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Argentina opens gas pipeline from Vaca Muerta to Santa Fe

Argentina inaugurated a gas pipeline from Vaca Muerta to Santa Fe on Sunday, July 9, in Salliquelo, Argentina.

This marks the first stage of the pipeline, which will transport natural gas from the Vaca Muerta formation to Santa Fe.

This project serves as a solution to the 2022 energy deficit of $5 billion, as it eliminates the need for energy imports.

The first stage begins in the province of Neuquén and extends to the province of Buenos Aires. It will supply 11 million cubic meters (0.4 billion cubic feet) of gas per day, with expectations of doubling the capacity once compression plants are installed in Tratayen, Neuquén, and Salliqueló, Buenos Aires.

Agustín Gerez, the president of the state energy company Energía Argentina, stated that the tender for the second section of the gas pipeline, which will reach San Jerónimo in the province of Santa Fe, will take place in September. The completion of this section is expected between March and April 2024, increasing the transport capacity by 44 million cubic meters per day. This improvement will facilitate the importation of diesel and liquefied natural gas (LNG), as reported by Reuters.

Official estimates suggest that Argentina aims to achieve net zero in its energy balance by 2024 and generate a surplus by 2025 with the operationalization of the new gas pipeline.

Vaca Muerta, the hope of Argentina

Vaca Muerta, located in Patagonia, is considered crucial for boosting gas supplies in Argentina and reducing the need for imports. It is currently the second-largest unconventional gas reserve and the fourth-largest oil reserve in the world.

According to information from Argus, the 573 km gas pipeline from the Vaca Muerta formation to Buenos Aires will save Argentina approximately $2 billion in gas imports this year.

Argentina opens gas pipeline from Vaca Muerta to Santa Fe
The pipeline from Vaca Muerta to Santa Fe was inaugurated

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