Peru’s Gas Output Higher in 1Q 2019
Peru’s 1Q 2019 gas production rose 18% year-on-year, state energy agency PeruPetro said April 10, but output was down 5% in March 2019 from February 2019.
First quarter gas production averaged 1.3bn ft3/day compared to 1.1bn ft3/day in 1Q 2018. PeruPetro said earlier this year that production was forecast to average 1.3bn ft3/day this year and climb to 1.5bn ft3/day in 2020.
Meanwhile, Peru’s natural gas reserves fell nearly 20% in 2017, online media outlet El Comercio reported April 8, citing the country’s Ministry of Energy and Mines (MEM).
“Reserves at Lot 58, which were to support development of Peru’s southern gas pipeline, have been downgraded due to a lack of definition regarding the new layout and schedule of this megaproject,” MEM said.
The decline in reserves was due to changes in technical and economic conditions at Lot 58, which reduced reserves to zero from earlier estimates that ranged between 3.2 trillion ft3 and 3.5 trillion ft3, the ministry said.
Peru had proved gas reserves of 16.1 trillion ft3 at year end 2016, according to PeruPetro data. A 20% reduction would push reserves down to about 12.9 trillion ft3.
China’s CNPC was optimistic when it commenced exploitation of Lot 58 in early 2017, El Comercio reported, but plans to develop a crucial pipeline to ship the gas have remained on hold for nearly two years.