Project Profile

Value: US$3.8bn
Terminal location: Pampa Melchorita, Peru
Pipeline location: from Chinquintirca, mountains around Ayacucho, to the LNG Plant at Pampa Melchorita on the coast, Peru
Length (pipeline): 408km
Transport capacity (pipeline): 550 million cubic feet of gas
Plant capacity: 4.45 million tonnes per year gas

The Peru LNG project is one of the most important resources of the Peruvian Government\'s future energy strategy. The project, which was launched in January 2007, is also one of the largest industrial projects ever to be undertaken in the country. It is also the first LNG plant in South America. The plant was officially inaugurated in June 2010. The international project consortium for the project consists of Hunt Oil Company of the US (50%), SK Corporation of Korea (20%), Repsol YPF of Spain (20%) and Marubeni Corporation of Japan (10%). The operator for the Peru LNG gas export project is Hunt Oil Company, a subsidiary of Hunt Oil Peru. Natural gas resources in excess of domestic demand will be exported as a sustainable commodity over a period of 20 years.  The total investment for the project, including the liquefaction plant (US$1.5bn), related marine and pipeline facilities and development and financing costs, was US$3.8bn.

A major element of the project is the construction of a 34in diameter pipeline for the transportation of natural gas from Chinquintirca, located in the mountains around Ayacucho, to the LNG Plant at Pampa Melchorita on the coast. Camisea gas field supplies natural gas for the LNG plant through a pipeline. The pipeline runs for 408km through 22 districts, nine districts in Ayacucho (Paras, Socos, Vinchos, Tambillo, Acocro, Chiara, Acos, Vinchos, San Miguel and Anco), four districts in Huancavelica (Ayaví, Tambo, Huaytará and Pilpichaca), eight in Ica (Huancano, Humay, Indepencia-Pisco province and El Carmen, Alto Larán, Chincha Alta, Pueblo Nuevo and Grocio Prado-Chincha province) and one in Lima (Cañete). It provides about 550 million cubic feet of transport capacity to the Peruvian market.


Operators:

Hunt Oil: Operator with 50% interest

SK Corporation: 20% interest

Repsol YPF: 20% interest

Marubeni Corporation: 10% interest


Contractors:

CB&I: EPC contract

Joint Venture for marine terminal EPC contract:
Saipem
Jan de Nul
Odebrecht

Techint: Pipeline EPC contract

Other EPC contracts:
Cosmos
Minera San Martin
Esmetal, Grana & Montero
Sima
Aceros Arequipa
Cosapi
Tecnicas metalicas
Translei

GE Oil & Gas: A long-term contractual service agreement (CSA) through General Electric International Peru. The new CSA agreement will cover the plant’s services requirements for 13 years covering all major maintenance requirements (including parts, repairs and field services) for the plant’s liquefaction train, site’s power generation equipment that consists of three GE LM2500+ aeroderivative gas turbine-generators and auxiliaries. In addition to major maintenance, GE Oil & Gas also will provide a resident support team to assist with all aspects of maintenance on GE equipment as well as a predictivity package for remote equipment monitoring.