Ecopetrol hired a US firm to evaluate possible gas imports from Venezuela

Within the framework of the strategies to cover the gas deficit that is projected for the year 2025, Ecopetrol hired the American firm Covington Burling for USD20,000 to evaluate the legal viability of importing gas and/or liquefied gas from Venezuela.

The firm was hired on August 15, 2024, with the purpose of determining if it is necessary to obtain an approval from the US Office of Foreign Assets Control (OFAC). to carry out this import.

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“ECOPETROL processed bilateral negotiation No. 1395870 (the “ME”) with the purpose of contracting “ISSUE OF LEGAL CONCEPT RELATED TO THE IMPORT OF GAS AND/OR LIQUEFIED GAS FROM VENEZUELA.”, the document reads.

The contract had an execution period of 20 daysand the report provided is expected to be key to evaluating the possibilities of importing gas from Venezuela as part of the alternatives to cover the 7% gas deficit this year.

According to what was previously said by the president of Ecopetrol, Ricardo Roa, the import of gas from Venezuela has numerous advantages due to the quality of the resource, however Antonio Ricaurte gas pipeline, which connects the neighboring country with Colombia, does not have the necessary conditions.

This gas pipeline is 225 kilometers long, of which 88.5 kilometers are in Colombian territory, and is operated by PDVSA. The aim would be to import between 4% and 8% of the total national gas demand.

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According to Ecopetrol, This alternative would not only offer more competitive prices, but also better quality in the supplies.stro, given that Venezuelan gas could be cheaper compared to other sources.

It is worth mentioning that due to the drop in the domestic supply of gas, Colombia is forced to import 40,000 MBtud of firm gas through the Cartagena regasification plant, Spec to satisfy the country’s essential demand which includes the supply of homes, small businesses and transportation.