Page 12 - LatAmOil Week 47 2019

LatAmOil
NEWS IN BRIEF
LatAmOil
LNG is a cleaner, cheaper, and safer solution that combines both lower cost with lower emissions of pollutants.
Charle Gamba, president and CEO of the corporation, commented: “Given the limited capacity of the gas pipeline infrastructure in Colombia, industrial, commercial, and resi- dential consumers not located along existing pipeline routes currently use 145mn cubic feet (4.106mn cubic metres) per day of compressed natural gas and propane that is transported long distances via truck as an energy source. LNG can replace diesel, fuel oil, compressed gas, propane, and other fuels at a considerable reduction in price given the relatively lower cost of natural gas and the large volume of liquefied gas that can be transported by truck. Compressed natural gas for example costs three times more to transport than LNG, resulting in the potential for signifi- cant cost savings for consumers who switch to LNG. With our joint venture partners Galileo providing the technology, our objective is to build other liquefaction terminals at other stra- tegic sites in Colombia with the goal of replacing the use of diesel, fuel oil, compressed natural gas, propane, and other fuels with LNG at both lower cost to consumers and lower emission of pollutants.”
During the course of 2019 the Corporation installed four natural gas liquefaction modules purchased from Galileo at its main gas-process- ing facility located at Jobo. The modules are capa- ble of converting 2.4mcf (67,960 cubic metres) per day of gas into 29,000 gallons (110,000 litres) of LNG. This LNG is being sold to a third party at the plant gate for distribution via trucks to their clients in Antioquia and Santander as far as 800 km from Jobo.
Some 65mcf (1.84mcm) per day of com- pressed natural gas and 80 mcf (2.27 mcm) per day of propane are currently consumed in
Colombia, with a significant amount of the pro- pane being imported from the United States. The objective of the joint venture with Galileo is to install terminals in other parts of Colombia close to gas pipelines where Canacol can physically ship or swap its gas to be liquefied, with the goal of replacing diesel, fuel oil, compressed natural gas, propane, and other fuels with lower-cost and lower-emission LNG.
Canacol is an exploration and production company with operations focused in Colom- bia. The Corporation’s common stock trades on the Toronto Stock Exchange, the OTCQX in the United States of America, and the Colom- bia Stock Exchange under ticker symbol CNE, CNNEF, and CNE.C, respectively.
Canacol Energy, November 25 2019
PETROCHEMICALS
Petrobras leases Bahia
and Sergipe Fafen factories
for 10 years
Petrobras signed on November 21 a agreement on the lease of the nitrogenated fertiliser facto- ries of Bahia (Fafen-BA) and Sergipe (Fafen-SE) for the Proquigel Química company, which will hold the units for a 10-year period, renewable for another 10.
In addition to the factories, the lease includes the maritime terminals of ammonium and urea in Aratu harbor, in Bahia. The transaction involves BRL177mn ($41.6mn) and follows the procedures set in Federal Law 13.303/2016 (State Companies Law) and the Petrobras Public Con- tracts and Purchases Rules.
According to Petrobras’ Refining and Natural
Gas director, Anelise Lara, the leasing of the units will allow the fertiliser factories, which were inactive, to return to operation, generat- ing employment and bringing investments to the states of Bahia and Sergipe. “Our strategic planning concentrates investments in Brazil’s gas and oil production. By focusing in the com- pany’s main activities, we are also opening space for new companies to arise and begin investing in new areas. This will bring benefits both to Bahia and Sergipe, as it will open new perspec- tives for the local economies. The expectation is that everyone will profit from the business,” Lara explained.
The leasing has shown to be an alternative for the continuation of both units operations, as both were hibernating. Petrobras has sought alternatives and considered the best cost and economic conditions for the facilities’ transfer to the future factory operator.
Petrobras, November 22 2019
SERVICES
Peterson and Itaoca
Offshore announce
partnership for
development of
new Brazil terminal
Itaoca Terminal Marítimo and Peterson Off- shore Group have announced a partnership and consulting agreement for the development of the Itaoca project.
The Itaoca Offshore project will be a private terminal (TUP), located in Itapemirim, in the Espírito Santo (ES) state in southeast Brazil, designed to provide logistical support to the sup- ply chain for the exploration and production of offshore oil and gas. The development includes 10 mooring berths and a service pier 300 metres long, a continental storage area with more than 600,000 square metres and road access to BR 101 South, which is 23 km to the south. Its sit- uated in a strategic location for operators who have acquired or expanded their assets in the ES basins and in the northern portion of the Cam- pos basin.
Álvaro de Oliveira Jr., COO of Itaoca Off- shore, said: “Peterson is an international port operator with extensive experience in the oil and gas industry and a vast portfolio of clients, mak- ing them the ideal partner for the preconstruc- tion and construction phase of Itaoca Offshore.”
This collaboration will support the planning, design and commercialisation of the initial development of Itaoca.
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Week 47 28•November•2019