Shell, Enron eye gas, power in Brazil

Oct. 12, 1998
Shell International Gas Ltd., London, and Enron International, Houston, have agreed to develop a $500 million natural gas-based power project at Cuiaba, in Brazil's Mato Grasso state. The two firms will jointly develop a gas-fired, combined-cycle power plant at Cuiaba and a 630-km gas pipeline in Bolivia and Brazil to deliver Bolivian gas to the plant (OGJ, June 23, 1997, Newsletter). The project will be developed in stages over 3 years, says Shell. Phase 1, which involves 150 MW of

Shell International Gas Ltd., London, and Enron International, Houston, have agreed to develop a $500 million natural gas-based power project at Cuiaba, in Brazil's Mato Grasso state. The two firms will jointly develop a gas-fired, combined-cycle power plant at Cuiaba and a 630-km gas pipeline in Bolivia and Brazil to deliver Bolivian gas to the plant (OGJ, June 23, 1997, Newsletter). The project will be developed in stages over 3 years, says Shell. Phase 1, which involves 150 MW of generation capacity, is expected to start up at yearend. In Phase 2, the plant will be expanded to 300 MW. Final generation capacity will be 480 MW. The pipeline will connect in Bolivia to the 280 MMcfd, 3,186-km Bolivia-to-Brazil pipeline (OGJ, Apr. 6, 1998, p. 42). Electricity generated by the plant will be sold to Eletronorte under a long-term power sales deal signed in 1997 and ratified last March.

Copyright 1998 Oil & Gas Journal. All Rights Reserved.