Colombia’s May oil output reaches 927,000 bpd: Official

Colombia’s oil production continued to surge in May, pushing the country closer to its production target of 1 million barrels per day for the year, Mining Minister Carlos Rodado said Thursday.

Oil production in May averaged 927,000 barrels per day, extending a streak of record output figures for Colombia. Oil output in May of last year stood at 776,000 barrels per day.

The May figure surpasses the government’s official goal of producing 920,000 barrels per day in 2011 included in its five-year National Development Plan, Rodado said. The country also increased its oil reserves to nearly 2 billion barrels from 1.98 billion barrels in 2009, the minister added.

Colombia has seen massive inflows of foreign investment to develop its oil and natural gas industries as a result of the government’s market-friendly policies and its success in gaining control of territory once held by Marxist guerrillas.

The government hopes to sign 70 exploration-and-production contracts this year and 40 contracts per year from 2012 to 2014 in a move geared at booking new oil reserves. The government’s target is to reach an average oil output of 1.15 million barrels per day by December 2014.

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