During the installation of the Congress of the Republic On July 20, President Gustavo Petro He pointed out that the Heavy oil would be the first to stop being consumed in the worldHe said that “Colombian oil is heavy and this will be the first to leave the world market.”
(Read: Ecopetrol’s strategies to combat the natural gas deficit)
For this reason, he pointed out that The country must prepare to leave this energy and make a change in its economy, which depends largely on the foreign currency generated by this sector.
However, how certain is it that heavy oil would be the first to stop being used? It is worth noting that This is the name given to crude oils with a higher density and which, due to some of their characteristics, are more expensive to extract, transport and refine. However, their deposits tend to be the longest-lived and the chemical characteristics of this oil mean that they can generate more by-products.
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In Colombia, according to information collected by Edgar Iván Arenas, from Sergio Arboleda University, 45% of the oil extracted corresponds to heavy oilFor his part, Julio César Vera, president of Xua Energy, said that this could reach up to 65%, particularly in the case of Ecopetrol.
The rest corresponds mainly to medium and light oil. These are mixed in refineries to extract white products, such as gasoline, and other derivatives. such as petrochemicals, used in various industries.
In this sense, several types of crude oil are needed.to feed the diets of the refineries and thus get the most out of thiss. According to Ecopetrol data, the Barrancabermeja refinery needs 46% heavy crude; 18% medium; 23% light intermediate and 13% light. In the case of The Cartagena refinery requires 57% medium crude oil, 30% heavy crude oil and 13% light crude oil..
(Recommended reading: Actions are urgently needed to reverse the decline in gasoline consumption, which has lasted 13 months)
Departments such as Meta and Putumayo are some of those that produce the most heavy oil, while only Norte de Santander produces light crude oil.
Cartagena refinery
Ecopetrol
A series of data could contradict the president’s claim. According to the International Energy Agency, the worldor has not yet experienced peak oil consumption, which would only be seen until mid-2030 and which would grow in the coming years, despite the acceleration in the implementation of electromobility.
The same way, The world’s main reserves are estimated to be composed of heavy and extra-heavy crude oil..
(Related: Reserves of the main mineral and energy resources show a fall in 2023)
Julio César Vera, president of Xua Energy, said that “For at least the next 30 years, oil will continue to play an important role. in the global energy economy and energy demand“.
He added that currentlyentand the existing refining infrastructure already takes into account the participation of heavy crude oils, Therefore, it is not estimated that the demand for this type of oil will decrease, since both the cost and the infrastructure it requires have already been internalized.
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While these crudes They are usually more expensive to extract and a little less valuable on the market, Vera points out that now there is not as significant a difference as there was in the past.He explained that in terms of prices, the difference between light and heavy crude could range between US$3 and US$8 per barrel.
He stressed that the country has madeor significant technological advances to process the densest hydrocarbons. “Today, the most modern refineries have different processes that allow them to use heavy crude oil to the maximum and have a high conversion factor in the fuels and refined products they produce.“, said.
The expert added thatand more than 95% of valuable products can be obtained from a barrel of this energyincluding some high-value by-products such as liquid fuels, including gasoline and diesel.
(See also: Foreign direct investment in the oil sector fell 28.4% in the first quarter)
Additionally, other derivatives relevant to the economy are extracted from the refining process, such as the same lubricants for engines. In addition to these, paraffins, waxes, plastics, detergents, tar, asphalt and monomers.
“Hence their importance and the fact that they will continue to play an important role in the coming years and comply with the regulations to obtain increasingly cleaner products.“, Vera stressed.
Petroleum
iStock
Economic impact
In addition to being an energy source from which other very important ones are producedThe oil industry plays a crucial role in the country’s economy. In fact, Gross Domestic Product data show that by the end of 2023, Colombia grew by 0.6%, driven by a 4.8% growth experienced by the hydrocarbon sector.
The industry andIt is one of the most important in terms of foreign direct investment.. In January alone, the exchange balance of the Bank of the Republic showed that Oil and mining attracted 62% of the foreign currency that entered to the country, bringing in US$790 million.
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Likewise, by others Concepts such as taxes and royalties, the industry has an important role to play in revitalizing the regionsIn 2023, companies delivered $18.2 billion or 1.3% of GDP for these concepts.
For these reasons, sector leaders warn that For Colombia to stop producing oil would be more counterproductive than beneficial, to the extent that it would continue to use all its products, although without receiving the economic benefits of the industry.
During his speech, the president Petro maintained his position that other activities such as tourism could replace part of the foreign currency that depends on oil.“We are increasing tourism this year compared to last year,” he said during the opening of Congress.
Daniela Morales Soler
Portfolio Journalist
