Bolivia creates fund to foster search for gas and oil

The Bolivian government recently passed the Law for Promotion of Investment in Oil and Gas Exploration and Exploitation. The act creates a fund consisting of contributions from departmental and municipal governments and public universities to incentivize the search for gas and oil.

The fund’s resources will be used only upon delivery of oil or condensate deriving from successful exploration and exploitation activities.

itionally, for exploration and exploitation activities the law provides that the state-owned YPFB will be able to sign –for both reserved and free areas- Oil Services Agreements with public, mixed or private Bolivian or foreign companies, under any of the available contract forms.

Contact

Gerardo Villagómez: gvillagomez@ferrere.com