VENEZUELA: Italian and Spanish companies team up with state oil firm PDVSA to develop major gas field

Record ID: 344106

  • Title: VENEZUELA: Italian and Spanish companies team up with state oil firm PDVSA to develop major gas field
  • Date: 24th December 2011
  • Summary: CARACAS, VENEZUELA (DECEMBER 23, 2011) (REUTERS) ( ** BEWARE FLASH PHOTOGRAPHY **) VARIOUS OF THE EXTERIOR OF THE PDVSA BUILDING IN CARACAS VARIOUS OF ENI PRESIDENT PAULO SCARONI, REPSOL PRESIDENT ANTONIO BRUFAU AND VENEZUELAN MINISTER OF PETROLEUM AND ENERGY RAFAEL RAMIREZ PEOPLE IN ATTENDANCE AT THE EVENT ENI PRESIDENT PAULO SCARONI SPEAKING AT THE EVENT (SOUNDBITE) (Spanish) PAULO SCARONI, EXECUTIVE PRESIDENT OF ENI, SAYING: "Perla (the name of the gas project) is a real gem among ENI's principal projects, as I think it is for PDVSA and Repsol, given that it is one of the most significant discoveries of recent years as far as natural gas at the global level, with a volume of gas production of around 16 trillion cubic feet. I'd like to reiterate that Venezuela is a location of principal importance for ENI's growth and the signing of this agreement is testament to the company's lost term commitment in this country." PERSON LISTENING TO THE SPEECH RAFAEL RAMIREZ, VENEZUELA'S MINISTER OF PETROLEUM AND ENERGY (SOUNDBITE) (Spanish) VENEZUELAN MINISTER OF PETROLEUM AND ENERGY RAFAEL RAMIREZ, SAYING: "Believe me, as Paolo said, this is the most significant gas discovery in the Americas, a fact which we are very proud of. This is a flag project for ENI and I imagine it is for Repsol, and without a doubt we will give it a great effort." PEOPLE LISTENING RAFAEL RAMIREZ, VENEZUELA'S MINISTER OF PETROLEUM AND ENERGY (SOUNDBITE) (Spanish) VENEZUELAN MINISTER OF PETROLEUM AND ENERGY RAFAEL RAMIREZ, SAYING: "With this agreement, in 2012 we will begin the exploiting the first 1.8 million cubic feet of gas. We are in the process of building platforms and temporary facilities to bring that gas above ground. We're hoping that in 2013 the country will have a production of 300 million cubic feet of gas, and then in 2016 to have 800 million cubic feet of gas per day. By 2019 we will have fully developed this site." ENI PRESIDENT PAULO SCARONI, REPSOL PRESIDENT ANTONIO BRUFAU AND VENEZUELAN MINISTER OF PETROLEUM AND ENERGY RAFAEL RAMIREZ LEAVING THE STAGE
  • Embargoed: 8th January 2012 12:00
  • Keywords:
  • Location: Venezuela, Bolivarian Republic of
  • Country: Venezuela
  • Topics: Business,International Relations,Energy
  • Reuters ID: LVA65J30KVFZ393B05099JJ33AL8
  • Story Text: Italy's ENI and Spain's Repsol signed a deal with Venezuela's state oil company PDVSA on Friday to develop the Perla gas project, which boasts the biggest deposits found so far off the coast of the OPEC nation.
    South America's top oil exporter wants to kick-start its fledgling natural gas industry to produce more electricity and reduce power shortages that triggered rationing across last year.
    Last year, ENI and Repsol completed their exploratory phase of Cardon 4 block, which includes Perla, with the certification of more than 15 British Thermic Units (tcf).
    At the signing ceremony at PDVSA headquarters, ENI boss Paulo Scaroni said that this project has even greater potential.
    "Perla is a real gem among ENI's principal projects, as I think it is for PDVSA and Repsol, given that it is one of the most significant discoveries of recent years as far as natural gas at the global level, with a volume of gas production of around 16 trillion cubic feet. I'd like to reiterate that Venezuela is a location of principal importance for ENI's growth and the signing of this agreement is testament to the company's lost term commitment in this country," he said.
    The Perla site's importance was reiterated by Venezuelan Petroleum Minister Rafael Ramirez who said that the project would be fully developed by 2019.
    "Believe me, as Paulo said, this is the most significant gas discovery in the Americas, a fact which we are very proud of. This is a flag project for ENI and I imagine it is for Repsol, and without a doubt we will give it a great effort," he said.
    "With this agreement, in 2012 we will begin the exploiting the first 1.8 million cubic feet of gas. We are in the process of building platforms and temporary facilities to bring that gas above ground. We're hoping that in 2013 the country will have a production of 300 million cubic feet of gas, and then in 2016 to have 800 million cubic feet of gas per day. By 2019 we will have fully developed this site," he added.
    There have been delays and setbacks to the develop of the Perla field and other offshore plans.
    In addition to the biggest crude oil reserves in the world, Venezuela is sitting on some of the planet's largest gas reserves - which the government has previously said amounts to more than 195 tcf.
    But it has yet to begin producing any commercial gas, and currently imports some 300 mcf a day from neighbouring Colombia.
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