Thursday, October 1, 2015

Ecopetrol works to boost Colombian oil production and reserves

On Wednesday, Colombian state-owned oil company Ecopetrol announced that it had signed a new agreement with Canadian oil company Parex Resources that could boost oil output at Aguas Blancas oilfield to 10,000 bpd by 2020. The agreement could require an investment of as much as $700 million, 60% of which would be paid for by Parex and the remainder by Ecopetrol. During the first three years of the agreement, Parex would invest $61 million in boosting the oil field’s production and reserves.

In mining-related news, a Colombian tribunal temporarily removed the restrictions on the use of the Fenoco coal railway in northern Colombia. The tribunal removed the curfew in order to allow for a study of the railway’s noise levels. The curfew prohibiting the trains from running between 10:30 p.m. and 4:30 a.m. was imposed after locals complained about noise and dust from the coal trains.


In other mining-related news, Colombian weekly Semana reported on why Natalia Gutierrez left the National Mining Agency (ANM). According to Semana, Gutierrez clashed frequently in recent months with senior governmental officials, and especially with Mining and Energy Minister Tomás González. The report noted that Gutierrez’s departure comes at a very difficult time for the mining industry, as it is grappling with falling production, frozen projects, and informal and illegal mining.

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