Colombian oil production rebounded in September

Because of the collapse in global oil prices, maximizing oil production has been one of the Colombian government’s and the country’s oil industry’s main objectives in recent months. Since Colombia produces to little oil to be able to impact global prices, all it can do to mitigate the blow to governmental revenue caused by the fall in prices is keep production high.

The Colombian government has long set a 1 million bpd average as the objective for the oil industry. In August, oil production slipped below that benchmark, but the Colombian Ministry of Mines and Energy announced on Thursday that oil production had rebounded and hit its mark during the month of September.

Minister Tomás Gonzalez said in a statement that, “Once again we have reached one million barrels per day. This is an indicator that gives us confidence, and reaffirms how important this sector is to the country and the potential that it has in a time of peace, like what we have had during the last few months.”

Colombian business journal Portafolio spoke with Colombian Vice President Germán Vargas Lleras about September’s numbers. Vargas Lleras however is focused on the Colombian Petroleum Association’s prediction that, without structural reforms, oil production will fall to an average of 700,000 bpd within three years, and to 300,000 bpd within 10 years. The Vice President stressed that this is a problem for the whole country, emphasizing that all of Colombia depends on the revenues generated by the oil industry.