BUENOS AIRES, Sept 8 (Reuters) - TotalEnergies said
Argentine natural gas must reach Brazil at a cost below $10 per
million British thermal units (mmBtu) to remain competitive,
Sergio Mengoni, the company's Argentina country chair, said on
Monday.
WHY IT'S IMPORTANT
Argentina's Vaca Muerta shale holds significant export
potential, but infrastructure gaps and pricing could hinder
competition with liquefied natural gas imports to Brazil.
KEY QUOTE
"We need infrastructure first - for Vaca Muerta gas to reach
the north and be used for exports - and then for transportation
tariffs in countries where the pipeline has been amortised to
drop a bit," Mengoni, head of TotalEnergies Argentina, said
during the Argentina Oil & Gas event in Buenos Aires.
BY THE NUMBERS
In April, TotalEnergies carried out a pilot test, exporting
500,000 cubic metres of gas per day from Vaca Muerta to Brazil's
Matrix Energía for 10 days through a Bolivian pipeline.
Mengoni said the final price needs to stay below $10/mmBtu
to remain competitive in Brazil.