SierraCol readies US$500mn Estero field ramp-up

Independent oil and gas producer SierraCol Energy has outlined plans for an expansion worth 2.03 trillion pesos (US$500 million) at its Estero field in eastern Colombia.

The Bogotá-based company filed an environmental impact study for a ramp-up that envisages five new platforms with the capacity to drill up to eight wells each, according to licensing documents seen by BNamericas. 

SierraCol is also seeking to generate electricity from up to 33MW of new capacity utilizing natural gas, oil, diesel or solar power. 

The generating plants would be connected to the grid via 60km of new low and medium-voltage power lines and an associated substation.

In addition, the company plans to invest in oil and gas treatment facilities, 30km of flow lines, a heliport and a solid waste treatment facility. 

The project forms part of the Alcaraván block, which spans 24,000 acres in the Mani area of Casanare department. SierraCol holds a 100% operating stake in the acreage.

SierraCol was created in December 2020 after US private equity firm Carlyle acquired the local assets of Occidental Petroleum. 

According to oil and gas industry chamber Campetrol, SierraCol pumped 47,000b/d of crude oil in June, making it Colombia's fourth largest producer behind Ecopetrol, GeoPark and Frontera. 

More information about the Estero expansion can be seen in the report in the Documents box at the upper-right corner of the screen.