Cost of the Talara Refinery Modification Project has not been modified

Concerning recent journalistic publications that indicate increases in the investment of the Talara Refinery Modernization Project (PMRT), PETROPERU clarifies the following:

1. One of the main objectives of the PMRT is to adapt to the highest regulatory requirements regarding the quality of fuels and their direct impact with environmental care and public health. For this reason, Law 30130 declared the priority execution of the PMRT as a public necessity and national interest.
2. The cost of the PMRT – estimated at US $ 5 billion, including financial expenses – has not been modified. PETROPERU has not issued any document mentioning new estimates of the investment amount of the PMRT, as stated; therefore, it rejects such information. This cost is within the world average for refineries of similar characteristics, according to a study by the prestigious international consultant Arthur D. Little. Also, the expected margins guarantee its profitability.
3. It should be noted that PETROPERU funds itself on its projects and investments without receiving funds from the public treasury or the national budget. PETROPERU is the main contributor of the country in the hydrocarbons sector and is among the largest contributors in Peru.
4. Likewise, the technical development of the PMRT is supervised by OSINERGMIN and there is a Concurrent Control in charge of the General Comptroller of the Republic, which accompanies the development of the project.
5. PETROPERU will continue to periodically inform its various stakeholders about the progress of the PMRT, the construction of which reaches 73% to date.

COM-04