Colombia National Oil Company To Hike Annual Production By 12 Percent Until 2015

Bogota, Colombia (AHN) - With increased output from new production wells, Colombia's state oil company Ecopetrol announced Monday it will hike its annual production by 12 percent until 2015. Under the firm's 2008-2015 business plan, its annual oil production will be hiked to 1 million barrels a day.

The new daily output would be almost 3 times the 2007 production of 326,000 barrels a day, Ecopetrol president Javier Gutierrez said. By 2008 daily production will go up to 425,000 barrels.

Aside from higher oil output, Colombia will also increase the number of wells it will drill by 28 wells annually until 2015. Current drilling speed is 13 wells a year.

Gutierrez said the new production will come from the Tayrona, Fuerte, Cano Sur, Gubraltar, Condor and Tierra Negra blocks.

Also targeted for an increase is the refining capacity of Ecopetrol by 11 percent a year, a 41 percent expansion for its petrochemical sector and a hike in biofuel sales by 12 percent each year until 2015.

Outside Colombia, Ecopetrol is also on an expansion binge by drilling an average of 8 wells annually. Among the company's overseas investment is a $50 million stake for a hydrocarbons exploration venture in three blocks in Peru.

Gutierrez told Business News Americas its foreign investment is $15 billion until 2015, but it expects the figure to go up to $60 billion.