Argentina’s YPF has reportedly started negotiations with Corporacion America, discussing possible construction of a third LNG import terminal.
The location for the third terminal would be the La Plata river, in the vicinity of the existing port infrastructure in the Dock Sud district, Argus reports, citing industry officials.
Dock Sud already has facilities in place that could be adapted to accommodate the construction of an LNG import terminal, one official said.
Argentina currently has two LNG terminals in operation. The GNL Escobar located on the Parana River, some 30 miles outside Buenos Aires has a regasification capacity of 500 mmscf/d.
The second terminal, the Bahia Blanca, is located some 400 miles south of Buenos Aires, with the same baseload regasification capacity.
However, the negotiations for the third import facility come amidst reports that the state-run Enarsa is canceling cargoes due to mild winter temperatures that resulted in demand decrease.
According to the report, Argentina is looking to cut down on diesel imports and to tackle the logistical issues caused by the arrow Parana River channel, that allows only small or partial cargo deliveries, driving the prices up. These would be avoided by setting up the facility in the industrial complex of Dock Sud.
LNG World News Staff