Ecopetrol Subsidiary to Reinforce Pipeline Against Rebel Attacks
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Ecopetrol SA (ECOPETL) subsidiary Cenit plans to boost the capacity of Colombia’s oil storage facilities and reinforce sections of pipeline to counter rebel attacks, Cenit President Camilo Marulanda said in an interview today in Bogota.
Pipeline upgrades to boost crude shipments via the Pacific coast and Ecuador are also being put in place, said Marulanda.
Colombia’s largest rebel group, the Revolutionary Armed Forces of Colombia, or Farc, ended a unilateral cease-fire in January, stepping up attacks on oil pipelines in a bid to strengthen its hand during peace talks with the Colombian government, currently under way in Havana.
Oil producers in Colombia will face higher tariffs for some pipelines, said Marulanda.
“We are inspecting all the tariffs in all the systems,” said Marulanda. “There are some systems where the tariff will go up, others where it might go down.”
Last month Ecopetrol followed other large oil companies in handing over the running of midstream activities to a subsidiary. Cenit is targeting year-end earnings before interest, taxes, depreciation and amortization of 2.5 trillion pesos ($1.35 million).
Cenit will boost capacity in the Ocensa pipeline, with the new Bicentenario pipeline almost complete, said Marulanda.
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