Opportunities in

Colombia, Ecuador, Venezuela

Full energy spectrum

Energy portfolio strategy / Assets due diligence

Energy is NOT part of the Economy
Energy IS the Economy
ourworldindata.org
 O&G Resources

Maracaibo

Venezuela

Colombia

Ecuador

Oil & Gas Fields

Modified from Macellari 2017
7
 Renewable Resources

Maracaibo • Caribbean Sea wind stable currents

• No winter and 8+ hours of sunlight
Venezuela
all year round
Colombia
• Andes volcanic chain (Heat)
• Vast fresh water resources
(Colombia has more than all EU)

• 60-70% electricity is clean already

Ecuador
• Massive natural onshore CO2 sink

Oil & Gas Fields

7
Colombia

Venezuela

Colombia

Ecuador

Oil & Gas Fields

7
 Colombia: Energy Context
(5.300 UK 1.200 EJ / year
3.500 Spain)

Industries and Cooking (No home heating required)

320 TWh UK
240 TWh Spain 75 TWh/y Already clean and reliable

Light Vehicles and Lorries

No trains.
Colombia: Oil

Target: 1.000 Kbopd

• Oil Exports represents 30% of total exports
and 3% of GDP
Currently: 750 Kbopd
• EVs market is in its infancy.
Exports • Goods transport is done 100% by lorries

Local Consumption 40%

Colombia: Gas

• Consumption surpassed production in 2021

(385 BFC vs 375 BCF)
1P reserves
• Mostly used to cook and electricity generation
Consumption
• Two offshore gas discoveries announced
recently by Ecopetrol NOC (+/- 3 TCF each)
• New Government suggested potential future
imports from Venezuela, causing a completely
adverse reaction from all sectors, which are
2022 2024 2026 2028 2030 pushing harder for more exploration to
Upme 2021
maintain energy security.
Colombia: Production

• Production from Llanos basin accounts for 50%

of the country’s. (Castilla benchmarck 19 API)
• Magdalena basins crude benchmark 24 API
• Gas prone area to the North
• Pipelines infrastructure
• Opportunities for development investments

Oil Gas Oil Pipes Gas piipes

Colombia: Exploration
• Concession contract model.
• One exploratory phase of 6 years & 25
years production
• Minimum commitment: 1 exploratory
• 9% royalties

• Permanent allocation process where all open

areas can be proposed to be included in small
bid round processes

• Potential farm-in opportunities as 69 new E&P’s

were signed in the last 3 years by six companies

Permanent Process E&P < 3 E&P > 7 Oil & Gas Fields
years years
Colombia: Electricity Context
Electricity consumption per year 75 TWh

• Gas reserves at current levels of consumption could last

for 5 years max

Oil & Gas Fields

From EIA 2020 UK 320 TWh / Spain 240 TWh

Colombia: Offshore Wind
Offshore wind roadmap launched in 2022.
Development potential of 50 GW (Current UK Inst Cap 10GW)

Wind Speed monthly avg

Wind Speed
map
Taken from Windeurope.org and Offshore Wind Road map Report
A Comparison of the UK Offshore Wind Resource from the Marine Data Exchange
Colombia: Solar Photovoltaic Power Potential
Installed Cap 1 GW

Installed Cap 15 GW

Solargis.com
Colombia: Hydrogen Potential
Colombia launched the H2 roadmap in 2021
• Decarbonise domestic heavy transport
• Have 1-3GW of RE to produce H2 in 2030
• Produce 50 Kt of blue H2 by 2030

Maritime shipping routes

Colombia: Renewables

• Energy Transition Law: More tax incentives for RE investments

• Hydrogen and offshore wind roadmaps launched in 2021 (made in collaboration with the
World Bank and UK agencies)
• Three successful auctions (2019 – 2021) for Solar and onshore wind projects. From 0.2
GW in 2018, to 4 GW operating in 2024. (18 GW country’s total)
• There are 6 structured projects for offshore wind. An auction is planned in the near
future
• Two green hydrogen pilots operated by Ecopetrol started in 2021 for refinery operation .
• Legal framework for Geothermal licensing launched in 2022. O&G companies can now
apply to officially use the geothermal resource within their acreage
Colombia: Green Investment
Ecuador

Ecuador

Oil & Gas Fields

7
 Ecuador: Energy Context
2.400 Neth 0.51 EJ / year

Industries and Cooking LPG (No home heating required)

120 TWh Neth

26 TWh/y . Highly reliant on hydro

Light Vehicles and Lorries

No trains.
Ecuador: Oil context
Current Daily Oil Production
2% of GDP from oil exports
Target: 1.000 Kbopd

Government aim:
Produce as much oil as possible
Invite private capital to reach the goal
Currently: 490 Kbopd

Changed law to reintroduce PSC

Local Consumption 25%
Setting up several auctions for existing fields
Ecuador: Oil News

• Auction for production of associated

gas and restarting of shut-in wells

• Sacha Oil Field bid (70 => 150 kbopd)

Nov/2022
• 22 small oil fields bid.
17Ag – 16 Sept. Interest Letter
November approx. date
PSC / Services

• Extra-Heavy oil field Pungarayacu

50 Km
• New Private Refinery

Oil & Gas Fields Oil Pipes Gas piipes

Biddings
Ecuador: Gas
Government aims to increase gas
production for domestic and
electricity
• Gas proven reserves ~ 550 BCF
• Gas production around 38 MCFPD
• Domestic and thermoelectric are
Amistad the main off-takers
• Planned for 2023
o Amistad Gas Field Bidding
50 Km
o Offshore round
Oil & Gas Fields

Petroecudor O&G power plants Oil Pipes Gas piipes

 Netherlands 120 TWh
Ecuador: Electricity context

Electricity consumption per year 26 TWh

Net electricity importer
• Reconvert oil power plants to gas.
• Not enough domestic supply.

From EIA 2020

Ecuador: Energy Overview

• New government open to private

capital to increase oil production
from existing fields
• Increase natural gas production and
incentivise offshore exploration
• Replace oil thermo-powerplants to
gas

Oil & Gas Fields

Venezuela

Venezuela

Oil & Gas Fields

Venezuela: Changing winds

• De facto dollarised economy

• US lifted some oil sanctions
• ENI and Repsol are now able to export oil in an oil-for-debt agreement
• Exchanging refined products for oil with Iran to produce heavy oil. Want to
do the same with Europe
• Chevron authorised to negotiate with PDVSA future arrangements
• Exporting between 600 – 700 kbopd, mainly to China, Iran, Russia, India.
• Produced 1.9 mmbod just before the US sanctions (2019)
Venezuela: Oil and Gas

Maracaibo .
150 kbop
34 API Maturin
50 kbop
20-40 API
Orinoco Belt
400 kbop
12 API
100 Km

Gas Fields Oil & Gas Fields Oil Fields

Refinery O&G power plants Oil Pipes Gas piipes

 Resources
Potential to become and energy hub

Venezuela

Colombia

Ecuador

Energy Surplus = Economic Growth

7
Energy Surplus = Growth = Opportunities
 THANK YOU!
Energy portfolio strategy / Assets due diligence
Consulting services in London
Venezuela: O&G plays
Regional G&G and New Opportunities

Turonian Super Rich

Source Rock
“La Luna Shales”

Venezuela

Colombia

Ecuador

(Blakey, 2002)
Latin America: An Overview
 Latin America in the World Oil & Gas Industry

Onshore Gas
Onshore O&G
Offshore O&G

YTF
Africa

126
YTF Gbbl
Lat Am
135
Gbbl

From EIA 2019

 Oil Daily Production

7.6 mmbo/d 6.8 mmbo/d

6.5 mmbo/d
3.6 mmbo/d

2.9 mmbo/d

Not including Middle East, Russia, North America From Yearbook Enerdata
 Gas Daily Production
+9 mmboe/d
5.6 mmboe/d

3.8 mmboe/d
3.3 mmboe/d
3.2 mmboe/d

Not including Middle East, Russia, North America From Yearbook Enerdata`
Upme 2021
• UK current installed capacity 10GW. Produced in 2020 40TWh (45% C.Factor)
• 2030 => 40GW ; 2050 => 100 GW