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South American Gas

Daring to tap the Bounty

South American Gas by Organisation for Economic Co-operation and Development
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In the last few years, South America has emerged as one of the most attractive regions for investment in natural gas exploration and production, pipelines, LNG facilities and gas-fired power generation. The continent boasts abundant and growing natural gas reserves. The need to diversify away from hydropower and oil is driving many countries to promote natural gas, especially in power generation. Several cross-border gas pipelines now link gas-rich countries with large energy-hungry markets in neighbouring countries. Many more are on the drawing board.

Most South American countries have carried out substantial reforms of their gas sectors, often as part of wider economic and institutional reforms. Privatisation of state-controlled utilities and assets, and efforts to increase competition, have successfully attracted many private companies. Steps towards regional co-operation and integration have not only facilitated cross-border energy trade, but have fostered stability and growth throughout the region, bolstering energy demand growth.

This study reviews current trends in South America's gas sector and identifies the challenges ahead for the region to take full advantage of its gas resources.

Organisation for Economic Co-operation and Development; January 2003
256 pages; ISBN 9789264195820
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Title: South American Gas
Author: Organisation for Economic Co-operation and Development