Hydrocarbons Minister Andres Soliz Rada told reporters that there is some opposition inside the government to the continued sale of gas to Argentina, given that the gas sales free up Argentine gas that is then sold to Chile. The grudge dates to a 1879-1884 war during which Chile seized Bolivia's Pacific coastline.

This internal government opposition "is being analyzed carefully. I believe that we will define this issue in the coming days," Soliz was quoted as saying in regional media reports Wednesday in response to a question about government concerns regarding continued gas sales to Argentina. A ministry press officer confirmed that Soliz Rada made the comments Monday during a meeting with local journalists in La Paz.

It became clear in April that Bolivian gas frees up the Argentine gas needed to meet Chilean export contracts when shipments of Argentine gas over the Andes into Chile were cut off for several days after a pipeline burst in Bolivia.

Argentine President Nestor Kirchner further aggravated the issue when he later suggested that any higher Bolivian gas prices should be directly passed on to Chilean buyers. The problem with that plan is that Bolivia agreed to sell Argentina gas on the condition that none of it be resold to Chile.

Argentina holds contracts through the end of this year to import up to 7.7 million cubic meters of Bolivian gas per day. Bolivia charges Argentina some $3.30 per million British Thermal Units, but now wants to increase that price by $2 per million BTU.

All Bolivian gas contracts went up for re-negotiation after President Evo Morales nationalized Bolivia's hydrocarbons industry on May 1. Nations and private companies involved have six months to reach new deals.

Argentina sent negotiators to La Paz earlier this month, although a follow-up trip by Argentine Planning Minister Julio De Vido to ink the new deal was later suspended indefinitely.

Although stalled, the negotiations with Argentina have been subdued, unlike the shouting match that has erupted between officials from Bolivia and Brazil, which holds long-term contracts to import 30 million cubic meters of gas per day.

Argentine business daily El Cronista suggested Wednesday that Kirchner and Morales will announce a gas agreement in June during a mini-summit on the sidelines of the inauguration ceremony for a bridge connecting the two nations.

It is unclear how much the Chilean coastline grudge is weighing on Bolivian planners regarding the Argentine gas talks. Bolivian officials could refer to a nationwide referendum proposed by former President Carlos Mesa in July 2004, however.

Among the five questions overwhelmingly approved by voters, one read: "Do you agree with President Carlos Mesa's policy to use gas as a strategic resource to achieve a useful and sovereign access to the Pacific Ocean?"

Separately, Bolivian newspaper El Diario online reported Wednesday that legislators from Bolivia and Chile are slated to meet on June 20 in Santa Cruz, Bolivia, to discuss the landlocked nation's aspirations to regain access to its former Pacific coastline.