Colombia rig count hit by exploration malaise

Colombia's oil and gas rig count fell 18% in July amid a sharp decline in exploration activity, new figures show. 

The number of active rigs in the Andean country dropped to 105 from 128 a year earlier, industry chamber Campetrol said in its latest monthly upstream report. 

Exploration rigs in operation dipped 24% to 31 while workover units fell 15% to 74.

Oil and gas stakeholders have said the industry is suffering from President Gustavo Petro's anti-fossil fuel policies, which include a decision to stop awarding new exploration contracts and higher taxes on producers. 

But political headwinds are not the only stumbling block for operators. Campetrol, which represents 140 oil equipment and service companies, said July drilling activity had also been impacted by socio-environmental factors in the departments of Meta and Casanare. 

Meanwhile, the number of rigs deployed in the country is on track to rise to 106 in September and remain stable in October, according to the report. 

Despite the somber drilling panorama, Colombia has reported an uptick in seismic surveys this year.

Companies obtained 2,517km of 2D seismic data from January to June, up from 973km in the first half of 2023, Campetrol said.