Colombia’s Velásquez field: from legacy asset to engine of future growth

Colombia

Mansarovar Energy Colombia Ltd. (MECL) operates Colombia’s Velásquez field, which started production in 1947. CEO Kishore Kumar discusses the company’s recent success in reviving and optimising production at the legacy field.

In 2021, Mansarovar Energy Colombia Ltd. (MECL) faced a defining moment. The reversion of the Nare Association fields to Ecopetrol marked the end of a major production era, cutting daily output from over 20,000 barrels to just 2,800 – entirely from the Velásquez field. What appeared to be a serious setback became a catalyst for strategic reinvention.
Behind the scenes, MECL had been preparing for this possibility. Since 2019, the company had been quietly developing a plan to revitalise Velásquez, a field long seen as mature and in decline. Armed with new insights from advanced geological, petrophysical and seismic reinterpretation, the company uncovered a 60% increase in estimated oil potential compared to earlier models. Once overlooked, Velásquez emerged as a renewed source of opportunity.
With 77 years of history and 335 wells drilled – 91 of them still active – the field is a pillar of Colombia’s oil heritage. Producing crude oil between 17 and 22 API depending on formation, it benefits from seamless integration with the national pipeline system, enabling access to both local and international markets. Importantly, Velásquez boasts a 1P reserves-to-production ratio of nearly 14 years, well above Colombia’s national average, reinforcing its long-term value.
Between 2023 and 2024, MECL executed an ambitious development campaign including 13 infill wells, 15 workovers and one exploration well. Representing around 60% of the company’s total capital expenditure during this period, the USD 52-million investment reaffirmed MECL’s commitment to the field’s potential. The SIAR project, a strategic initiative to support field operations, was also approved in 2023. Despite the high level of reinvestment, Mansarovar successfully distributed dividends to shareholders, underscoring its financial resilience.
The reactivation formally began in 2023, supported by committed shareholders and executed through the drilling of five infill wells and 10 workovers. The return to operations after five years of inactivity brought technical difficulties. A sidetrack attempt failed, and some workovers delivered suboptimal results in 2023. But each challenge was treated as a learning opportunity. Through iterative improvements in well design and execution, production steadily increased to 3,500 bopd by the end of the year.
Operational efficiency also saw major gains. The average drilling time was reduced from 47 to 27 days, while non-productive time fell from 39% to just 2%. These advances led to a significant rise in average well productivity – from 37 to 55–55 bopd – the highest since MECL took over Velásquez in 2006. On the cost front, MECL delivered results well below expectations: in 2024, operating expenditure came in 7% under budget, reducing per-barrel Opex from USD 30.73 to USD 28.51. By early 2025, this figure had been further lowered to approximately USD 25 per barrel, reflecting sustained discipline and improvement. In parallel, MECL took over the direct operation and maintenance of heavy equipment in February 2025, improving field logistics and enabling faster response to operational demands by involving all stakeholders with the aim of achieving a sustainable future.

EXCEEDING EXPECTATIONS: Buoyed by early progress, MECL scaled its campaign in 2024 with eight additional infill wells and five workovers. Beyond exceeding production goals, the campaign revealed new value in the Tune Formation – a previously underestimated reservoir that has become a meaningful contributor to output. By the end of the year, production had reached 4,500 bopd, supported by a valuable new dataset that continues to guide technical decisions and development strategies.
In 2025, the company exceeded the 5,000-bopd milestone months ahead of schedule and for the first time since 1984. This result was not a coincidence but the outcome of technical focus, cohesive teamwork, and continuous learning. The current year’s plan includes five new infill wells, eight workovers, and the deployment of new completion methods and advanced logging tools such as C/O and NMR. Targeted interventions in high-uncertainty wells are also part of the agenda, all managed within a collaborative and iterative workflow.
Complementing oil development, MECL initiated a strategic gas commercialisation effort. A contract was awarded to monetise surplus gas from the Velásquez field, advancing the company’s goals of energy self-reliance and environmental responsibility. In alignment with this vision, the installation of a 1.2-MW gas generator began in 2025 and is expected to be completed by year-end.
Looking ahead, MECL has set clear and ambitious goals: to reach 10,000 bopd by 2027 and 15,000 bopd by 2030, exclusively through Velásquez development. These targets will be met through intensified drilling, the implementation of water injection patterns, and the launch of an enhanced oil recovery (EOR) pilot aimed at raising recovery factors to 45%, on par with global standards.
Even as production growth remains central, Mansarovar is equally focused on long-term sustainability, stakeholder engagement, and financial responsibility. The company continues to work closely with communities in the region through inclusive consultation, targeted social investments, and job creation programs, particularly in areas impacted by conflict. MECL also engages actively with regulatory bodies to ensure alignment with evolving energy policies and environmental standards, supporting contractual stability and long-term viability. Its financial discipline – characterised by careful capital allocation, low breakeven thresholds, and consistent shareholder returns – remains a cornerstone of its business approach.
What began as a disruption has become a transformation. Mansarovar’s journey at Velásquez is a living example of how vision, resilience, and technical excellence can breathe new life into a mature asset – turning a legacy field into a platform for sustainable, long-term growth.

For more on MECL’s strategic efforts to enhance production at the Velásquez field, read our latest interview with CEO Kishore Kumar.

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