Ecopetrol's interim leader pledges to spend efficiently for stability

Interim Chief Executive Juan Carlos Hurtado, of Colombia's state-owned energy company Ecopetrol, said that the firm aims to increase its own sustainability by being efficient in spending, practicing capital discipline and reducing costs. Hurtado was appointed interim CEO of Ecopetrol on Monday after Ricardo Roa had been granted an extended leave and unpaid leave due to an investigation by Attorney General's Office into allegations of?influence-peddling. Roa's involvement in the funding of President Gustavo Petro 2022, a campaign he led, is also being investigated. He has denied any wrongdoing.

Hurtado told reporters that "ensuring efficiency in spending and capital discipline (...) is essential to ensuring the sustainability and value of the company." Hurtado was previously vice president for Hydrocarbons at Ecopetrol. "We are trying to reduce costs."

Roa is expected to return to his position in June, following the conclusion of the presidential elections.

Analysts say that the allegations against him have caused a reputational crisis and corporate governance risks at Ecopetrol. The company is responsible for 60% of the country’s hydrocarbon production and for the majority of crude oil transportation, logistics, and refining. It also holds leadership positions in the petrochemicals industry and the gas distribution sector. Reporting by Nelson Bocanegra, Editing by Aida Pelaez-Fernandez

(source: Reuters)