ACP as a source of information
GREMIO
Source: El Espectador
Date: September 15
Headline: Less air for the recovery of oil prices
Ecopetrol has been resuming activities at work fronts and has increased the load of its refineries, which today operate at nearly 90% of their normal capacity. The health crisis caused by the COVID-19 pandemic remains key to the restoration of the oil market worldwide. The rise in coronavirus cases in several regions of the United States, Europe, and India has cast doubt on the recovery of the global economy. (…) According to the president of the Colombian Chamber of Oil, Gas, and Energy (Campetrol), Germán Espinosa, the recent behavior of crude prices is mainly determined by movements and demand outlooks. (…) It is relevant that more than 90% of its production is profitable, with prices of US$30. Even some operations, such as those in the Permian in Texas, show an operational breakeven level between US$7 and US$10 per barrel, which has led to the reactivation of operations in the project developed with OXY in Texas, which already had a production record in June, with 18,000 barrels per day.
Source: La República
Date: September 15
Headline: Ecopetrol has removed nearly 900 illegal valves
Felipe Bayón, president of Ecopetrol, delivered a report in which the company detailed that between January and August, 895 illegal valves have been removed from hydrocarbon transport pipelines throughout the country. According to the oil company, an average of three illegal connections occur each day through which crude oil is stolen. So far this year, a theft of 2,500 barrels per day has already been recorded.
Source: La República
Date: September 15
Headline: “Imported gas does not generate large taxes”
Although Canacol Energy reported a decline in the country's gas demand, it is one of the least affected companies by the economic crisis. They expect to recover sales levels from 2019 in 2021 and are already preparing projects to generate 40% of the country's natural gas. Charle Gamba, president of Canacol, spoke about the negotiations they are maintaining with EPM for the Medellín gas pipeline that will start operating in 2024 and with Celsia and Proeléctrica for the ‘El Tesorito’ production plant, in addition to the importance of exploiting national sources and not importing the hydrocarbon. How did they perform in the first half and what are the expectations for the rest of 2020? The year started well regarding demand, we were selling more than 200 million cubic feet of gas during the first quarter of the year; we are the second-largest natural gas producer in the country after Ecopetrol and have nearly 50% of the gas supply on the Coast, in Cartagena and Barranquilla.
Source: Portafolio
Date: September 15
Headline: Increase in illegal valves in the transport system
Each day, an average of three illegal connections occur through which groups outside the law steal crude oil or refined fuels. This was reported by Ecopetrol, indicating that between January and August 2020, nearly 900 illegal valves have been identified and removed from hydrocarbon transport pipelines throughout the country. According to the oil company, the trend of illegal connections is on the rise considering that during the same period in 2019, nearly 747 illegal connections were detected in the pipelines and multipurpose pipelines. (…) Among the most affected systems are the Transandino pipelines, where 706 illegal perforations have been found, mostly in the municipalities of Tumaco, Ricaurte, and Barbacoas (Nariño), and the Caño Limón – Coveñas with 27 valves, mostly at the heads of Tibú and El Tarra (Norte de Santander).
Source: Vanguardia Liberal
Date: September 15
Headline: The boards of directors. By: Eduardo Muñoz Serpa
The number of large companies, both state-owned, mixed economy, and private, impacts the gigantic errors in managerial decision-making carried out by their management bodies: boards of directors and legal representatives (commonly called managers or executive presidents). It is enough to cite the cases of EPM, Reficar, and Bioenergy, highlighting that they are not the only ones that have had to “throw in the towel,” but they are the most impactful in the media. (…) Today, former presidents of Ecopetrol, members of the board of directors of such company, former presidents of Reficar, the members of its board of directors, among others, are accused of committing crimes and, additionally, are involved in civil and commercial liability. What does the above mean? That Ecopetrol, for days now in the hands of “little bosses” from Bogotá, the “curubito” from Medellín, and the Coast, are a disaster in managing companies.
Source: El Pilón
Date: September 15
Headline: Ecopetrol warns of an increase in illegal valves
The theft and transportation of contraband in specific sectors of the national territory has worried the company Ecopetrol, which during the first eight months of the year has removed 895 illegal valves from its pipelines through which hydrocarbons were extracted. It also indicated that the placement of illegal valves is increasing compared to the previous year, where for the same period they had detected about 747 illegal connections. According to the company's calculations, they have found 706 illegal perforations, most of them in the municipalities of Tumaco, Ricaurte, and Barbacoas, in Nariño, and the Caño Limón – Coveñas with 27 illegal valves.
Source: Caracol Radio
Date: September 15
Headline: Ecopetrol made early payments it had for loans with Colombian and international banks
Topics
Source: El Tiempo
Date: September 15
Headline: Potential gas reserves, sufficient for 130 years
Colombia has potential natural gas reserves of 54 trillion cubic feet (TCF), sufficient for 130 years of self-sufficiency in this matter. Of these reserves, 30 TCF are offshore and the remaining 24 are in unconventional deposits (UCD) in Magdalena Medio, Cesar-Ranchería, and Catatumbo. In total, these represent 16 times the current proven reserves of the country, according to the ‘Natural Gas Sector Report 2020’, presented by Promigás. Referring to the UCD, the report warns that the four pilots in that front (fracking) have projected investments of 100 million dollars each. “If this energy potential materializes, it would be equivalent to 16 times the current proven reserves of 3.2 TCF, which implies about 130 years of natural gas self-sufficiency.”.
Source: La República
Date: September 15
Headline: During July, industrial production rebounded 4.51%
A new report on the Colombian industry made by Dane, which demonstrates the performance of this sector in the economy, revealed that in July the real production of this sector fell again and was located at -8.51%, compared to the same month in 2019. (…) However, the rebound occurred in several sectors, such as in the coking and refining of oil, which during June showed a variation of -27.1% and in July was -16.1%. Likewise, the manufacturing of footwear had a rebound moving from -42.41% in June to -27.41% in July. Now, there were performances in manufacturing activities that led to July not being as expected.
Source: La República
Date: September 15
Headline: The dollar decreased to 3,700 due to lower risk aversion
On Monday, the dollar reached an average price of 3,697.25, which represented a drop of 11.75 against the representative market rate (TRM), which was located at 3,709. (…) Regarding oil prices, they fell after it was known that Libya was about to resume its crude production and due to a storm that interrupted production in the United States. According to the closing prices reported by Reuters, the WTI barrel decreased by 0.191, to US$37.26, while the Brent barrel fell by 0.551, to US$39.61.
Source: Portafolio
Date: September 15
Headline: OPEC, pessimistic about crude demand
(AFP) OPEC was more pessimistic about global oil demand for this year and 2021, due to the weakness of the global economy. Its forecast was revised down by 400,000 barrels per day (bpd), that is, a decrease of 9.5 million bpd, to 90.2 million.
Source: El Pilón
Date: September 15
Now that the new royalties law is known, how does it impact us? Royalties will increase to $250 billion annual direct; for the country more than $300 billion annual for the environment; the component of Science and Technology is increased and money is granted to the public university. The Ocad disappear, except for the regional ones, and the Ocad-Paz of 7 % of the royalties will be maintained, for which $4 billion were anticipated for the biennium 2021-2022 for the development of 700 projects, (…) The message from Congress and the Government is clear for producers like Cesar, giving them an immense bite to facilitate production by increasing their current amount of royalties by up to 140 %. With the base amount that mining provides today, when the viability of fracking for gas and crude is discussed, and it is promised that the department, due to its potential, will be the first national producer of hydrocarbons, that fact must be put into cold analysis; in the balance of costs and benefits.
Institutions
Source: El Espectador
Date: September 15
Headline: Colombia could guarantee gas self-sufficiency for 130 years
The country's potential gas reserves amount to 54 trillion cubic feet (TCF), including at least 24 TCF from unconventional deposits (UCD) in the Magdalena Medio, Cesar-Ranchería, and Catatumbo, according to a recent report from Promigas. (…) The projected investments in the call from the state National Hydrocarbons Agency (ANH) for the four UCD pilots amount to US$400 million. “If this energy potential materializes, it would be equivalent to 16 times the current proven reserves of 3.2 TCF, which implies nearly 130 years of natural gas self-sufficiency,” highlights the study presented by Eric Flesch, president of Promigas.
Source: La República
Date: September 15
Headline: With fracking, there would be up to 130 years of gas self-sufficiency
Promigas delivered the results of its analysis on the situation of natural gas in Colombia at the end of 2019, as well as recognizing the difficulties the sector has faced amid the COVID-19 crisis. The first point they highlighted is that today the country has reserves of 3.2 trillion cubic feet (TCF), which would last for 8.1 years. However, the company's analysis is that Colombia has a potential of 54 TCF (of which 30 are offshore and their maturation stage would be between 2023 and 2028) and up to 24 TCF if achieved from unconventional deposits (UCD). (…) Additionally, in terms of investment, the four unconventional pilots planned for this sector, which are the same projected in the call from the National Hydrocarbons Agency (ANH), have a budget of US$100 million each. These are planned in the Magdalena Medio, Cesar-Ranchería, and Catatumbo.
Source: El Colombiano
Date: September 15
Headline: Jobo-Transmetano will inject more natural gas into Antioquia
With a concentration of 62 % of gas demand in the center of the country and in a scenario of decline of the producing fields of La Guajira and the Eastern Plains, one of the main bets of the transport company Promigás is the construction of the Jobo-Transmetano gas pipeline, to bring fuel from the new deposits in Córdoba and Cesar to the consumption centers. (…) gas from Córdoba and Sucre. In that line, a week ago, the president of the Colombian Natural Gas Association (Naturgás), Orlando Cabrales, told EL COLOMBIANO that there are currently discussions between Canacol, Promigás, and EPM, to finalize the execution of the project, whose development is crucial for energy transformation and it would be a mistake not to execute it. Although the president of Promigás referred to the project as Jobo-Transmetano, last Thursday the producer Canacol clarified that it does not participate in the initiative. (…) 13.7 % of natural gas users in the country were in Antioquia at the end of 2019: MinMinas.
Colombian Association of Oil and Gas