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ANP launches an inquiry related to underground storage of natural gas

Infrastructure and Energy

ANP launches an inquiry related to underground storage of natural gas

The National Petroleum, Natural Gas and Biofuels Agency ("ANP") launched, on September 9th, 2016, an inquiry concerning the storage of natural gas in reservoirs (geological formations) and in unproductive geological formations throughout Brazil.

Although provided for in the Gas Law (Law No. 11,909/2009), the storage of natural gas in reservoirs has never been regulated by the ANP. Through this consultation, the ANP now seeks to gauge public interest in this activity, with a view to regulating this matter and supporting the growing market for the generation of electricity through thermal gas plants in Brazil.

Pursuant to the Gas Law, a concession must be obtained in order to be authorized to store natural gas, which concession is granted pursuant  to a bid process. ANP's inquiry seeks to investigate the possibility of including certain areas for storage of natural gas in future bid processes.

The inquiry is scheduled to last three months and will include nine hydrocarbon production areas, which have been returned to the government or are in the process of being returned. Two of the areas are located in the onshore basins of Alagoas, two in Espírito Santo, one in Potiguar and four in Recôncavo.

Companies that are interested in obtaining information concerning these areas must complete a form, which can be found on ANP's website at and submit it via e-mail to [email protected] with a copy to [email protected].

ANP will hold a meeting concerning this inquiry, which will be a good opportunity for interested companies to present questions and comments. This meeting will be held on September 26th, 2016, in the ANP's auditorium, which is located at Avenida Rio Branco, 65, Centro, Rio de Janeiro.

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