Petrobras and Ecopetrol uncover historic gas discovery in Colombia

Brazilian oil giant Petrobras, in collaboration with Colombia’s state-owned company Ecopetrol, has confirmed the largest natural gas discovery in Colombia’s history. Drilling results from the Sirius-2 well in the Guajira offshore basin have revealed over 6 trillion cubic feet (Tcf) of gas – enough to potentially double the country’s existing reserves. Petrobras holds a 44.44% stake in the consortium, while Ecopetrol owns 55.56%.

The sources Sirius-1 and Sirius-2 were previously referred to as Uchuva-1 and Uchuva-2 sources. Brazil’s Petrobras, through its Colombian subsidiary Petrobras International Braspetro BV, is the operator of the wells with a 44.44% stake in a consortium with Colombia’s national oil and gas company Ecopetrol, which holds a 55.56% stake.

Colombia’s declining gas production and delayed projects have created an urgent need for new supply for the country, with domestic demand expected to exceed available resources as early as 2025. The disconnect between supply and demand could result in Colombia having a 30% supply gap by 2026.

While the Sirius discovery offers hope, Petrobras has stressed that additional testing and studies are needed to determine the commercial viability of the reserves.

Colombia’s oil and gas sector faces other challenges. Pipeline attacks by the ELN guerrilla group have increased. Since August, 14 incidents have been reported that disrupted operations and reduced revenue. Ecopetrol has warned that the attacks threaten production and subsequent fuel supplies to major refineries.

Meanwhile, Colombia’s energy industry is grappling with political changes under President Gustavo Petro, who supports the transition away from fossil fuels.

If successful, the Sirius discovery could secure Colombia’s energy future, but the path forward requires overcoming political, environmental and security hurdles.

By Julianne Geiger for Oilprice.com

More top reads from Oilprice.com