The government of Peru signed the long-awaited contract with Brazilian construction giant Odebrecht and Spanish firm Enagas to build and operate the Southern Peruvian Gas Pipeline (GSP), in a ceremony held early on Wednesday at the Government Palace.
“Today's contract signing marks a historic milestone for Peru and will help ensure national energy security,” said Peruvian President Ollanta Humala. “This project will also help reduce the inequality gap in the country.”
In addition, Peru's Mines and Energy Minister Eleodoro Mayorga claimed that the natural gas produces energy required to provide electricity to inhabitants of southern Peru.
In this sense, the Energy and Mines Ministry (MEM) awarded concession for the project entitled 'Improvement of the Country`s Energy Security and Development of the South Peruvian Pipeline', while the Economy and Finance Ministry (MEF) confirmed the State’s security and guarantees for its development.
According to Mayorga, the GSP project construction will begin in the coming months and the produced gas will first reach Cusco region and will later be distributed across the coast of the country.
On June 30 this year, the Peruvian government awarded a 34-year concession to Brazilian construction giant Odebrecht and Spanish firm Enagas to build and operate a 1,000-kilometer long natural-gas pipeline that will run from central Peru to its more southern regions.
(END) JJN/MVF/RMB
Published: 7/23/2014