The project to expand the oil refinery in Moín, valued at $1 billion, could begin in 18 months.
The announcement was made by José Desanti, president of the state-owned “Refinadora Costarricense de Petróleo”, who explained they are finishing engineering studies with the Chinese National Petroleum Corporation.
“This joint initiative is just weeks away of becoming a reality”, stated Desanti.
Recope, Costa Rica’ state-owned oil refinery, is studying a potential extension of its oil pipeline between La Garita, in Alajuela and Barranca, in Puntarenas.
The existing pipeline, which links the two distribution, storage and sales centers, has a diameter of 6 inches. The new project comprises building an additional underground pipeline, with a diameter of 12 inches.
China National Petroleum Corporation (Cnpc) will invest up to $700 million to finance Recope's expansion.
Recope is a Costa Rican state-owned oil refining company. Together with Cnpc, they intend to expand an oil refinery in Costa Rica, with the goal of tripling its current production, from 20.000 to 60.000 daily barrels.
"Cnpc is looking for potential loaner banks in China", explained José León Desanti, from Recope.
Recope bought 22 hectares of land in Guanacaste for building a new fuel terminal.
Costa Rica's state-owned oil refinery (Recope) will build a new fuel terminal in the province of Guanacaste, close to Liberia's Airport. It will be named 'Terminal Chorotega'.
"The terminal includes 2 diesel tanks for 25.000 barrels of diesel, 4 gasoline tanks for 25.000 barrels, 3 jet fuel tanks of 40.000 barrels and 2 tanks for 5.000 barrels of ethanol", reported Thecostaricanews.com.
The Comptroller's Office approved an agreement between state-owned Recope and China for expanding the oil refinery in Moín.
Said agreement was signed between Costa Rican Oil Refinery (Recope), and CNPC International Ltd, a subsidiary of China National Petroleum Corporation. According to it, both companies will provide the necessary resources to increase production from 18.000 barrels to 60.000 barrels a day.
A new $88 million terminal would allow Recope, the state-owned oil refinery, to lower crude importing costs.
The current dock allows a hull draft of 9.5 meters, which is too shallow for ships entering at full capacity, so they must bring the cargo half loaded or at three quarters capacity, making it more expensive.
Jorge Blanco, International Commerce manager at the company, told newspaper Nacion.com: "The freightage of a ships costs us $700.000, and it is the same price if we bring it at full cargo or at half capacity ... this problems will be solved with the new, modern petroleum dock in port Moín."
With the new plant, the country will double its storage capacity for liquefied petroleum gas.
Gabriela Montes de Oca is the head of this project in Recope, the state owned energy company. She assures the plant will save the country $8 million in freightage costs.
"... the project will be financed by the Central American Economic Integration Bank, through a trust...
Costa Rica's state-owned petroleum company, Recope, will upgrade its Moín refinery whether or not the project with China is approved.
With cooperation from the Government of Canada, Canadian companies will diagnose the state of Moín Refinery, to define which upgrades should be done, and how much should be invested.
"Through a joint venture with China, Recope expects to build a facility with capacity for 60.000 barrels a day.
Negotiation between Panama, Qatar Petroleum and Occidental Petroleum for the construction of a $8 billion refinery will restart in September.
Qatar Petroleum and Occidental Petroleum had until December 2008 to present the final study for the refinery, which was first negotiated in May 2007.
"Juan Urriola, Energy Secretary, said that 'negotations will start from scratch'", published Pa-digital.com.pa, "given that both companies lost their rights last December, deadline for delivery of the final study".
The Government will request, again, the approval of the agreement for the construction of a $1 billion refinery with China.
The Costa Rican oil refinery, known by its Spanish acronym Recope, will request, for a second time, the approval of the General Comptroller of the Republic for the construction of a 12,000 barrels refinery in the Costa Rican Caribbean, together with the China National Petroleum Corporation (CNPC).
It was announced that the Supremo Sueño de Bolivar (Bolivar’s Ultimate Dream) refinery will now be located on the Miramar coast and not in Nagarote.
The industrial petroleum complex project still has feasibility, environmental impact and viability studies pending.
According to Laprensa.com.ni, the president of Albanisa, Rafael Paniagua, said: "We have the location for a complex that would include the refinery and a port and it has 800 hectares in total. We are in the visualization phase of this project and the investment that we are going to make is on a loan basis under the terms of the Bolivarian Alternative for the Americas (ALBA).”
The Government of Costa Rica will insist on approval of the agreement for the construction of a $1 billion refinery.
The Executive Branch announced that it will insist upon the Comptroller General of the Republic to approve the contract between the Costa Rican Petroleum Refinery (RECOPE) and the state-owned company, China National Petroleum Corporation International (CNPCI), aimed at expanding and modernizing the Moín refinery in Limón.