Perupetro Approves Petrolera Monterrico Contract

Peru's hydrocarbons promotion agency Perupetro has approved a hydrocarbons production contract with Peruvian oil company Petrolera Monterrico for block XX in the Tumbes basin, a Petrolera Monterrico spokesperson told BNamericas, confirming local press reports.

The company plans to invest US$1mn in the first year of production, which will include the drilling of several wells, Peruvian news agency Andina reported.

The contract will be signed on January 26, after which the company will begin a 4-5 month examination period, the spokesperson said.

The 7,000ha lot has been explored without success in the past by several companies, the last of which was local firm Graña y Montero. However, Petrolera Monterrico is relying on modern technology to provide new geologic studies, the spokesperson said.

Petrolera Monterrico also holds production contracts in blocks 2 and 15 in northwestern Peru's Piura department.

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