Enagás and Odebrecht team to close financing for the South Peru Gas Pipeline

The consortium composed by Enagás (25%) and Odebrecht (75%) expects to close financing for the South Peru Gas Pipeline project soon.

According to sources, project financing is expected to be closed by the next month. The total project investment is estimated at US$4.1 billion. During the construction, Enagás will invest around US$250 million in the project, which will be funded through a project finance structure.

The project involves the construction and subsequent operation and maintenance of a 1,000-km-long gas pipeline, which is key for safeguarding supply in Peru. The pipeline is scheduled to be brought on stream for commercial use in 56 months and the concession is for 34 years.

In July 2014, the Peruvian government has awarded the development of South Peru Gas Pipeline project to a team composed by Enagás and Odebrecht.

Odebrecht is a Brazilian company which has been present in Peru for 35 years and is a leading specialist in constructing important projects in the infrastructures sector. For Enagás, Odebrecht is a strategic partner which offers capabilities that complement the company's own.