Print this pageBolivia - Exploration History and Emergence as a Major Gas Producer
BISSELL, JOHN W.
Exploration in Bolivia has historically been plagued by a series of political and economic factors. Although production was established in southern Bolivia as early as 1924, a limited domestic natural gas market, and nationalization of reserves in 1937 and 1969 have inhibited foreign investment.
To date, exploratory activity and resulting production has been concentrated in the south and western geographical areas of the country, where a series of sedimentary basins lie along the eastern flank of the Andes Mountain Range. Regional Tertiary thrust faulting associated with Andean uplift has resulted in complex folding and faulting of sediments. Most westerly, prospecting in the Subandean foothills fold belt has been limited to mapping of surface geological features. The Chaco plains region to the east of the foothills is characterized by milder faulting with subtle surface expression suitable for seismic acquisition. As a result, the majority of exploratory drilling has been concentrated in the plains region, where anticlinal features trend north and south parallel to the fold belt.
Gas production during 1995 averaged 520 MMCFGPD, of which 17 percent was consumed internally, 39 percent exported to Argentina and 44 percent reinjected. Current estimate of reserves is approximately 5 TCF and 120 MMBO, the majority of which is owned by YPFB, the state oil company.
Recent developments in the Southern Cone region of south America have set the stage for significant growth of the natural gas market. Brazil has targeted natural gas to satisfy its increasing energy demand, necessary for development of local and regional economies. Bolivia, being centrally located in South America, with abundant gas reserves, is positioned to become a key net exporter of natural gas by the end of the century.