Colombia has auctioned off 115 oil blocks in the “Ronda Colombia 2012,” reported newspaper El Espectador on Thursday.
Colombia’s minister for mining and energy Federico Renjifo said during the Colombian bidding round that 37 domestic and international companies have made bids for 49 areas, and are awaiting another auction that will allegedly take place in the coming days.
“This is a critical step to ensure the sustainability of the country’s oil development, and demonstrates the confidence and support that the global industry has in Colombia,” said Renjifo, who predicts the country will receive over $2.3 billion with the investments.
According to management of the auctions, there are seven companies interested in undertaking offshore exploration with three of those betting on unconventional hydrocarbon extraction, requiring major investments.
Ronda Colombia 2012 is a bidding round of over a hundred exploration and production blocks in mature areas, new frontier basins, and areas with little geological knowledge.
Colombia is South America’s fourth largest exporter of oil and expects to be extracting one million barrels a day by the end of the year, roughly doubling the output of Ecuador, according to Reuters. The Colombian government is hoping to reach a foreign investment total of 41 billion barrels by 2030 at best, or at least 7.7 billion barrels in the worst case scenario, with a barrel equalling 42 gallons.