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Natural gas

Maranhao's First Natural Gas Distribution Pipeline Established in Sao Luis

Strategic Insights

— 1 min read

The state of Maranhao, in northern Brazil, has launched its first natural gas distribution pipeline, stretching four kilometers, in the capital city of Sao Luis. The pipeline, part of the Natural Gas Distribution System (SDGN2), was officially inaugurated by Governor Carlos Brandao, with a ceremony held at the operational base of the Maranhao Gas Company (Gasmar) in the Port of Itaqui. The system supplies 250,000 m3 of natural gas per day to the mining company Vale, with an investment of R$100 million.

Key Takeaways:

  • The SDGN2 pipeline is part of the Natural Gas Distribution System, officially implemented by Governor Carlos Brandao in Sao Luis, on April 30th.
  • The pipeline stretches four kilometers and supplies 250,000 m3 of natural gas per day to Vale's facilities in Sao Luis.
  • The total investment for the project is R$100 million, making it Maranhao's second natural gas distribution system.
  • Energy sector experts consider the use of natural gas as a viable solution for reducing greenhouse gas emissions, particularly in industries that are difficult to decarbonize.
  • The implementation of SDGN2 enables the replacement of oil with natural gas, resulting in a 28% reduction in carbon emissions at Vale's pelletizing plant in Sao Luis.
  • The Governor of Maranhao, Carlos Brandao, has emphasized the economic benefits of natural gas, including lower energy costs, and its potential to attract new investors to the region.
  • The availability of natural gas in the industrial region of Sao Luis is expected to expand supply, crucial for attracting new businesses and building future economic chains.
  • The state of Maranhao will showcase the implementation of SDGN2 at COP30, scheduled for November 2025 in Belem, Para.

Statistics:

  • R$ 100 million: Total investment for the SDGN2 project
  • 250,000 m3: Daily supply of natural gas to Vale's facilities in Sao Luis
  • 28%: Reduction in carbon emissions at Vale's pelletizing plant in Sao Luis
  • 30%: Target reduction in emissions by 2030, as stated by Vale
  • 8.5 million cubic meters: Daily natural gas production in the Sao Antonio do Lopes region to power five thermoelectric plants

Sources:

  • "Brandao Inaugurates First Natural Gas Distribution System in Sao Luis"

+ Source: ma.gov.br

+ Date: April 30th

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