TARIJA, Bolivia – Spanish oil giant Repsol on Wednesday signed an agreement with the Bolivian government to extend until 2046 its contract to operate the Caipipendi bloc, its largest energy exploitation project in Bolivia, with an annual investment of $500 million through 2021.
The signing of the document came at a ceremony in the southern Tarija region attended by Bolivian President Evo Morales and Repsol president Antonio Brufau, along with government ministers, local authorities and representatives of the Shell and Pan American Energy oil companies, who are partnering with the Spanish firm in Caipipendi.
Signing the accord were the president of Bolivia’s YPFB oil firm, Guillermo Acha, and the representatives in Bolivia of Repsol, Diego Diaz; Shell, Orlando Vaca; and PAE, Geronimo Valenti.
In his speech at the event, Brufau emphasized the success Repsol and its partners have had in developing the Margarita-Huacaya oil field, along with exploration in the north and south of Caipipendi.
“This is our commitment,” said Brufau regarding the $500 million annual investment through 2021, an amount to be devoted to confirming the presence of natural gas in the zone and accelerating its production, if found, as Repsol said in a communique.
The Margarita-Huacaya field, where natural gas is produced for export to Brazil and Argentina, is in Caipipendi, a bloc where Repsol has 37 percent participation, Shell has a similar percentage and PAE has 25 percent.