However, opposition remains intense, rooted in environmental and land rights concerns. The area affected overlaps with the buffer zone of the Tariquía National Flora and Fauna Reserve, leading to an environmental suspension ordered in January 2026. The Public Defender’s Office initiated legal action citing violations of the Escazú Agreement concerning environmental defenders’ rights and lack of proper consultation. Investigations revealed alleged breaches of an environmental pause and unauthorized works during the suspension. A technical inspection exposed ongoing infrastructure activities, prompting an embarrassing withdrawal of government and company officials from the site.
Further complicating legitimacy, evidence surfaced of a 2023 economic agreement between Petrobras and a Saicán community committee, which conditioned license approval on payments of 400,000 Bolivianos annually. This deal excluded eight other affected communities, undermining claims of free prior informed consent. Additionally, land access permissions were signed by individuals without consolidated legal property rights, as confirmed by the National Institute for Agrarian Reform, exposing irregularities in land tenure and authorization procedures.
The legal and social conflicts risk delaying or restricting project operations, which are strategically important for Bolivia’s gas export commitments, notably with Petrobras. The ongoing judicial deliberations, community resistance, and enforcement of environmental protections highlight the complex balance between resource development and indigenous and ecological rights in the region. The outcome of these proceedings will influence investor confidence and Bolivia’s approach to resource governance.
This article was curated and published as part of our South American energy market coverage.
