Talara would generate more than US$135 million in profits for Petroperú a year

Petroperú would obtain a positive EBITDA of at least US$135 million each year, coming from the operation of blocks I, VI, Z-2B and X of Talara, over a 10-year horizon evaluated by the oil company itself based on the margins that he left the successful start-up of the first of them, where he was not authorized to carry out further expansion investments.

Within the framework of the Peru Energía 2023 event, the corporate manager of Exploration, Production and Oil Pipeline of Petroperú, Tomas Diazassured that there is a proven profitability for the oil company with its income, either as partner or sole operator, on these four lots whose dying contracts still do not have a defined north.

“There is a lot of nervousness in the sector, but Petroperú can finance itself with these lots. We all know that exploration and production activities provide benefits from oil income and Petroperú, like any private company, has an interest in obtaining it,” he said.

He explained that the state company has already taken great steps in its return to the upstream with its entry into Block 64 in 2013 and Block 192 (Altamesa is still under evaluation) in February of this year, in addition to the commissioning of Block I, which, according to Perupetro , it will be renewed at the end of 2023.

In the case of the jungle, the strategy is different, always accompanied. For example, in Block 64, the partner will be defined between August and November of this year, to then have the Environment Effect investigation (EIA) in September 2024, with a view to starting field development activities at that time, primarily with the existing wells.

“The Talara lots are ongoing projects that will not generate losses for the State. Block I generated us an operating profit of US$8 million in 2022 without even increasing the operation, because the contract did not contemplate it. He has paid his taxes and contributed to the tax fund, ”Díaz highlighted.

The margins of Talara

A positive EBITDA means that a company is profitable at the operational level. In other words, it sells its products above their manufacturing cost. How much profit would Petroperú’s entry into the Talara basin generate?

Sources from the sector maintained during Peru Energía 2023 that the state company is preparing a first analysis of its possible entry, as a full operator, to lots I, VI, Z-2B and X. Only the latter, the largest in the northwest and whose contract in the hands of CNPC expires in 2024, it would generate a positive EBITDA of more than US$80 million per year. In the case of lots VI and I (where it could already carry out more activities), an annual return of US$20 million would be generated each year.

Finally, Block Z-2B, where “investments become more complicated”, would leave about US$15 million each year. Over a decade horizon, this would mean income of more than US$1.35 billion for the state company. With this, in addition, the direct contributions by the Ministry of Economy and Finance (MEF) to guarantee the internal supply of fuels would remain in history, said the source.

market equilibrium

Petroperú, for its part, hopes to recover its market position with the progressive start-up of the engines of the New Talara Refinery (NRT).

The company, with a current participation of 30% in the liquid fuels market, expects to close the year at 34% and reach 40% in 2026. All of this would be part of the Corporate Strategic Plan 2015-2030 of the company, which aims to prepare a public offering of shares during this period.

Petroperú, however, recognizes that in order to ensure this integration process, it requires a participation of more than 40% in the contracts that Perupetro can offer it in the coming months, precisely on these four lots.

The word

Tomás Díaz, Petroperú Exploration Manager

“Vertical integration, coupled with our refinery, will give us an excellent competitive position to offer the market prices that benefit the final users of liquid fuels”.