Peru's gas industry stands to benefit from political instability in Bolivia, as the Andean countries' neighbours look for a quick fix to settle chronic shortages in the region.

An ambitious $2bn (£1.1bn, €1.6bn) plan to pipe Peruvian gas 1,760km from the Camisea gas field, first to Chile, and then on to Argentina, Brazil and Uruguay, was expected to be presented yesterday at a meeting of the Mercosur countries in Asunción, Paraguay.