March 2021, Vol. 248, No. 3


Spotlight on South America: New Gas Pipeline to Boost Northern Peru

By Mauro Nogarin, Energy Writer

Gasnorp, a subsidiary of Promigas in Peru, signed a 32-year concession contract with the Peruvian state for the distribution of natural gas through the pipeline network in the provinces of Piura, Talara, Sullana, Paita and Sechura.

The project, located on the western side of the Piura region in northeast Peru, is bordered by the department of Tumbes and Ecuador to the north, Ecuador and the Cajamarca region to the east, the Lambayeque department to the west and the Pacific Ocean.

It is in the jurisdiction of the districts of Pariñas, La Brea, Vichayal, Arenal, Colán, Paita, La Unión, Miguel Checa, Vice, La Huaca, Sullana, Veintiséis de Octubre, Piura and Sechura.

The company anticipates a $230 million investment on infrastructure to bring hydrocarbon shipments to homes, businesses, service stations and industries in the region.

Click to enlarge.
Click to enlarge.

This concession contract for distribution of natural gas between Gasnorp and the Peruvian state was signed in November 2019. 

While it is expected to boost the regional economy by increasing the productivity of goods and services, another objective of the project is the decentralization of natural gas production from the Camisea field and strengthening the hydrocarbon sector in the north of the country. 

The new network will have a capacity of 35 MMscf/d and save users an estimated $42 million during the first four years of operation. The volume for regulated clients [residential, commercial, natural gas vehicles (NGVs), fishing, and small and medium industries] will be 7 MMscf/d, with non-regulated clients (refinery and large industry) accounting for 25 MMscf/d.

The project includes the connection of 10 service stations for the automotive market, 45 industries and 640 companies.

Quavii, a natural gas distribution company headquartered in Turjillo, said the plan is to bring natural gas to 64,000 homes that encompass about 260,000 people in Piura. Environmental requirements have already been met for the project, the company said. 

The construction of the gas pipeline includes 149 miles (240 km) of the main steel network, while the concession contract will be for 32 years.

Click to enlarge.
Click to enlarge.

The development of the project includes the construction of a 150-mile (240-km) main steel gas pipeline in 10-, 8- and 6-inch (254-, 203- and 152-mm) pipelines and the adaptation of a 37-mile (60-km) existing 8-inch pipeline. In addition, five district stations will be built in the towns of Piura, Sullana, Talara, Paita and Sechura.

Polyethylene networks will be installed for the cities of Piura, Talara, Sechura, Sullana and Paita, totaling 775 miles (1,258 km) in the first eight years, following the commercial start-up of the main gas pipeline.

The system will have three supply stations: Pariñas, La Bocana (Lot III) and Olympic, with a maximum total capacity of 35 MMscf/d and a designed pressure of 650 psig.

The project also includes drilling of five horizontal boreholes at the Piura, Chira, Virilla Estuary and Quebrada las Monjas rivers, as well as the dual carriageway of the Interoceanic Highway at Paita-Sullana.

Construction of the Sullana station began in the third week of December 2020, while the construction of the Piura and Talara stations is expected early in 2021.


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