Peru hands out gas blocks

[Judi Lynn]

Peru hands out gas blocks
China's Sinochem, Colombia's Ecopetrol and Spain's Repsol-YPF won exploration and drilling rights to natural gas and oil blocks in Peru's jungle, the government said today.

News wires 14 October 2010 15:47 GMT


Sinochem's Peruvian affiliate was awarded rights to five blocks in central and northern areas of the Peruvian Amazon, while a joint venture between Ecopetrol and Repsol-YPF won concessions to explore and drill on four blocks.

The concessions should attract at least $700 million in investments to Peru, Daniel Saba, the head of state energy company Perupetro, said in a Reuters report.

Ecopetrol and Repsol-YPF offered to pay royalties of 15.5% to 19%, while Sinochem's affiliate, Emerald Energy Peru, was awarded the blocks after agreeing to royalties of 27% to 33%.

In addition to the blocks awarded to its joint venture, Ecopetrol won a separate concession in Peru's northern jungle after proposing royalties of 15.5%, company officials said in a press conference.

More:
http://www.upstreamonline.com/live/article232667.ece

[Judi Lynn]

1. Peru: UN warned on oil development threat to uncontacted peoples

Peru: UN warned on oil development threat to uncontacted peoples

Submitted by WW4 Report on Fri, 10/15/2010 - 00:50. Survival International is warning the United Nations of massive oil operations in the northern Peruvian Amazon that could decimate uncontacted tribal people. "By permitting companies to operate in this region Peru's government is flagrantly violating international law. Survival believes it very important to investigate this situation as soon as possible and for Peru's government to prohibit the companies from working there. If that is not done, some of the world's most vulnerable citizens could be wiped out," said a letter from Survival to the UN's Special Rapporteur on indigenous peoples, Prof. James Anaya.

One of the companies, Perenco, has recently admitted to transporting 50,000 tons of "material and consumables" into this region, describing it as the equivalent of "seven Eiffel Towers." Perenco is awaiting approval from Peru’s Energy Ministry to build a pipeline that will cut across 207 kilometers of land and will affect the rainforest on either side for 500 meters.

The other companies are Repsol-YPF and ConocoPhillips, which have applied to cut 454 kilometers of seismic lines in their bid to find oil. According to scientists, this part of the Amazon is one of the most biodiverse places in South America.

Survival’s appeal to the UN comes as the Peruvian government attempts to expel a British environmentalist, Brother Paul McAuley, for speaking out against environmental and human rights abuses in northern Peru.

More:
http://www.ww4report.com/node/9184