The Colombian oil licensing agency auctioned rights to
seek and produce oil or gas in 22 areas across the country.
The ANH, as the agency is known, picked ten companies to operate 22 out of the
43 areas auctioned, a statement said.
Canada-based Pacific Rubiales Energy Corp. won the rights to explore
six areas, while state-controlled Ecopetrol SA won the rights to
seek oil and gas in four blocks.
The local unit of France’s Etablissements Maurel et Prom SA,
Argentina’s Pluspetrol SA, and South Korea’s SK Energy Co. Ltd. won
the rights to explore two blocks each.
Privately-owned Tecpecol SA won the rights over three blocks, while Indian Oil
and Natural Gas Corp.’s overseas unit ONGC Videsh Ltd. and Lewis
Energy won a block each.
The government and companies will sign the contracts in the coming weeks. The
government will first check that the companies selected fulfill all the
requirements.
The companies offered to pay a contribution of between 2% and 47% on top of
taxes, royalties and a new tax on high prices created recently.
Colombia is currently Latin America’s fifth-largest oil exporter, but if
domestic consumption keeps growing at the same pace and there’s no significant
new discovery, it will become a net importer, probably in 2016, according to
government estimates.
Oil companies produced on average 612,000 barrels per day in the first nine
months of this year.
To avoid becoming an oil importer, Colombia has lured companies to invest in
exploration. In the past few years, the oil licensing agency ANH has signed
contracts with dozens of oil companies. (Dow Jones)