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Argentina federal government unclogs key Petrobras gas shipment amidst supply cuts

Posted to Maritime Reporter on May 29, 2024

Argentina's federal government, facing domestic gas scarcities and targeted service cuts, said on Wednesday that it had uncloged the discharging of an essential Petrobras gas delivery, which it added should stabilize local supply.

Current winter had actually already struck gas supplies in the South American country, however that aggravated when the discharging of the gas shipment was stopped over payment problems, stimulating lacks of compressed gas (CNG) at filling stations.

The energy secretariat stated in a declaration that state energy body Enarsa had bought a 44 million cubic meter (m3) liquefied natural gas (LNG) delivery from Petrobras on Friday that was suggested to begin discharging today.

However at the last minute the business challenged the letter of credit with which the fuel was to be paid and did not authorize the dumping of the LNG at the Escobar terminal, it stated.

It included this had resulted in supply to non-priority users including market, thermoelectric plants and filling stations being cut to protect hospitals, schools, homes and businesses.

The objective is to continue providing the 'concern. demand' and property homes, the government said, adding that. the unblocking of the delivery ought to imply that throughout the. day the circumstance of supply cuts will be regularized.

Argentina is rapidly increase gas and oil production from. its own substantial Vaca Muerta shale area, but still depends on. imports to meet winter season need. It wants longer-term to become a. net energy exporter and global supplier of LNG.

Presidential spokesman Manuel Adorni stated the federal government was. making efforts to avoid further gas supply issues.

It is a really harsh winter and demand went from 44 million. cubic meters to nearly 70 million, he said at a daily press. conference.

The effect would not have actually been felt if the letter of credit. had actually been accepted on Friday, he added.

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