The Colombian government has lost more than USD 100 billion in revenues after the country’s oil boom did not deliver, and the low oil price wiped out 90% of state-owned Ecopetrol’s value.

Ecopetrol to cut investments

BOGOTA, April 27, 2016 – Ecopetrol has shrunk its 2016 investment plan, the company announced on Wednesday. Approved in December, the Colombian oil major’s original plan called for USD 4.8 billion in investments, which has now been reduced to between USD 3 billion and USD 3.4 billion.


Ecopetrol said it had earmarked some USD 1.5 billion for exploration and production activities, adding that it strives to reach an output of some 715,000 boepd this year. Production averaged 760,700 bopd in 2015. Next year, 2017, will see the company direct “a greater proportion of their investments to exploration and production,” according to a statement.

The transport, refinery and petrochemicals businesses will be allocated between USD 1.5 billion and 1.9 billion in 2016.

For more news and features on the oil and gas industry in Colombia, click here.

Read our latest insights on: