Camisea 94% Complete, Ahead of Schedule
|Friday, February 06, 2004
Peru's Camisea natural gas project is on average 94% complete and could start transporting gas to Lima by July, a source at state investment promotion agency Perupetro confirmed to BNamericas.
The project will start transporting gas in May and filling the pipelines will take about 60 days, which means the first gas could reach Lima ahead of the scheduled August start-up, the source said.
Companies in the upstream, transport and distribution areas have invested US$1.45bn in the project to date, of a total US$1.6bn price tag. In the upstream component, the consortium led by Argentine company Pluspetrol has invested US$700mn so far and completed 91% of the work. Another US$60mn is still required. The consortium has drilled six wells and completed two workovers, the last of which was finished in January, and will open them for final tests in early April. The construction of the Las Malvinas separation plant is nearly finished, while the fractioning plant at Pisco is about 60% complete, the source said.
As for the transport component, the TGP consortium has invested some US$700mn so far to complete 96-97% of the main gas and liquids pipelines, which will transport gas from the Camisea fields in the east to the Pacific coast. An additional US$50mn is required to complete the pipelines, the source said. Belgian company Tractebel has invested US$50mn in building the distribution network in Lima and Callao, which is about 91% complete. The budget for this part of the project is US$80mn. When the project starts up, Lima is expected to consume 100 million cubic feet of gas a day (mcf/d) of the separation plant's 450mcf/d capacity. About 56mcf/d of the 100mcf/d is reserved for Etevensa, the Peruvian generation subsidiary of Spanish power group Endesa, under its take-or-pay contract, with the remaining 44mcf/d to be sold to industrial clients. The rest of the gas will be re-injected into the Camisea field until demand increases.
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