Nov. 7, 2000 (Global News)A deal was subscribed on October 10 between Pan American Energy and Wintershall Energia S.A. with Uruguay’s National Agency of Power Plants and Transmission (UTE) for the sale of 1.75 billion m3 a day of natural gas over a 15-year period.
The agreement represents a major contribution to Uruguay’s natural gas business, which will allow for the progressive transformation of its power matrix. The natural gas will be transported by Gasoducto Cruz del Sur S.A., whose construction should be completed within a year and its estimated investment for the Buenos Aires-Montevideo section amounted to US $170 million.
Moreover, the gas pipeline will be connected to the Argentine natural gas transport system Transportadora de Gas del Sur through a 40-km interconnection pipeline which will demand an initial investment of US $17 million.
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