Colombian gas imports surge as drilling stalls

Colombian natural gas imports rose almost three-fold in September amid surging demand from thermoelectric generators, figures show. 

Cargoes delivered to the Spec regasification terminal in Cartagena reached 336Mf3/d (million cubic feet per day) compared to 115Mf3/d in August, according to the latest monthly report published by industry chamber Campetrol. 

The year-on-year increase was 28.7% and coincided with an extended drought that prompted hydroelectric reservoir levels to fall to 50% from 60% two months earlier.   

"[This] has generated greater demand for imported gas to compensate for lower hydroelectric generation due to the dry and hot conditions in the country," Campetrol said.

Volumes of gas allocated to thermoelectric generators totaled 404Mf3/d in September, up from 246Mf3/d the previous month. The industrial segment, meanwhile, consumed 285Mf3/d, down from 292Mf3/d in August.

Households accounted for 187Mf3/d, the oil industry 156Mf3/d, natural gas vehicles 64Mf3/d and retailers 55Mf3/d.

Rig activity, outlook

Campetrol, which represents 140 oil equipment and service companies, reported 109 active rigs in September, 29 for drilling and 80 for reconditioning. The figure represented a 6.8% year-on-year decline but was 1% higher than the previous month. 

"There were alerts and environmental events related to the hiring of workers and contracting of local goods and services in addition to the impact of the nationwide transportation protests between September 1 and 6.” 

Rig activity is expected to fall to 103 in October before recovering to 104 in November and 105 in December, the Bogotá-based entity said. 

It added that the sharp decline forecast in October owed to the completion of drilling campaigns in Arauca and Huila departments.