MercoPress. South Atlantic News Agency

Bolivia claims to have discovered a massive natural gas field

President Luis Alberto Arce announced on X a massive discovery of a natural gas field, “the largest find in the country since 2005”.

Bolivia’s President Luis Alberto Arce announced on X a massive discovery of a natural gas field, “the largest find in the country since 2005”. Bolivia’s state-owned hydrocarbons company YPFB described it as the biggest gas find in nearly two decades and could become the country’s third-largest producing field. 

 The discovery at the Mayaya Centro X1 natural gas field is estimated to contain 1.7 trillion cubic foot (TCF) and comes as a major relief since Bolivia has seen rapid declines in its natural gas production in recent years amid struggles to find new resources. The country is currently facing social unrest because of a fuel shortage and a crunch in foreign currency reserves.  

From a top ten natural gas producer worldwide once, Bolivia has now turned into a net importer of oil and gas. According to a 2023 warning by the Bolivian Institute of Foreign Trade, the country had become a net importer of hydrocarbons. The latest statistics have shown that Bolivia spent US$ 2.9 billion on diesel imports, while its earnings from exports of natural gas were just US$ 2 billion. 

Drilling at Mayaya Centro X1 began in November 2022 as part of a so-called Upstream Reactivation Plan by the Bolivian state-held company YPFB. Tests at the drilling well have confirmed the presence of gas and liquids in the middle and lower Copacabana and Tomachi formations.

The investment in the drilling project stood at US$ 50 million and the discovery was made north of the Bolivian capital of La Paz, the president said. 

The discovery “marks the beginning of a new chapter” for Bolivia’s northern region, Arce said, adding that it offers hopes that Bolivia could keep its status as a large natural gas exporter and enter a new era of oil and gas production. Bolivia has traditionally been a provider of natural gas for neighbors Brazil and Argentina.