Acipet expresses concern over suspension of Komodo 1 well

Statement from the Colombian Association of Petroleum Engineers

ACIPET welcomes the decision of the Superior Court of the Judicial District of Santa Marta to allow the reactivation of activities in the Uchuva (Sirius) exploratory well of Ecopetrol and Petrobras, located in the Caribbean Sea.

This well confirmed the presence and volumes of gas in this exploratory block, which, according to Petrobras, have the “potential to double Colombia's 1P reserves” and could reach 3 times the country's current gas reserves.

For this reason, this court decision represents an important step towards strengthening natural gas exploration in Colombia and, consequently, towards the country's energy security and self-sufficiency. It is expected that by the end of 2029 this gas will begin to be incorporated into the domestic supply, reducing or even avoiding the importation of gas for industrial, residential and vehicular purposes.

We hope that the statement that is due from the Ministry of the Interior will ratify what was said in previous concepts of said entity in relation to the non-applicability of Prior Consultation for this phase of the project and that, therefore, we can move quickly to the development phase of this project.

On the other hand, we express our deep concern about the suspension announced by Ecopetrol of the activities in the Komodo 1 well, due to the decision taken by the Ministry of Environment to suspend the environmental licensing process. This suspension caused a delay of at least 2 years of a project in which Ecopetrol and Oxy have invested more than $200 million dollars, as has been announced.

We recognize the importance of having a robust and environmentally friendly regulatory framework.

However, we call on the competent authorities to make the processes more expeditious and efficient, and for decisions to be made with technical and scientific rigor, based on evidence, so that this gives companies the legal stability and confidence to continue investing in crucial projects for the country. It is essential to heed the technical concepts of experts and consider the technological advances that the industry has today, which reduces all risks and uncertainties, thus allowing progress on projects of high relevance for the country.

The suspension of exploratory projects of this magnitude affects the search for contingent resources, which directly impacts sovereignty and energy security, as well as the sustainability and competitiveness of the energy industry in Colombia and, with this, the development of the country.

At ACIPET, we reiterate our commitment to the responsible and sustainable development of the country's energy resources. We are available to interested parties to contribute, based on our technical knowledge, in this type of process. Our goal is for Colombia to maintain a strategy for hydrocarbon exploration and production that allows it to meet internal demand, boost economic growth and strengthen energy sovereignty and security by supporting the energy transition through coexistence in the development of the country's resources.

This press release was published in English using an automatic translation system.