CONTUGAS, Peruvian Subsidiary of Grupo Energía de Bogotá inaugurated the ICA Regional Pipeline
30 April 2014
- ICA’s Regional pipeline – Southern del Perú – will contribute to the mass use of natural gas in Peru.
- EEB’s investment reached USD 345 million and is part of the Peruvian government's policy of mass natural gas.
Lima, April 30, 2014. Contugas subsidiary of Grupo Energía de Bogotá, jointly with the Ministry of Energy and Mines and Enbridge Technology Inc., an international inspector, today signed the final act of testing which is a requirement for Commercial Operation set forth in concession contract which certifies that the infrastructure has met the applicable standards, stating that the natural gas system is appropriate for the coming on stream. The Ica Regional Pipeline is composed by a pipeline network and its main loops, operational centers, city gates, built with the highest standards of quality and safety, while respecting the environment and archaeological heritage. Ica Regional Pipeline’s construction is an objective of the Peruvian Government within its policy framework of expanding the use of natural gas in the country. This infrastructure project is one of the largest in the natural gas sector. This project has been designed with sufficient capacity to meet the demand for residential users, commercial users, NGV stations, industrial sector, power generation (medium and small scale) and petrochemical generation. This new pipeline will attract heavy investment in industries and businesses, contributing in turn to the development of new jobs as a result of the massive use of this energy. Opportunities for small and medium sized companies SMB’s, vehicle conversion and other businesses will be generated. Additionally, access to natural gas will allow industrial growth with job opportunities in the areas of logistics, services, production and processing. This infrastructure is a crucial step to the massification process of natural gas in the country and is a test of how private enterprise and the state can undertake great infrastructure projects in order to benefit natural gas households, businesses and industries, improving quality of life of the population and contributing to the progress and growth of the communities where this energy comes. Regarding, Sandra Stella Fonseca, EEB’s CEO mentioned that the investment made by the Group in the Ica region is a sign of commitment to the massification of natural gas in the region and proud to contribute to the development of Peru. Moreover, she highlighted that the use of natural gas is not only cheaper, but supports the growth of Peru, creates comfort in the population and is a milestone in the process of natural gas massification. This project will generate savings of at least 50% of energy costs. Concluding the construction of the pipeline has been a great effort that has been invested over USD 345 million. We want to optimize the maximum and potentiate all the benefits that natural gas can bring to the country. We are starting the challenge to connect increasingly homes and at least a year from 31,625 homes. Additionally, Eleodoro Mayorga Alba, Minister of Energy and Mines of Peru, described as a historical milestone in the natural gas industry, the Act of final testing signed today between the MEM and the company Contugas S.A for the commercial operation of Distribution System for Natural Gas Pipeline Network in the department of ICA Region – Southern Perú. Hildebrando Rojas Calderón, Contugas’ General Manager noted that new phase that follows on the Commercial Operation will be carried out with high national and international standards of quality and safety, while respecting the environment, cultural heritage and archeological wealth of Peru.
About Grupo Energía de Bogotá
Grupo Energia de Bogotá is the leading corporation in the Colombian power sector. Through EEB it transports electricity to the most significant markets in terms of demand and size in the country, in addition to controlling the largest natural gas carrier in Colombia, TGI S.A. In Peru, its company CONTUGAS has a 30-year concession for the transportation and distribution of natural gas in the Ica Department, while CALIDDA is in charge of natural gas distribution in Lima and Callao. In that same country, together with ISA, it holds stocks in REP S.A. and TRANSMANTARO S.A., which operate 63% of the electricity transmission system in Peru. In 2010, it established TRECSA - Transportadora de Centroamérica S.A.- that is building the most important infrastructure Project in Guatemala and will render electricity transmission services as of 2013. Furthermore, it holds an investment portfolio in the most important companies in the electric power sector, in which the following stand out, CODENSA S.A., EMGESA S.A., GAS NATURAL S.A., la Empresa de Energía de Cundinamarca - EEC and Electrificadora del Meta, EMSA and to a lesser extent ISA and ISAGEN. As of 2013, the Group renders advisory and engineering services in Guatemala and Peru through its affiliates EEB Ingeniería y Servicios.
For more information:
Antonio Angarita Vega
Investor Relations Officer
Tel. 3268000, ext. 1546