Ecopetrol and Petrobras announce joint-venture to market natural gas from Colombia’s Sirius Project

Ecopetrol, Colombia's energy company run by the state and Petrobras, Brazil's oil firm owned by the state, announced a partnership on Thursday for a joint marketing of natural gases from Colombia's Sirius Project.

Ecopetrol owns 55.6% of the Sirius block, Petrobras holds the remaining 44.4%, and is the operator for the project. The project is estimated to have 6 billion cubic feet and an investment of $5 billion. It will begin operating between 2029 and 3030.

Ecopetrol's President Ricardo Roa announced that the two companies had agreed to sell up to 249 millions cubic feet of natural gas per day over a six-year period. This mechanism aims to ensure the efficient, objective, and public allocation of natural gases from the Sirius Field, he said.

The project will help increase Colombia's gas reserves as it has had to import more fuel to meet the domestic demand.

The project is still in development. Alcindo Morita, the president of Petrobras Colombia, announced in mid-October that approximately 50% of "prior consultations", as required, had been completed. These consultations grew from 116 in September to 120.

A prior consultation in Colombia is a fundamental human right. It allows ethnic groups to be involved in the decision-making process on projects which may affect their territory, culture, and rights. Nelson Bocanegra, Bogota Reporting; Brendan O'Boyle Writing; Julia Symmes Cobb & Matthew Lewis Editing

(source: Reuters)