Friday, October 17, 2014

Colombia Oil Production

Since 2007, Colombia has almost doubled its oil production, with 31% of the country’s total revenue generated by the oil industry. That said, the country’s reserves are not inexhaustible, and could run out in less than a decade if new sources are not discovered.

However, the Colombian Petroleum Association is hard at work on the problem, as Colombia Reports states, and is looking to fracking to tap into the country’s natural gas reserves. According to the Association, this development could add an additional three billion barrels to the country’s reserves.


This news couldn’t come at a better time, as oil prices continue to fall. State oil company Ecopetrol has lost almost 25% of its market value in the last year, largely due to the fall in oil prices. 

Nonetheless, Ecopetrol is keeping its eyes in its production targets, hoping to raise production to 1 million barrels per day in the next year. The company is finding it hard to meet its current goal of 819,000 barrels per day, which will do nothing to help the company rebound in the market.

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