ANNOUNCEMENT 08 Nov 2013
The Argentinian Government launched a stimulus program addressed to small natural gas producers to boost national production.
NUMBER OF INTERVENTIONS
Planning and Strategic Coordination Commission of the National Hydrocarbon Investment Plan. Comisión de Planificación y Coordinación Estratégica del Plan Nacional de Inversiones Hidrocarburíferas. Resolución 60/2013. http://servicios.infoleg.gob.ar/infolegInternet/anexos/220000-224999/222998/norma.htm
On November 8, 2013, the Argentinian Government created a program to encourage the injection of natural gas by small companies (i.e. Programa de Estímulo a la Inyección de Gas Natural para Empresas con Inyección Reducida). The program provides small natural gas producers with a subsidy that varies between 4 and 7.50 USD per million BTU, depending on whether the amount of natural gas injected into the network is equal, above or below the curve of adjustment and the adjusted injection base. Only companies producing less than 3.5 million cubic meters per day during the six months previous to the announcement of this resolution could benefit from the program. Applications to participate in the program had to be submitted by March 31, 2014.
This program was created to complement the Program for the Overinjection of Natural Gas, launched on January 18, 2013, as some gas producers could not benefit from it due to their production capacity (see related measure).