Peru opens international tender to build new gas pipeline

The Peruvian government has opened an international tender for the construction of a gas pipeline in the Ica region. The result will be known in January of next year, when the proposals of the interested companies will be opened.

Steel Business Briefing learns from the government that the successful company will be responsible for the design, construction and operation of the pipeline, which will transport gas from Pisco city to Marcona, a distance of some 240 km.

The local longs steelmaker Aceros Arequipa and the iron ore producer Shougang Hierro Peru have already stated their interest in obtaining a supply of gas. Arequipa plans to use it for a new DRI plant, which is planned to be constructed from the next year, Shougang wants to change from oil to natural gas the fuel used at its beneficiation process, as previously reported.

SBB learns that the energy companies Transportadora de Gas del Perú, Suez Energy and Promigas are interested in participating in the tender. The pipeline is due to be commissioned in 2009 and will require an investment of US$70m.

Publication: SBB - Steel Business Briefing
Provider: Steel Business Briefing
Date: September 10, 2007