CLEAN UP OF THE PANAMA BAY
Panama City produces more than 140 million gallons of untreated wastewater daily, which is currently deposited directly into rivers that feed into the Bay of Panama. As a result, Panama Bay is highly polluted, representing an increasing threat to public health. This is a multi-phased, multi-funded project with a 8-12 year time span to clean up the city and a bay area of 350 square kilometers. The project has a number of components including: treatment plants; wastewater collection systems; pump stations; and the construction of a new sanitary sewer system, coastal interceptor sewers, combined sewers, wastewater collection and pipelines, and two secondary treatment plants.
The first stage of the project called for the installation of a sewage network ($50 million). The second stage will entail the installation of an interceptor system plus a treatment plant ($235 million).
This is the largest environmental project in Panama.
The project is being financed by the Japan Bank of International Cooperation, the Interamerican Development Bank (IDB) and the Government of Panama.
ELECTRIC INTERCONNECTION PANAMA-COLOMBIA
Panama and Colombia plan to build a 614 kilometer interconnection line with an estimated cost of $230 million. The $3 million feasibility studies are currently under way. This project is estimated to be completed by 2010.
The interconnection line will be a complement to similar projects that are interconnecting Mexico and Guatemala, and the Central American countries through the Central America Regional Interconnection System (SIEPAC Project.)
This will be the first time that Panama will be interconnected to a country in South America. Colombia is a producer of carbon and natural gas and it is expected that Panama could benefit from the availability of electricity generated from non-oil sources.
OPENING OF THE CELLULAR MARKET
In October of 2008 Panama, is expected to have two new cellular operators. The current operators are Movistar (Telefonica)-Spain, and Cable & Wireless-England.
Two new licences in the band of 1850 Hz will be issued for two new operators in 2008. The Autoridad Nacional de los Servicios Publicos (National Authority for Public Utilities) will announce a prequalification process by October 27, 2007, to be completed on December 12, 2007.
The Panamanian cellular market is expected to have 2.5 million users by 2009.
CONSTRUCTION OF A MAJOR REFINERY
Panama’s Minister of Commerce and Industry signed an agreement with Occidental Petroleum and Qatar Petroleum to start the second phase of a project to establish a refinery to be located in Puerto Armuelles, Province of Chiriqui, in western Panama. A pipeline crossing Panama already exists connecting Puerto Armuelles on the Pacific coast and the Port of Chiriqui Grande on the Atlantic coast, that will enable refined products to be shipped to both the west and east coasts of the United States.
The first phase covered the general feasibility studies for establishing a refinery in the country.
This second phase will include the preparation of the final study, which will deal with the plant configuration, the industrial process, site selection and infrastructure requirements. The estimated cost of the study is between $15-$20 million.
This refinery would consist of an estimated investment of $7-$9 billion with a refining capacity of 350,000 barrels per day. Qatar Petroleum would import the crude and Occidental Petroleum would refine it.
The refined products will be destined for the U.S. market, as well as markets in Latin America and the Caribbean.
For more information on this project please contact:
J.Enrique Tellez
Senior Commercial Specialist
U.S. Commercial Service
U.S. Embassy Panama
Phone: (507) 207-7080
Fax: (507) 317-1658
E-mail: enrique.tellez@mail.doc.gov