O&G

Colombia is a major oil and gas player in South America, producing as much oil as the UK. The country’s exploration and production segment is predominantly onshore, but in recent years, offshore E&P activity in the Caribbean Sea has attracted growing interest from major players. The Sirius gas discovery, previously known as Uchuva, is the largest natural gas find in the nation's history. Operated by Petrobras alongside Ecopetrol, the project is being studied to produce 470MMcf/d. The Sirius-1 and Sirius-2 prospects hold a potential for 6 trillion cubic feet (Tcf) of recoverable gas, potentially tripling Colombia's current gas reserves. Colombian O&G opportunities also extend to midstream projects, including LNG regasification terminals being developed by Andes Energy, SPEC LNG, and Ciénaga LNG, with a combined capital expenditure of nearly US$200m. Downstream is also a key segment of Colombia's O&G sector. Ecopetrol, which operates four refineries across the country, has announced plans to invest between US$500m and US$700m to build a SAF plant at the Barrancabermeja Refinery. In addition, Bio-D, a private developer, also aims to build a biofuel plant, partnering with LATAM Airlines Colombia to promote SAF development in the country.

Hydrogen

In the green hydrogen sector, Colombia has set ambitious long-term targets, aiming to install between 1–3GW of electrolysis capacity by 2030 and up to 10GW by 2040. Achieving these goals is expected to require approximately US$45bn in capital investment. Ecopetrol, for instance, is currently advancing what is projected to become the largest green hydrogen plant in Latin America once operational in 2026. Located at the Cartagena refinery, the facility will feature a 5MW electrolyser and is expected to require an investment of around US$28.m, positioning Colombia as a key player in the green hydrogen sector in the region.

Offshore Wind

Meanwhile, in the renewables sector, Colombia launched a bidding round for offshore wind lease areas in December 2023 - the first such auction in Latin America. The designated blocks are located off the Caribbean coast, in the Magdalena, Atlántico, Bolívar, and Sucre departments, covering both floating and fixed-bottom zones. In December, all nine bidders that filed for the auction prequalified, marking the end of stage one of the process. The final result is expected by December 2025, with the Colombian government aiming to award at least 1 GW of installed offshore wind capacity through this first competitive process.

These are exciting times to be in Colombia and the trade delegation will be an opportunity to meet the key players doing business in the country’s energy markets, obtain or expand the network of contacts and identify business opportunities.