Ecopetrol shares production loss figures

BOGOTA, March 22, 2017 – Colombia’s Ecopetrol on Tuesday said attacks by the National Liberation Army (ELN) had resulted in losses of 893,000 bopd so far this year.

According to the state entity, the ELN’s 28 attacks in 2017 had resulted in 37 days of Caño Limón-Coveñas pipeline downtime, affecting operators Ecopetrol and Occidental Petroleum.

In a statement to Reuters, Ecopetrol said 1,600 jobs were at risk because of the prolonged shut-ins.

In other news, Gas Natural, one of Spain’s largest companies, will bring a EUR 1-billion legal complaint to international arbitration following Colombia’s seizure of the utility’s Bogota-based power supply business, Electricaribe, last week.

Citing lack of quality, solvency and investment, the Colombian public services regulator liquidated Electricaribe last week, four months after taking temporary control.

In the case filed with the United Nations Commission on International Trade Law, Gas Natural claims the action amounts to an expropriation and demands the full restitution of its 85% stake in Electricaribe or a payment of EUR 1 billion, an amount far greater than Electricaribe’s EUR 475 million book value.

The carrot to go along with this stick, Gas Natural has also stated that it would be prepared to invest more in local infrastructure should Bogota take steps to increase Electricaribe’s profitability, noting its many unpaid bills and the issue of illegal tapping.

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