International Gas Trade-The Bolivia-Brazil Gas Pipeline
Author: Peter L. Law and Nelson de Franco Date: 5/1/1998 (PDF, 200KB)
The Bolivia-Brazil natural gas pipeline, which will transport natural gas more than 3,000 kilometers, will cost US$2.1 billion to construct. Despite the substantial benefits for both Bolivia and Brazil and the involvement of reputable private partners, the perceived risks and complexities of this large project made financing it a major challenge. Peter Law and Nelson de Franco explain the historical factors that shaped the project, how the financing package came together, and the role the pipeline will play in liberalizing the Brazilian hydrocarbon sector.