PETROPERU y PetroTal sign contract

Petróleos del Perú-PETROPERU S.A. and PetroTal Peru reached an agreement for the acquisition of oil from Lot 95, in the Loreto Region, for its commercialization by PETROPERU. The oil in question corresponds to the production of the Brittany field, operated 100% by PetroTal.

The agreement contemplates the acquisition of most of the production of the Lot, which has been increasing significantly during this year with even greater growth prospects for 2020, and its subsequent transport through PETROPERÚ's North Peruvian Pipeline (ONP).

An important aspect of this innovative financial and commercial operation is that the purchase of oil will be carried out taking as reference the delivery of the same in Station 1 of the ONP, located in San José de Saramuro, department of Loreto. This will inject greater dynamism into Petrotal, which will not have to wait for the oil to reach Bayóvar in order to sell it. For its part, PETROPERU will benefit from additional income for making this purchase at the place of origin of the oil and will ensure that it does not run the price risk until its sale, with the monthly compensation of possible oil price falls until This one reached Bayóvar.

The term of the contract is for one year, with the option to be extended by agreement of the parties.

For Carlos Paredes Lanatta, President of the Board of Directors of PETROPERU, this important agreement shows the commitment of the state oil company with the development of the operations of the oil companies in the area and with promoting a greater volume of transportation for the pipeline. He pointed out that "the consequent increase in the volumes of oil to be transported through the ONP will improve the economy of said operation, contributing to cover its fixed costs, close its structural deficit and make it a profitable business."

Also, this mechanism of public-private cooperation contributes to the development of the hydrocarbon industry, promoting oil investment programs in the Loreto Region, with the consequent benefits for the inhabitants of our Amazon.

On the other hand, the signing of this contract will guarantee the supply of local oil for the operation of the new Talara Refinery, whose operation is scheduled to begin at the end of the first quarter of 2021.

This synergy with the PetroTal company is part of the objectives set by PETROPERU, linked to the strengthening of its assets, the improvement of its management and its operational efficiency, and the financial sustainability of each of its business units.

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