Petro Rio S.A. ADR fka HRPTY

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Natural Gas
Gas from Amazon

FEBRUARY 3 , 2013 in Writing by Abegás NATURAL GAS , NEWS , Z3 - HOME with 0 COMMENTS

Competitor Petrobras in Solimões , HRT is seen as a possible ally in developing Juruá .

Initially considered as a threat to the dominance of monopoly Petrobras E & P in Amazonas , HRT starts to be seen with other eyes by tenderer . An agreement recently signed between the two oil companies - which provides joint studies aimed at monetization of natural gas from areas adjacent to the field Juruá , in the Solimões Basin - signs that Petrobras begins to change the perception of the risks to its market and considers that it has more to gain than lose from a possible alliance with the HRT - and his partner TNK / BP - the development of local production cluttered .

" We are teaming up to study the gas potential of the region . The first step is to identify volumes. Our goal is to see if we gain greater scale to enable the use of natural gas in Juruá "confided an executive at Petrobras .

In fact , the oil has entered a race against time to enable local production . The development plan of the field of non-associated gas Araracanga , approved in 2012 by the ANP provides the start of local production this year , at the risk of the grant be withdrawn Petrobras if the schedule is not met .

Besides Araracanga , the agency also last year approved the development plan of the field Juruá , in the same basin , 2016 .

Eye on neighbor

Petrobras' reserves in the region , however, are still insufficient to justify economically transport gas Juruá and Araracanga up urucú , from pipeline construction Juruá - urucú , approximately 130 km long. And that's where the HRT enters the story .

The oil company reported in 2012 the results of tests conducted wells 1 -HRT - 9 -AM and 1 -HRT - 8 -AM , in Block SOL- T -169 - pointing to a production potential of 510 thousand m3 / day and 262 000 m3/day , respectively. And there is talk of a potential production of 3 million m3/day in Juruá .

Figures released by the volume of reserves of HRT is already much higher than Petrobras . According to data released by Petrobras in the celebration of 25 years of exploration urucú Province , in 2011 , the company has the capacity to produce 600 thousand Juruá 800 m3/day .

Manaus annatto - out

The two oil companies do not comment much content partnership - incipient tell by the way - but HRT has already anticipated that companies will study up to seven options for gas monetization . These include thermal generation , liquefaction , compression and a GTL plant - Petrobras prospects such a project for production of paraffin in Manaus .

However , the possibility of access to the available capacity of the HRT Urucu- Manaus , strategic link to the growing consumer market of the capital of Amazonas , is not being discussed , according to market rumors . Petrobras holds the exclusive use of the pipeline by 2019 and has already made it clear he does not want to open the door for third-party access to it.

Nevertheless, the Urucu - Manaus has a considerable space . With current capacity to transport 6.8 million m3/day - extendable up to 10 million m3/day with the installation of new compressor stations - the project now moves less than 3 million m3/day to meet Reman , thermal plants , CNG stations and, more recently , the industrial market of Manaus .

Win-win in Urucu - Manaus

Partnership with HRT can reduce costs of Petrobras in imminent need for expansion of the pipeline

If on one hand the opening of the Urucu - Manaus can mean easier access to the market of HRT , the other partner can reduce the costs of Petrobras in imminent need for expansion duct .

With the expansion of Cigás for the Manaus Industrial District , the startup of UTE Maua 3 and the growth of consumption curve of the thermal capital of Amazonas state demand should begin to border on the 7 million m3/day from , 2016 .

This is the horizon that Urucu - Manaus should begin to show signs of saturation and require the costly installation of new ecomps - Cajual units , Cotia , Codajás Caapiranga and would be able to increase the capacity of the pipeline to 10 million m3/day .

 

Source: Journal Brazil Energy Oil & Gas

http://www.abegas.org.br/Site/?p=17530