To: elmatador who wrote (1955 ) 7/29/2019 5:43:30 PM From: Elroy Jetson Respond to Most natural gas consumed in Brazil is delivered by pipeline from Bolivia, currently at a market cost of US $6.74 per 1,000 cubic feet currently - which is roughly equal to 1 million BTU , (actually 0.967 mBTU).You'll notice the Bolivian price is 8% below the cost of importing LNG from the US. Liquefying natural gas is quite costly.I'm certain you're not paying a retail price of US $12 / m3 in Brazil ., because that would be US $340 per 1,000 cubic feet of natural gas - which is fifty times higher than the price Brazil pays Bolivia !If you're talking about canisters of LPG , a completely different type of gas, this costs far more than natural gas both in the US and Brazil because it can't be distributed inexpensively by pipeline and is distributed by truck drivers. In the US wholesale LPG costs $2.00 to $2.75 per gallon, with delivered retail costs ranging from $3.25 to $4.00 per gallon. only 9.1% of the million BTU in 1,000 cu ft of natural gas .Natural gas prices are already so low in Brazil - that this has greatly restricted Brazilian natural gas production 57% of the natural gas produced from presalt oil deposits in Brazil are reinjected into deeper strata rather than being sold spglobal.com - due to the economically prohibitive cost of building offshore gas pipelines to most offshore production sites. If the price later rises, or if Jair Bolsonaro provides socialist funding for additional offshore gas pipelines, this reinjected natural gas is still available for sale.regulating the gas market as Jair Bolsonaro has announced he will do. If he regulates a price which is too low, natural gas will simply become unobtainable.
