The spatial organization of oil and gas investments in South America: an analysis based on communities

Abstract

Abstract The global economy is organized in value chains, spatially and functionally fragmented. Despite this dispersion, the administrative activities of these chains continue to be concentrated in some cities, which play an important role in certain chains, because they concentrate companies and economic flows. The research on value chains has not focused on the city level and has adopted mainly case studies as the methodological approach. Considering this, we apply a network methodology to analyse the powerful cities in the South American oil and gas investment network, including the attributes that explain this position and the spatial extent of it. To perform this analysis, we use data on green and brownfield investments. Our results indicate that Rio de Janeiro is the most central city in this network, but its action is mainly concentrated in Brazil. This work seeks to contribute mainly to the methodological development of the studies in the area.

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