Firms unveil South America's first liquified gas plant

11th June 2010, Comments 0 comments

A private energy consortium in Peru has unveiled South America's only plant that can liquify natural gas for export.

The 3.8-billion-dollar project was the culmination of years of talks led by Hunt Oil of Texas, which holds a 50 percent stake.

Also partnering in the Peru LNG consortium were South Korea's SK Energy with a 20 percent stake, Spain's Repsol YPF with 20 percent and Japan's Marubeni Corporation with 10 percent.

"This is the biggest investment in a single project in this country. It demonstrates confidence in Peru and is a first in the region," President Alan Garcia said as he inaugurated the Pampa Melchorita maritime terminal selected as the site of the plant, and Repsol's Chiquintirca pipeline.

Repsol said the plant would have an initial capacity of 4.4 million tonnes per year and would liquify 17 million meters cubed per day.

The public group PetroPeru said the country aimed to trip its production of hydrocarbons by 2015 in order to reach production levels of 400,000 barrels of oil and liquid gas, which would allow to widely surpass domestic consumption needs, which are estimated at some 170,000 barrels of oil per day.

© 2010 AFP

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