Brazil’s gas imports expanding

Brazil natural gas imports this year have already surpassed the volumes imported in the 12 months of 2023, according to data from the federal government.

So far this year, a total of 5.4bn net kg of gas (liquefied or not) have been imported, with a cost of US$2.64bn FOB (free on board), from 5bn net kg (US$1.65bn FOB) in 2023. 

The main gas exporter to Brazil is Bolivia. The two countries are connected through the Gasbol pipeline. In 2024, Bolivian supply totaled approximately 3bn net kg, compared with 4.4bn net kg in the previous year.  

The United States comes next, with 1.8bn net kg, almost four times the volume registered in 2023 (474mn net kg). As a liquefied natural gas (LNG) provider, the US has more flexibility to rapidly respond to demand fluctuations. 

Brazil’s current LNG regasification capacity stands at approximately 125Mm3/d, considering its terminals in Pará, Sergipe, Santa Catarina, Rio de Janeiro, São Paulo and Bahia. 

However, due to an internal piping problem, the operations of the Sergipe terminal were halted on October 7 and stopped supplying the Porto de Sergipe thermoelectric plant.

The rise in gas imports is a consequence of a serious drought that Brazil is undergoing. In order to preserve water reservoirs, the national grid operator ONS is restricting hydroelectric generation while dispatching power from additional thermal plants.