Government: Peru's Biggest Oil Block Fails to Receive Any Bids


LIMA, Aug 4 (Reuters) - Three foreign oil companies that had originally signaled interest in Peru's biggest oil block did not bid in an auction held on Tuesday, state energy regulator Perupetro said.

Perupetro said it was now considering negotiating a contract directly with potential operators in order to avoid output disruptions in block 192, which produces 12,000 barrels per day.

"Such a contract could be temporary (two years) or definitive (30 years)," Perupetro said in a statement released during a news conference at the auction.

Current operator Pluspetrol's contract for block 192 is scheduled to end Aug. 29.

Pluspetrol as well as Perenco Ltd and Pacific Rubiales Energy had all expressed interest in the block last month.

State-owned energy company Petroperu has said it would be interested in stepping in to operate the block if no private companies made an offer.

Petroperu has not produced oil in more than 20 years.

Petroperu refines and transports oil products while Perupetro is the state agency tasked with regulating the industry.

Perupetro had postponed the auction last month in order to build more interest in the block in Peru's northern Amazonian region of Loreto.

(Reporting by Teresa Cespedes, Writing by Mitra Taj; Editing by Chris Reese and Diane Craft)

Copyright 2016 Thomson Reuters. Click for Restrictions.


Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies

Our Privacy Pledge

Most Popular Articles

From the Career Center
Jobs that may interest you
Project Controls Specialist
Expertise: Project Management
Location: Minneapolis
Business Development Manager
Expertise: Business Development|Construction Manager|Sales
Location: West Sacramento, CA
Business Development Manager
Expertise: Business Development|Construction Manager|Sales
Location: Denver, CO
search for more jobs

Brent Crude Oil : $50.79/BBL 1.30%
Light Crude Oil : $49.96/BBL 1.10%
Natural Gas : $2.77/MMBtu 2.12%
Updated in last 24 hours