Petroper, the state-owned oil company of Peru, is actively seeking government support to address its financial challenges.The company has requested approximately $1.15 billion from the government, a significant step to ensure its sustainability and operational efficiency.The Talara Refinerys costly modernization, which exceeded budget and timeframe, has intensified the financial support needs.Pedro Chira, President of Petroper, has clarified that this financial support is essential for the companys recovery.He assures that Petroper will return to profitability and self-sustainability by 2025, aided by the new Talara Refinery.The refinery aims to save the state around $3.546 billion annually in fuel import costs, boosting domestic production.Petroper Seeks Major Financial Lifeline.
(Photo Internet reproduction)In response to its liquidity crisis, Petroper is exploring various solutions, including increased credit lines from banks.The companys restructuring plan, developed with the assistance of consultancy firm Arthur D.
Little LLC, aims to enhance governance and financial stability.The plan follows a government decree for Petropers restructure amid financial troubles and corruption issues during Castillos term.Moreover, Petroper has withdrawn from the National Society of Mining, Petroleum, and Energy (SNMPE) to focus on its recovery and strategic goals.The company plans to adopt transparent, merit-based processes for board selection inspired by practices of other state-owned enterprises in Latin America.Petropers current phase is pivotal, as the company seeks financial stability and aims to contribute to Perus energy sector and overall economy significantly.The governments response and Petropers plan execution are key to its future and economic impact.