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    Peru forced to ration natural gas

Summary

An outage at an LNG complex prompted suppliers to be selective with deliveries.

by: Daniel Graeber

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Complimentary, Natural Gas & LNG News, Americas, Liquefied Natural Gas (LNG), Political, Ministries, Supply/Demand, News By Country, Peru

Peru forced to ration natural gas

An outage at an LNG complex in Peru prompted natural gas distributors in the country to start catering to those customers with the highest demand, an executive told the Argus news service May 24.

Peru LNG’s 4.45mn mt/yr liquefaction plant is operated by Hunt Oil, with a 50% interest. Other partners include Anglo-Dutch major Shell (20%), SK Innovation (20%) and Marubeni Corporation (10%). 

An early May outage at the facility has forced state suppliers to reconsider deliveries.

"We have implemented supply rationing for sectors with the highest levels of gas consumption,” Miguel Maal, the CEO at gas distributor Promigas Peru, told Argus. “In order to mitigate the impacts of this situation, which is outside of our control, we have activated a contingency plan that prioritises service to households as stipulated by the government's emergency decree.”

The Peruvian government outlined emergency measures to cope with the outage, including permission for short-term imports of LNG.

Peru’s LNG plant includes one train, a marine terminal, two storage tanks and a supply pipeline. The $3.8bn investment in the project was the largest direct private foreign development in the country when completed in 2010. 

Supply for the plant is sourced from Peru’s Camisea gas fields, in central Peru, and delivered via a 408-km, 1.3bn ft³/day pipeline.