Graña y Montero S.A.A., an Engineering and Construction company, has recently announced that after signing a Memorandum of Understanding with Odebrecht Latinvest, Graña y Montero Group agreed to participate with a 20% stake in the shareholder equity of Concesionaria Gasoducto Sur Peruano S.A.
This agreement represents for the group an approximate investment of US$215 million.
Concesionaria del Gasoducto Sur Peruano S.A., is responsible for the design, construction and operation of the pipeline system for gas transportation. The Southern gas pipeline is a project which will bring natural gas to the southern region of the country, especially to the provinces of Cuzco, Arequipa, Puno and Moquegua.
Mario Alvarado Pflucker, CEO of Graña y Montero, said that “this investment will generate new contracts for the Group for approximately US$ 1 billion (backlog).”
He also indicated:
“participating in the construction of the Southern Gas Pipeline- which is one of the most important infrastructure projects under execution in Peru- is in line with Graña y Montero’s strategy, and it will allow us to increase our know-how and gain presence as a regional player. Therefore, this is an opportunity that will allow us to face the challenges that arise in the future, thinking about the Group and in the more than 40,000 families that comprise it.”
This project, which has Enagas as operator, will enter into the “stable cash flows” portfolio of projects, which is the strategy with which the group has avoided the variable cycle of construction, and currently has allowed it to have more than half of its gross profit from long term stable businesses.
Moreover, last year it acquired together with Enagas and CPPIB, the company COGA which operates and maintains the transporting system of natural gas of Camisea, being TgP the concessionaire.