Current Bolivian gov managerial performance regarding our hydrocarbon industry!

Carlos Valverde Bravo for El Deber:

And the story goes on

Carlos ValverdeOn May 10th, President Morales was part of a show organized for the inauguration of the plant in Rio Grande, born with a suspected premium price of over $50 million dollars. Since the affair of S. Ramirez until the arrival of Carlos Villegas to YPFB, the process has been under suspicion as to how the final settlement was built, when it ended up hiring as builders those who traveled by YPFB, to the U.S. to see what had ahead Gulsby , constituting an irregularity involved in the bidding for the company that knew what previously acted in what is called the ‘procure’, ie the collection and pre-assembly of the equipment before sending them to Bolivia. Those who know say that what exists is what Gulsby had, only more expensive.

YPFB flaunts the ‘separation plant’ as if it were the only one in Bolivia, given there are more than 10 already. Neither report that Brazil pays for associated liquids, ie LPG and others, so we have a virtual plant apart, with the difference that we are paid by international price, which I doubt happens when we produce LPG and have to pay at least $130 per ton

What’s worse is that the “opened plant” is not yet completed and it is known that, under pressure from Villegas, had to pressurize the flare system. Explain: All processes have relief valves, which, to a pressure, relieve flare system, ie the gas is burned. Those who know say that in these conditions is dangerous to continue the work of Pre-commissioning (testing without gas, essential to verify that all control systems work well) and commissioning (gas tests for the same) of the plant. According to the actual data, the plant needs at least three months to be completed. […and YPFB and this government brag about having the expertise?! Health, Safety, Environment and Social [HSES] international standards are NOT being enforced!!!]

It would be good that Villegas informed what to do with the LPG produced in this plant. I warn that we risk end up selling much more expensive gas than the LPG that was imported and ending quietly subsidizing to prevent people discovering that YPFB is and inefficient company and that the government has no control over it.

Published by Bolivian Thoughts

Senior managerial experience on sustainable development projects.

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