Main investments implemented

The initial amount approved by the Comptroller General of the Republic for investments in 2007 was ¢ 40,139 million, but later on this changed and was established at ¢ 37,635 million.

  • Atlantic port
  • Pacific Terminal
  • Dredging of the oil deck
  • Development of the 2nd phase of the 1st stage of modernization of the refinery.
  • Poliduct Limon- La Garita III Phase
  • Implementation of the development plan of tankage in the Refinery
  • New landings and tanks in Moin
  • Construction of new landings in El Alto de Ochomogo
  • Construction of new landings in La Garita
  • Construction of a new Terminal at the Juan Santamaria Airport
  • Expansion and modernization of the project of liquefied oil gas in Moin
  • System of fuel sales IFOS in Moin
  • Integrated Administrative Financial System (SIAF)

These strategic projects received an amount of ¢ 22.465.54 millions, which represented 60% of the modified budget of investments.

Of the thirteen strategic projects, twelve are part of the Development and International Trade Management and constitute 97% of all the strategic investments. The other project is called the Integrated Financial Administrative (SIAF), which is under the responsibility of the Administrative and Financial Management, accounting for 3.4% (¢ 747.02 million) of these investments.

The Development and International Trade Management was responsible for executing 74% of the total investments of the Company or ¢ 27.807,48 million. For its part the Administrative and Financial Management had allocated a budget of ¢ Amended 1 .487,76 million, or 4%.

In addition to routine works, ¢ 2.979,11 million was allocated to Management and Refining ¢ 2.611,55 million to the Management of Sales and Distribution. They are called "routine work" those made for the maintenance of normal operating systems.

The implementation of the total investment budget as of December, reported a performance of ¢ 27929.96 million, compared with the estimate proposed at the beginning of the year (¢ 36576.86 million) shows a performance of 76.4%.

With regard to strategic projects, the estimated budget implementation for these was ¢ 21183.61, but at the end of December it reported an execution of ¢ 19224.37, meaning that 90 were executed, or an estimated 8%.

In addition to comparing the execution of these projects with the amended budget, at the close of December 31, 2007, there was an implementation rate of an 85.6%.

Expansion of the poliduct

As of December 25 U.S. $ 77634978 had been billed and paid, an amount equivalent to 98% of the contract.  Additionally, the advance of US$ 8.839.425 was written off, representing a 97%.

The project presented a 99.50% progress.  The following key tasks are yet to be implemented:

  • Completion of proof of performance, which will generate provisional acceptance of the project, scheduled for mid-2008.
  • Completion of the development of as-built drawings and operation and maintenance manuals.
  • Implementation of the philosophy and automatic control system for the purpose of having a centralized operation in El Alto de Ochomogo, which will be parallel to the test performance.

The Mexican company Techint S.A. was responsible for the Project, estimated at a cost of US$ 79.500.229.   The project was funded through an external credit with the Central American Bank for Economic Integration and the Andean Development Corporation which contributed $ 60 million and $ 30 million, respectively, for the construction works and its supervision.

The works included the installation of 123.5 km. pipe with a diameter of 30 cm. the construction of three pumping stations at facilities located in Moin, Siquirres and Turrialba, as well as the readjustment of the stations in El Alto de Ochomogo and La Garita.

The development of this project brings with it an increase in the capacity to transport 5.8 million m3 per year in products such as gasoline (regular and super), diesel, jet fuel and kerosene.

New oil terminal in the dock of Moin in Limon    

The environmental impact study for the terminal of the Caribbean was prepared in 2007 and submitted to the Environmental Technical Secretariat (SETENA) for resolution.

The process of preparation of the public bid for the construction of the project had been programmed as well.  This goal was completed at an 85%. The incorporation of technical recommendations is still pending.

For 2007 the modified cash budget allocated was ¢ 54 millions. As of December ¢ 34.78 million (64.40%) of the modified amount was implemented.

Pacific Terminal

The acquisition of properties and infrastructure from Fertica is delayed due to pending formalities related to the legal status of a property that should be solved by the current owner, before proceeding with the purchase. Although there has been progress, this procedure may be consolidated until 2008.

In the meantime, work has been done on the constitution of the servitude that will allow the installation of a poliduct to communicate Fertica with Barranca. To date, the appraisals requested to the Revenue Service of the province of Puntarenas are still pending.

The development of Basic engineering permitted the consolidation of the Project.

Drainage of the oil dock

The accumulated progress of the contract implementation is 25% and the advance in the consecution of the goal is 53%.

There were delays with this project, associated with the type of material removable from the area, to be very sharp prevents greater efficiency in the removal, so it is understandable an extension in the deadline for execution.

RECOPE asked for an extension, obtaining an additional 235 days beyond fine. The amended budget cash was allocated ¢ 2.487,07 million. As of December were implemented ¢ 961.42 million, a 38.65% of the amount changed.

II Modernization Phase of the refinery

Two bids were received for the development of this project for amounts greater than the estimated budget (U.S. $ 165 million), these were subjected to a process of review and analysis to determine the technical and economic feasibility of the proposals submitted. The excess in the offer price makes it likely to declare this contest vacate, however, the resolution of the technical study was put on hold until 2008.

Tankage development plan, according to studies from the refinery

The project was implemented under the contracting form IPC (basic engineering, procurement and construction)  starting from a conceptual engineering or pre-engineering. We managed to complete the elaboration of the public bid.

New cargo and tanks for Moin

The project presented a 62% cumulative.  The delays reported in the goal are associated with the preparation of the contract and the attainment of prerequisites, since the contractor in charge of the works requested several extensions in the deadline to comply with the requirements. The latest request was raised on December 5, 2007.

The works are expected to start in 2008.  A reduction of delays is expected during the construction phase.  To December, ¢ 1.011,7 millions were implemented.

Construction of new cargo plants in El Alto de Ochomogo

The project reported an increase of 40% due to delays associated with the need to implement, in the process of designing a new system to recover gas, for it was resorting to research and training outside the country in this regard.

There are difficulties to obtain contributions for the development of the mechanical area. In addition, it is awaiting the development of the design of instrumentation and control area, as well as the budget of the gas unit.

The amended budget cash was allocated ¢ 10 million. As of December were implemented ¢ 4.37 million, representing 43.70% of the amount changed.

Construction of new cargos in La Garita

As part of the project, the complete design of the cargos of La Garita was completed. A 40% progress was completed as of December.

The goal of making the design of the road of La Garita advanced by 10%, because the Office of Planning is redefining the project.

The amended budget cash allocated was ¢ 10 million. As of December ¢ 2.25 million were implemented, or 22.50% of the modified amount.

Construction of new Terminal at Juan Santamaria Airport

The construction of the new Terminal was adjudicated to the group EDICA-Staunton-Safe Fueling and has an estimated cost of  US$ 21.783.232. RECOPE’s new facilities will be located in the periphery of the Juan Santamaria Airport in an area next to Base 2 and Santamaria Terminals. 

The endorsement of the Comptroller General of the Republic is estimated by 2008, and the conclusion of the project by July 2010.

The amended budget cash allocated was ¢ 314.1 million. As of December there were ¢ 0.97 million implemented, 0.30% of the modified amount.

Expansion and modernization of the liquefied petroleum gas facilities in Moin

The construction of storage tanks of liquefied petroleum gas (LPG) considers the installation of 5 spheres of 25 thousand barrels each and 6 horizontal tanks of 1.5 million barrels each with its auxiliary systems; it also includes the plant for cylinder filling.

The study of the behavior of leaks in the LPG system was completed in full, so the month of December reported 100% completion.

The invitation to banks for the financing of the Works was publisher within a new scheme of development of the Project “out of balance”.

Improvement to the IFOS sales system in Moin

The final portion of the public bid was written, which was referred to the Directorate of Supply in December to begin the recruitment process. The progress achieved was 40%.

The amended budget cash allocated was ¢ 50 million. As of December there were ¢ 3.54 million implemented, 7.08% of the modified amount.

Integrated Administrative, Financial and Cost System of the Company (SIAF)

This Project will require the contracting for the development and implementation of the Integrated Administrative, Financial and Cost System of the Company,
The modified cash budget allocated amounts to ¢ 747,02 millions.  To December, ¢ 559,27 millions were implemented -- 74.86% of the modified amount.

Storage

This Project received ¢ 5.287 millions.   It reported a ¢ 3.539 million execution, representing 92.49% of the modified budget. 

The amount included the development of the following works:

  • A jet tank of 50 thousand barrels in the refinery.
  • Two tanks of heavy crude of 25 thousand barrels each in the refinery. 
  • Two diesel tanks of 50 thousand barrels each in Barranca..
  • A tank of Light crude of 200 thousand barrels in the refinery.
  •  A diesel tank of 100 thousand barrels in the refinery.
  •  Two gasoline tanks of 25 thousand barrels each in El Alto de Ochomogo. 
  • A diesel tank of 100 thousand barrels in El Alto de Ochomogo. 
  • Two tanks for jet of 25 thousand barrels each for La Garita.
  • Two tanks for jet of 25 thousand barrels ach for Barranca.
  •  Replacement of tank 719 in Moin.
  •  Two tanks of super of 50 thousand barrels each in La Garita.
  •  A gas oil tank of 15 thousand barrels in Moin.
  •  Repair of tanks 731,732 and 733 in the refinery.

Constructions

In 2007 ¢ 246 million were allocated to carry out, among other projects, the purchase of land in Barranca, Puntarenas and Guanacaste the reinforcement of the main offices, the construction of the new Medical Center building in El Alto Ochomogo, the construction of shops in La Garita and the construction of warehouses and maintenance shops in the refinery.

To December of 2007 ¢ 100.54 millions were spent; from this c66 million were used for the purchase of lands in Barranca.

Operating support system in distribution

Transfer system by the poliduct:

Alignments

95 alignments were implemented.

Processing of servitudes

There were actions taken for the establishment of servitudes for the third stage of the poliduct of 12 inches. The field was selected and the general prints designed for the 267 servitudes that comprise the stretch La Garita - Barranca. Information on the farms was also collected and the registry studies were completed.

Maintenance and restoration

Maintenance Works required for the restoration of properties for the construction of the 12 inch poliduct were completed.  In total, 30 claims were received.

Pumping Stations

Two plain axes were purchased as backup to the parts required to provide immediate service to the pumping stations Byron Jackson, which transfer fuel through the poliduct.

Terminals

El Alto de Ochomogo

  • Installation of the new bank of transformers and a new electrical connection for the remote control valves that are in the courtyard was completed. This team is monitored now from the control room.
  • The eating area of the building was remodeled to provide better service under appropriate conditions.
  • Two motor pumps were purchased and installed.

Barranca

  • The pavement in the working patio was restored.
  • A fire pump was purchased to replace the existing one and comply with the new specifications of NFPA. 
  • Two roofs were built to safeguard the vehicles in the station.
  • Given the intense electrical activity of the rainy season a lightning rod for the protection of electrical and electronic equipment was installed.

La Garita

A new pump and filter for the transportation of Jet A-1 fuel was installed at Juan Santamaria International Airport. 

Turrialba

The old separated got replaced by a new system that performs the same functions.  The old on was refurbished to use it as a tank for residuals that will b later on replaced for final disposal. 

Moin

A new motor pump for the transfer of IFOS was installed in Moin.  This will alleviate the production of bunker in the refinery. 

Topography jobs completed

  • Topography of registered prints for the fusion of 44 farms in El Alto de Ochomogo.
  • Topography for the fusion of farms in the south of El Alto de Ochomogo.
  • Topography for the fusion of farms in Turrialba.
  • Topography for the fusion of farms in the refinery.
  • Topography and design of lots for the purchase of the facilities of FERTICA in Puntarenas.
  • Topography for the expansion project for storage of LPG in spheres and horizontal tanks in the refinery.