Chile will send some 276 million cubic meters of gas from June to Argentina to help its neighbor cope with demand in the southern hemisphere winter, Chile's state-run oil and gas distributor ENAP said Friday.
Last year, Chile began sending liquefied natural gas
to Argentina for the first time. Although energy investment in Argentina is increasing, it is still a long way from regaining the self-sufficiency it lost in 2010. Before the mid-2000s, it was an important supplier to Chile.
The agreement would allow for the equivalent of around 3 million cubic meters to be piped daily from June 1 to Aug. 31, ENAP said in a statement, with an increase possible if required and available.
Chile does not have significant gas production
of its own but is selling surplus LNG imported via its Pacific-facing ports. Argentina obtains most of its gas needs from Bolivia, which are cheaper, but insufficient to meet its demand.
(Reporting by Fabian Cambero; Writing by Rosalba O'Brien; Editing by Bernadette Baum)