Uruguay's state-run oil and gas company, ANCAP, announced last month that it discovered the first traces of underground oil in what may be a ""promising shale deposit,"" according to director Juan Gómez. ANCAP is also preparing to launch a new bidding round for offshore blocks in September and a second round in 2012. Gómez has said the new find and the possibility of offshore oil have attracted significant interest by international investors. How promising is future onshore and offshore development in Uruguay? Does the government have the right regulatory structures in place? What more should it be doing to promote investment in exploration and production? Will environmentalists, concerned over Uruguay's status as one of the least-spoiled countries on the planet, move to block major hydrocarbon projects?
Copyright © 2011, Inter-American Dialogue, used with permission from the publishers.
Inter-American Dialogues Latin American Energy Advisor'
Inter-American Dialogue's Latin American Energy Advisor. "How Well is Uruguay's Nascent Oil Sector Advancing?." (2011). http://digitalrepository.unm.edu/la_energy_dialog/196