Petrobras and Ecopetrol expect to obtain necessary licenses for their offshore gas project by mid-2026, confirmed by Orlando Velandia. The project possesses 6 TCF of natural gas reserves, aimed to alleviate Colombia’s gas deficit. An environmental license, along with social licenses, are essential prior to construction. The project is projected to supply significant gas output and improve Colombia’s energy security.
At the CERAWeek conference in Houston, Orlando Velandia, the head of Colombia’s hydrocarbons regulator, announced that Brazilian state-run oil company Petrobras and Colombia’s Ecopetrol are expected to secure the necessary licenses for their joint offshore gas project by mid-2026. This project has confirmed approximately 6 trillion cubic feet (TCF) of natural gas reserves, making it commercially viable. The partners are also set to complete drilling a new well during the current year while simultaneously planning further development.
Before commencing construction of infrastructure for the offshore project, the consortium must obtain both an environmental license and a social license. Velandia emphasized the importance of optimizing prior consultations this year, which would help facilitate obtaining the environmental license by mid-2024. He indicated that if all goes according to plan, the gas line could be operational by the end of 2028 or 2029.
Sylvia dos Anjos, Petrobras’ head of exploration and production, mentioned that the project is anticipated to supply up to 13 million cubic meters per day of gas to Colombia via the pipeline. Despite the ongoing gas deficit, Velandia noted that no new bidding round for offshore areas is planned, as many previously awarded blocks are expected to transition from exploration to production in the near future, thus ensuring supply.
In addition, the Colombian government is taking steps to enhance its capacity for receiving liquefied natural gas (LNG) imports through the development of floating regasification facilities, further addressing the country’s energy needs.
In summary, Petrobras and Ecopetrol are poised to advance their offshore gas project in Colombia, with critical licenses expected by mid-2026. The project, with significant natural gas reserves, aims to alleviate the country’s gas deficit and enhance energy supply through upcoming production. The commitment to improving capacity for LNG imports further exemplifies Colombia’s proactive approach to addressing its energy challenges.
Original Source: www.marketscreener.com
