They freeze the tender for Lot X of Talara and the process risks being canceled

Yesterday it was planned to give the go-ahead to the two consortiums interested in taking the reins of Lot X of Talara, however, Perupetro chose to suspend it until Monday, April 15.

The decision made by the private law state body that oversees hydrocarbon exploration and exploitation contracts cannot be questioned, since it is within the framework of its powers, according to the director of Enerconsult, Carlos Gonzales, although this does not imply that There is no cause that justifies it.

The consortia interested in managing the most important operation in northwest Peru, which produces 10,000 barrels per day and which is expected to double, are Offshore International Group INC (United States), Aguaytía Energy del Perú SRL and Termoselva SRL (Peru) and J&F Investimentos SA (Brazil), and Upland Oil and Gas LLC (United States).

What is the Boluarte Government looking for?

It is worth noting that Perupetro agreed to a 60% stake for a private operator in Lot X, and the other 40% for Petroperú, which would imply the return of the state company to this operation after 30 years. The contract establishes a horizon of 30 years.

Sources close to the process told La República that the Ministry of Economy and Finance (MEF) plans to cancel the award process and leave Petroperú out of the proposed 40%, limiting its participation to the negotiating willingness of the winning company.

To this end, the source asserted, the two directors of Perupetro representing the MEF would have insisted on finishing the call process and calling another one without Petroperú because their participation would be the cause of the low turnout of bidders.

A few hours before April 11, the Minister of Energy and Mines, Rómulo Mucho Mamani, threatened that changes were coming in the delivery of the good offer.

“Probably, I say, I don’t want to interfere, tomorrow (yesterday, Thursday, April 11) we will know and we will see the decision that is made. There are two companies that have presented themselves but, suddenly, (sic) I don’t want to get ahead of myself and we see that with the Minister of Economy,” the official told RPP.

“Cancelling the process would be the worst thing that could happen”

Gonzales emphasizes that we are just over a month away from the completion of the Chinese CNPC contract in Lot

Although it recognizes that the postponement of the date has justified reasons to avoid a disputed award, the suspension of the call would mean opting for a temporary contract while a new process is prepared, which would be “a disastrous solution.”

Along these lines, Aurelio Ochoa Alencastre, former president of Perupetro, alleges that, if the call is overturned, the consortia can sue the State for damages, in addition to the fact that the independence of Perupetro would be violated and it would damage the predictability and confidence for investments.

“Except a cataclysm, the rules of the game cannot be changed. In this case, a political decision cannot do it. The rules that Petroperú goes with 40% have already been accepted by the two consortiums (…) and modifying it would be a mockery of the companies that have presented themselves,” he asserted.

“CNPC wanted to continue, but did not show up” According to Minister Mucho, the China National Petroleum Corporation (CNPC)—current operator of Lot under the conditions in which it was left (60% for the private)” but in the end, they did not compete.

Here, it is necessary to emphasize that Minem or the MEF cannot interrupt or stop the process, since it would be illegal, according to the specialists consulted.

Gonzales agrees with Ochoa Alencastre, and maintains that although Perupetro was able to set more attractive conditions to have a larger call, it would send a bad signal if the call that has two bidders is canceled.