Elecnor to build section of Peru's southern gas pipeline for USD175 million
Madrid, 20 January 2015.- The Ductos del Sur construction consortium has awarded Elecnor the engineering and construction contract for one of the sections of Peru's southern gas pipeline (GSP for its initials in Spanish) in a deal worth USD175 million (equivalent to EUR 152 million). The section awarded runs between kilometres 240 and 348 and crosses the Andes, with altitudes ranging from 3,300 to 4,500 metres. It also crosses areas which are difficult to access, making the execution and logistics of the project particularly complicated. These 108 kilometres are in fact the most technically complex and demanding of the entire pipeline which is expected to take 24 months to construct.
The GSP project was awarded by the country's government on 30 June 2014 and involves the design, financing, construction, operation and maintenance of the new pipeline. The GSP will cover a total of 1,134 kilometres and is divided into three sections according to diameter: 32, 24 and 14 inches. The 108 kilometres awarded to Elecnor fall within the first category.
The new infrastructure, which will cost around USD4 billion, will connect Camisea, in the Cusco region, and the coastal town of Ilo, in the Moquegua region, where a petrochemical pole will be installed. As well as Cusco and Moquegua, the pipeline will cross two other regions, Puno and Arequipa, comprising jungle, mountain and coastal areas.
Elecnor boasts over 30 years experience in the gas sector and has become one of the main suppliers of the services associated with this field in Spain, Portugal, Brazil and Mexico. These range from transmission through the network of gas pipelines to distribution to households. One of Elecnor's key projects currently under way is the contract awarded by Mexico's Federal Electricity Commission (CFE) to carry natural gas from the State of Tlaxcala to Morelos for a period of 25 years. This contract involves constructing, operating and maintaining Elecnor's first gas pipeline in the country which will be approximately 160 kilometres long and entail an investment of USD 270 million.