The Oil & Gas Year Colombia 2012
Colombia’s recent oil and gas history is breaking all the records. The country has managed to almost double its oil production over the past five years, becoming an investment hotspot for junior exploration and production companies.
In 2012 the government expects to see major oil companies entering the Colombian oil and gas landscape through an international bidding round, which the National Hydrocarbons Agency is expected to finalise by the end of the year.
The Colombia Round 2012 puts up 115 blocks for bid from which 12 are offshore and 30 percent are expected to have significant unconventional potential. The two main bottlenecks that have been affecting the industry are being addressed, mainly the delays in the granting of environmental licenses and the lack of available pipeline infrastructure.
In order to deal with the first issue, the government has created the National Authority for Environmental Licenses (Autoridad Nacional de Licencias Ambientales), and the coming online of the first phase of the Bicentennial Pipeline is expected to improve the country’s oil transport infrastructure. It should be any month now that Colombia reaches the 1-million-barrel-per-day mark and continues its growth trend as exploration activities are intensified.