Thursday, April 1, 2021
Check out the recently published article by BN Americas on “The key opportunities in Latin America’s energy transition” where Sproule’s Jorge Milanese comments on the major investment drivers and energy transition trends in the region’s energy sector in 2021 and beyond. According to Milanese, “International investors continue to favor Brazil and Colombia as the key markets for transactions in Latin America. Both countries maintain the rule of law, have stable contract conditions and a favorable investment climate”.
Regarding prominent energy transition trends, “ESG (environment, social and governance) standards are becoming more important in Latin America as they are an essential part of the relationship with local stakeholders and institutional investors. Natural markets for Latin America’s energy exports will be demanding “carbon free” or “carbon neutral” transactions. There are already examples of LNG cargoes with that type of certification. Both NOCs and IOCs are taking action to comply with these international standards and projects like CCUS will become more common throughout the region”. Check out the full article