Colombia won't breach US sanctions to import Venezuelan gas, says Ecopetrol

Colombia will not defy US sanctions in its attempt to resume natural gas imports from Venezuela, the head of state-run energy company Ecopetrol said on Thursday. 

Speaking during the Arpel-Naturgas Week conference in Cartagena, Ecopetrol CEO Ricardo Roa insisted that a reactivation of the 200km binational pipeline – which has been out of service since 2015 – would help allay fears of an impending gas shortfall. 

“Conversations are being held with the government of Venezuela to be able to restart the flow of gas through the pipeline. In that sense, Venezuela could help alleviate Colombia's gas deficit," Roa said. 

According to Roa, the pipeline could begin operating "within 12 months" following refurbishment work costing US$200mn-300mn.

A possible impediment to the agreement, however, is the specter of US sanctions. 

Washington rolled back a series of restrictions – mostly related to the oil and gas industry – on October 18 after the Nicolás Maduro regime reached a deal with opposition parties to allow competitive, internationally monitored elections this year. 

The US State Department is expected to decide whether to extend or end the concessions on April 18. 

"We aren't ignoring [sanctions] and will not violate them under any circumstance," Roa said. 

"We’re awaiting the decision by OFAC [the Office of Foreign Assets Control] to see whether we can move forward."

Venezuela has the world's eighth largest accumulation of proven gas reserves with 197Tf3 (trillion cubic feet). 

In November, Roa warned that Colombia faced a natural gas deficit of 31BBTU/d (billion British thermal units per day) this year in a medium demand scenario. The shortfall is expected to rise to 131BBTU/d in 2025 and 150-200BBTU/d in 2026.