[Infographic] GNA will develop in Port of Açu the biggest energy project based on gas in Latin America

The biggest energy project based on gas in Latin America has already begun to take its first steps. The initiative, which is led by Açu Natural Gas (GNA), is shaping up to be a milestone on the Brazilian and international oil and gas market.

Something around R$ 8 billion will be invested to take this idea out of the paper and propel the local economy. Considering the great importance of this event, we’ve prepared this post. Throughout the article, we’ll detail how the project’s execution will happen, how it began and what opportunities it will bring about.

Read through the end and learn more about it!

The biggest energy project based on gas in Latin America: learn more!

There is not overstatement in considering this project the biggest of its kind in our continent. After all, the number of job opportunities and the total investment the construction will create truly deserve to be highlighted.

In short, GNA, which is a product of the partnership between three different companies — Prumo Logística, BP, and Siemens —, will build a gigantic natural gas power plant in Port of Açu. The port is in São João da Barra, in the North of Rio de Janeiro, and is considered the most important pole of O&G in Brazil.

This choice, by the way, was not by chance, since the port offers the best conditions for receiving such a project. Factors such as a strategic localization, a modern support base offshore, and the operational excellence were fundamental for the GNA to go for that alternative. As if that wasn’t enough, Açu has an area available and ready for the installation of large-scale companies and projects.

What does the project consist of?

The project consists on the implementation of:

• two thermals powered by natural gas (GNA I and GNA II), which combined will reach 3 GW of installed capacity;
• one GNL (Liquefied Natural Gas) regasification terminal, with a capacity of 21 thousand square meters per day.

As we’ve said, the project’s applications come to a total of approximately R$ 8 billion, until the year 2023.

As disclosed by the Port of Açu website, the project will have two distinct phases. The first moment of the deal foresees the rent of 805 thousand square meters for a period of 23 years — renewable for 25 more years —  for the installation of two thermal power stations.

The contract also established that the first thermal will have an area of 378 thousand square meters, which can be expanded up to 426 thousand square meters for the implementation of a second unit. The deal also includes the use of the Northern breakwater in the Terminal 2 of the port for the development of the terminal. The hope is that it has an initial capacity capable of supplying the plants’ natural gas demand.

The second phase is based on attracting to Port of Açu domestic gas from offshore producer fields, especially in the pre-salt layer. There is also a contractual provision of building another three thermal power stations, aligned with the generating capacity licensed by GNA (6,4 GW), which also allows for the development of more thermal power station projects in the future, that is, there is a long-term view — extremely beneficial for this market — which permeates the implementation.

What is the importance of a project of such a magnitude?

With GNA’s initiative, the availability of liquefied natural gas makes the Port much more attractive to industries which use gas as raw material or as an energy source. That attracts more clients to the sector, directly connecting producers to consumers. Consequently, there are more job offers and developments in the region.

From a macroscopic perspective, it can be said that the biggest energy project based on gas in Latin America will heat up the Brazilian oil and gas market as a whole, confirming a good portion of the positive outlooks on the future of the segment in the country.

Which opportunities will the project bring about?

According to news published by O Globo, the expectation is that the investment will directly originate something around 3 thousand jobs in the first few years. Interviewed by the vehicle, José Magela, director-president of Prumo Logistics, said that the construction of GNA II alone will generate 2,5 thousand job openings.

In total, it’s estimated that 4,5 thousand direct jobs and 9 thousand indirect jobs will be created during the whole project. In parallel, there will be the training of the local workforce. Summing it all up, the project provides economic development not only for the North of Rio de Janeiro, but also for Brazil.

It’s worth highlighting that all of these projects are a part of Açu Gas Hub, which is in development in the Port Complex of Açu. The goal is for it to be a solution for the reception, processing, consumption, and transport of natural gas, which will allow liquefied natural gas and electricity to be supplied to the national market.

How will local companies benefit from the project?

The two thermal power stations will bring more reliability for the generation of electricity in the country by providing safe energy — which is independent from climate conditions — to the National Interconnected System. The 3 GW of energy are enough to provide for 16 million homes, or 5.5% of the total demand in Brazil.

In practice, that implies gains of productivity for other sectors, besides stimulating the local economy, if we consider the great number of job opportunities and the consequential consumer stimuli that brings about.

Prediction for the start and the inauguration of the thermoelectrics

The GNA I thermal power station is predicted to begin operations in 2021, and GNA II, in 2023. The liquefied natural gas terminal, in its turn, is planned to be concluded until 2020. Construction is set to begin in 2019.

The biggest energy project based on gas in Latin America reunites a series of characteristics which will not only propel the scope of oil and gas, but also strengthen energy distribution in the national territory. The local economy in the North of Rio de Janeiro will also be positively impacted by the mass generation of jobs.

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