Peru's Liquid Hydrocarbons Output Down 5% in October Due to Protests

Peru's total production of hydrocarbons liquids in October this year fell 5% to 3.3Mb from the same month in 2005, largely due to protests from indigenous communities, state hydrocarbons promotions agency Perupetro reported on its website.

The production drop related mainly to blocks 1-AB and 8, both of which are operated by Argentine oil company Pluspetrol. The company ceased operations due to protests on October 10 over alleged environmental violations, starting back up on October 25.

Block 1-AB production dropped 21.8% year-on-year to 655,093b, down 22.1% from September 2006.

Block 8 output fell 23.2% year-on-year to 411,041b, 18.1% off from the previous month.

The Camisea consortium's block 88, also operated by Pluspetrol, produced the most hydrocarbons liquids in Peru from January-September with 1.14Mb, followed by block 1-AB.

NATURAL GAS

Gas production in October also fell 6.9% to an average 211Mm3/d as a result of lower consumption by thermo plants and maintenance works carried out on local firm Aguaytia Energy's block 31C, news agency Andina reported.

Average natural gas production from January-October, however, climbed 20.9% to 169Mf3/d from the same 10-month period in 2005.

Block 88 produced the most natural gas from January-October with 99.9Mf3/d, followed by Aguaytia's block 31-C with 37.3Mf3/d.

The state earned 2.03bn soles (US$631mn) from hydrocarbons extraction in the period through royalties paid to state oil company Petroperu. Pluspetrol contributed 1.39bn soles.

The local subsidiary of Argentina's Petrobras Energia added 228mn soles and local companies Petrotech Peruana and Aguaytia Energy 141mn soles and 100mn soles respectively, the agency said.

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