Shares of Argentina’s natural gas pipeline operators climbed after regulators allowed the second rate increase in 14 years.
Transportadora de Gas del Sur’s shares jumped 5 percent, the most in two months, at 12:09 p.m. in Buenos Aires. Transportadora de Gas del Norte shares advanced 2.5 percent.
Energy regulators granted TGS an average rate raise of 44 percent on Monday while TGN was given a 69 percent increase for their gas transportation business and investment. Profits at Argentina’s utility companies have fizzled as the government kept a freeze on rates since the 2001 financial crisis, while costs increased.
The announcement prompted Raymond James Financial Inc. to upgrade TGS to the equivalent of buy and forecast a 32 percent jump in its American depositary receipts, according to an e-mailed report to investors.