ACP as a source of information
Source: vanguardia.com – Regional
Date: September 30
Headline: How is the debate on Fracking in Colombia progressing?
Colombia continues in the debate that pits those who defend and attack the use of unconventional practices, such as fracking, against each other to ensure the supply of oil and gas for national and international demand. (…) According to the Colombian Petroleum Association (ACP), there is no damage since unconventional deposits are located at a depth greater than nine Colpatria towers, “so they are separated from surface water sources. Aquifers are protected with cement and steel pipes.” (…) One of these relates to offshore exploration, that is, in the sea. Several companies are already involved in that plan, including Shell, ExxonMobile, Ecopetrol, among others. In fact, on September 18, the National Hydrocarbons Agency (ANH) presented the 59 conventional areas available for bidding in the second auction of the Permanent Process for Area Assignment (PPAA) of 2019.
Hydrocarbons Sector
Source: El Espectador
Date: October 01
Headline: In search of new crude
Next year, 30 to 40 blocks will be offered, and it is estimated that about 15 contracts will be signed with investments close to US$2.000 million. After five years without signing exploration and oil production contracts, 2019 marked the beginning of a new era for the search for crude in the Colombian subsoil. This was stated by the director of the National Hydrocarbons Agency (ANH), Luis Miguel Morelli, who estimates that, with the signed contracts, the country can obtain about 2,000 million barrels of crude in reserves that could exceed the current level, which has the country just six years away from losing its oil self-sufficiency. (…) By changing the system of awarding and offering blocks, we have a significant advantage here because it is a permanent process. Of the 20 blocks we offered, we awarded 11 and signed five offshore contracts. We hope that Occidental will give us the good news that it can indeed sign the four contracts with Anadarko (with Ecopetrol for gas from the Colombian Caribbean), which would commit a very important investment offshore.
Source: La República
Date: October 01
Headline: The country's public debt represents 59% of GDP
Factors such as the depreciation of the Colombian peso, a greater need for financing, and a less favorable international context led to the balance of the country's public debt rising last year by $60.66 trillion to reach $579.9 trillion, (…) Regarding companies, the highest levels of debt were found in those in which the State has a high equity participation, such as Ecopetrol and ISA, among others, and those directly linked that are not corporate, such as Empresas Públicas de Medellín (EPM). By sectors, 68.5% of these companies belonged last year to the mining sector; 17.8% to the energy sector; and 11.3% to the financial sector. Additionally, those linked to services were highlighted. For example, Ecopetrol's debt reached $32.93 trillion in 2018, which represented a decrease of 18.1% compared to the $38.90 trillion recorded in 2017.
Source: La República
Date: October 01
Headline: The dollar had the highest closing in history
The dollar ended Monday's session just $0.1 below the highest Representative Market Rate in history, averaging a price of $3,477.4. (…) In this regard, Tovar commented that “in general, there continues to be a moderate appetite for risk and therefore the profit space for the local currency remains limited until a scenario with less uncertainty is evident.” He also added that “there is a slightly bullish bias due to the fact that oil prices have fallen back to levels prior to the attack on Saudi Arabia.” (…) The movement of crude in September followed the rhythm of market volatility. Although at its best point the price per barrel of the Brent reference reached a rate of US$68.07, with the announcement of new talks between China and the U.S., the market deflated after President Donald Trump's comments challenging the Asian country.
Source: La República
Date: October 01
Headline: Launch of great culture to innovate
Rubén Darío Jaime, organizational development manager at Telefónica Movistar; Lina Arbeláez, executive director of Gcti Colombia; María Victoria Riaño, corporate president of Equión Energía Limited; Rafael Lozano, technology leader of Equión Energía Limited; Paola Santos, human resources business partner team at SAP Colombia; and Diana Moreno, leader of the innovation network for Dow Chemical Colombia.
Source: La República
Date: October 01
Headline: GDP - real and job generation in Colombia. By: Sergio Clavijo
The Colombian economy has been growing at an average rate of 2.41% annually over the last five years, below its potential level of 3.1%-3.5%. However, during the first half of 2019, its growth managed to accelerate slightly to 3.1% annually compared to 2.5% a year ago. (…) Despite the fact that the banking portfolio has been rebounding to levels of 3.6% real as of July 2019 (vs. 1.5% a year ago) and oil production is around 895,000 bpd so far this year as of August (vs. 854,000 bpd), this does not translate into greater job generation at the national level given the low weight they have in the occupied personnel (21% of the total).
Source: La República
Date: October 01
Headline: The average spending on gasoline in Bogotá
Gasoline consumption is one of the ‘ant’ expenses that most affects the personal finances of executives who use their car to commute every day in the main cities of the country. However, knowing exactly how many gallons a person spends per kilometer traveled is not such a simple task due to the number of variables at play: from daily traffic jams to drivers' driving habits, the weather itself, or vehicle maintenance, among many other factors.
Source: Portafolio
Date: October 01
Headline: The dollar keeps flying
This Monday, the dollar returned to its historical highs. The currency closed the month of September at 3,477 pesos (just 8 cents below the highest rate reached so far, that of August 29). And if we look at the entire third quarter of the year, the rate shows an increase of 272 pesos. (…) The Colombian peso continues to navigate a year in which it has become one of the most devalued currencies in the world. The complex external environment combines U.S. political instability with concerns about the oil market, generated by the attack on Saudi facilities. In fact, on this Monday, crude prices fell.
Source: Portafolio
Date: October 01
Headline: Ecopetrol goes for more 'offshore' in Brazilian waters
The Colombian oil company Ecopetrol will further accelerate its efforts to expand its hydrocarbon operation in Brazil. It is at the starting line alongside 14 other companies seeking to develop various oil blocks (…) Experts in the oil sector explained to Portafolio that it is most likely that Ecopetrol will partner with a company that has extensive experience in offshore development in ultra-deep waters. (…) At the starting line, in addition to the Colombian and Brazilian Petrobras, are the European companies Petrogal (Portugal), BP Energy (United Kingdom), Shell (Netherlands), Total (France), Equinor (Norway), and Wintershall DEA (Germany). Likewise, Chevron and ExxonMobil (United States), Cnodc and Cnooc (China), Petronas (Malaysia), and QPI (Qatar) are also in the lineup.
Source: Portafolio
Date: October 01
Headline: Dollar price returned to its historical maximum
If there is something that has proven impossible to decipher, it is the behavior of the dollar price, especially this year. Not only because it has already broken several historical records, but because the volatility has been unusually high. (…) Yesterday, at least two factors came together that usually pressure the currency. On one hand, there is the price of oil, which in the Brent reference fell by 1.13 dollars, to 60 dollars per barrel. (…) Other stocks that rise more than the Colcap are Conconcreto (33.15 percent), ISA and Aval preferred, with 30 percent, and Bancolombia ordinary, Canacol, and Grupo Energía Bogotá.
Source: Portafolio
Date: October 01
Headline: Guillermo Perry, the passion for the public
As if sensing the end of his long public career, Guillermo Perry published his book-report Decidí contarlo, as a testimony of his management as Minister of Mines and Finance, Director of Taxes, and member of the National Constituent Assembly. (…) In the balance of Álvaro Uribe's government, Perry considers that “it dedicated itself to granting all kinds of inconvenient tax privileges, such as the famous special deduction for purchases of fixed assets that turned out to be extremely costly and mainly benefited the oil and mining companies that enjoyed good prices.” He highlights the refusal to adopt the fiscal rule and save during the oil boom, as according to the president “a country as poor as this could not save,” and the Oil Stabilization Fund created since 1995 was dismantled.
Source: El Nuevo Siglo
Date: October 01
Headline: No to oil exploitation in the Amazon advances in Congress
A legislative act project that seeks to create a special regime for the Amazon was unanimously approved in the first debate. The initiative included a proposal that establishes the prohibition of hydrocarbon exploitation in this vast region of the country. (…) Representative Harry González, from the Liberal Party, author of the proposal, stated that “this is a legislative act that guides the development model for the Amazon region. The development of this is incompatible with oil exploitation. It is that clear. As a legislative act, it will have implications from its validity. It will also require regulations to govern the matter. That law must clarify whether there are acquired rights in the department of Putumayo for those who are carrying out those extractive activities.”.
Source: El Nuevo Siglo
Date: October 01
Headline: Duque's visit to the US attracted US$600 million in FDI
The recent visit of President Iván Duque to the United States resulted in foreign direct investment deals towards Colombia of more than US$600 million. The president of ProColombia, Flavia Santoro Trujillo, said that “we arrived loaded with good news and now we are going for more. More than US$600 million in foreign direct investment invites us to optimism and shows that the most important entrepreneurs in the world place their trust in Colombia. Today they see us as an ideal and profitable destination for their investments and recognize us as a country with great potential that offers enormous opportunities for their businesses.” (…) • ProColombia built and executed a meeting agenda led by the ministers of Information and Communication Technologies, Sylvia Constaín, and Mines and Energy, María Fernanda Suárez.
Source: El Nuevo Siglo
Date: October 01
Headline: Perry: a pioneer of his time. By: Amylkar Acosta
As if he had sensed the imminence of his departure, Guillermo Perry Rubio published on August 14, less than two months ago, his magnum opus, Decidí contarlo, in which he compiles and examines, with the wisdom and balance that characterized him, the advances and transformations that Colombia has experienced in the last 50 tumultuous years. (…) In his capacity as Minister of Finance, when the oil boom was anticipated with the recent discovery of Cusiana (1991), he had the insight to present to the Congress of the Republic his initiative, which became Law 209 of 1995, creating the Oil Savings and Stabilization Fund (FAEP), with a view to vaccinating the Colombian economy and thus preventing it from contracting the Dutch disease, while saving during the fat years to face the lean years, whether due to falling crude prices or the decline of the field.
Source: La Opinión
Date: October 01
Headline: Ocaña stations are asking for more gasoline to be sent to them
Since last week, cars and motorcycles have been making long lines at the service stations in the municipalities that make up the province of Ocaña. The most critical cases occurred in Ábrego and Ocaña where most supply sites were closed and in others, which saved for the end of the month, could not keep up with the service. The president of the Association of Fuel Distributors of Ocaña, Alfonso Meneses, stated that since September 23, the acting mayor requested the Ministry of Mines and Energy to assign extra quotas, but it has been ignored, causing the shortage of gasoline and ACPM. (…) “Since March of this year, the Ministry of Mines and Energy should have made a reassignment of quotas that has been requested in various ways,” he said.
Source: La Opinión
Date: September 30
Headline: Oil production increased
The Ministry of Mines and Energy revealed that in the first eight months of the year, crude oil production reached an average daily figure of 888,201 barrels, representing a growth of 3.56% compared to the results of the same period last year (857,671 barrels per day).
Regional News
Source: caracol.com.co
Date: September 30
Headline: Colciencias shared calls to participate in science projects
Colciencias shared three calls for territorial entities, universities, and companies to participate in the financing of science, technology, and research projects. For the development of the proposals, the entity has more than 594 billion pesos from the Science, Technology, and Innovation fund of the General System of Royalties. The call is made in the framework of the celebration of the Bicentennial. Colciencias invited entities from departments such as Amazonas, Boyacá, Casanare, Guainía, Arauca, Guaviare, Putumayo, Huila, Caquetá, Meta, Norte de Santander, Santander, Tolima, Vaupés, and Vichada to participate.
Source: noticierodelllano.com
Date: September 30
Headline: Arauca strengthens military presence on the border due to threats from armed groups
Colombia strengthened the military, police, and intelligence presence in the border area due to the threat posed by illegal armed groups based in the neighboring country of Venezuela. According to intelligence reports, there are several camps of the ELN and residual dissidents on the other side of Arauca and Vichada. The controls extend to cases of common crime, smuggling, and violence generated by irregulars and some Venezuelan citizens. The Army Brigade with jurisdiction in Arauca, Casanare, Vichada, and Guainía maintains control cordons supported by the Colombian Air Force, the National Navy, and the police departments.
Colombian Association of Oil and Gas