reported that it would take the following measures: 1) Import oil for further refining in Bolivia, as refineries have an idle production capacity of between 50% and 60%. 2) Strengthen the production of biofuels obtained from the processing of cane and sorgo. The Government expects a cost reduction of between 30% and 40%
The Hydrocarbons Ministry and YPFB are working on an audit of Bulo Bulo’s Ammonia and Urea Plant, which will last between 60 and 90 days. Construction demanded more than $950 million. The objective of the factory was to produce 2,100 metric tons of fertilizer; however, to date, it operated at 8% of its capacity. Since January, the factory stopped the production, due to excess stock and reengineering is required as a matter of urgency. Among the alternatives is his transfer to Santa Cruz, the estimated cost of it is $160 million. The government decided to investigate the use of the urea produced as a precursor substance for the production of cocaine.