The European Union (EU) on Monday donated EUR 27 million ($29.2 million) to Bolivia to strengthen the fight against drug trafficking and enhance water and sanitation in the country.
Brazil is studying the construction of a bi-national hydroelectric plant with Bolivia on the Mamoré river (northwest of the country) at a cost of $5 billion, said the Brazilian general director of Itaipu Binacional, general Joaquim Silva e Luna. In the next three years, Itaipú Binacional will have its debt settled for the construction of its plant, which will release about $2 billion annually, half for Paraguay and half for Brazil, which can count on this money to invest in the construction of the new power central, he said.
Argentina owes three invoices for the purchase of Bolivian natural gas, according to sources close to the Government. According to estimates by the consultancy Gas Energy Latin America (GELA), the amount to be paid reaches $246 million.
Sales to Bolivia from the Iquique Free Zone (Zofri) in northern Chile fell by 20% in 2019. Data published by Zofri on its website shows that, in 2018, Bolivia bought goods worth $617 million, while last year sales reached $494 million.
A technical commission from Bolivia is in Argentina to start negotiations for the signing of a new addendum to the gas purchase agreement and to stabilize the volumes demanded by the neighbouring country. Bolivia’s YPFB president, Herland Soliz, explained that the current contract addendum establishes export volumes of Bolivian gas of between 16 and 18 million cubic meters per day (MMmcd) in winter and from 10 MMmcd to 11 MMmcd in Summer.
The President of the United States, Donald Trump, announced that the restrictions of aid to Bolivia were lifted. The aid will begin on the 2020 fiscal year (from 1 October 2019 to 30 September 2020). The US restricted aid since 2017 after consider that the country was failing in its anti-drug policy.
Brazilian company Petrobras announced that it is possible to reduce its natural gas import contract from Bolivia to a volume of 12 million to 20 million cubic meters per day (MMm3/d). Thus, the company needs to sign an annexe with Bolivian Fiscal Oilfields (YPFB).
U.S. disruption of the global economic order reaches a major milestone on Tuesday as the World Trade Organization (WTO) loses its ability to intervene in trade wars, threatening the future of the Geneva-based body. Two years after starting to block appointments, the United States will finally paralyze the WTO’s Appellate Body, which acts as the supreme court for international trade.
The United Nations on Thursday demanded further assistance to facilitate the development of landlocked countries, such as Bolivia and Paraguay, which face particular difficulties over their geographical situation in combating poverty. The UN General Assembly adopted a declaration calling for more financial support for these nations and more cooperation to facilitate their access to international trade.
Brazil’s national agency for petroleum, natural gas and biofuels (ANP) says that, until fresh Bolivian elections are conducted, discussions will remain suspended. To further complicate things, Petrobras still has considerable unsupplied gas credits under the expiring contract which could last an additional two to four years.