News and AnalysIs for

The Ministry of Mines and Energy announced a small increase in fuel prices for the month of September, while more pressure mounts from political sectors to drop prices.

The Ministry of Mines and Energy (MinMinas) says no changes will be made to the reference fuel price, pointing out that over the last year fuel prices have grown by less than 1% in the case of gasoline and 1.8% for diesel.

A long planned privately owned refinery appears ready to set foot in Puerto Olaya, Santander, after the investment bank managing the project says it has found a specialized fund in Canada that will make an initial investment in the US$3B project.

There is progress to expand and modernize the Cartagena Refinery (Reficar), and the company says that nine of the 15 plants that must be ready to finish this long delayed project have now been completed.

Spanish gas utilities firm Gas Natural Fenosa says that the number of conversions to Natural Gas Vehicles (NGV) in the first half of 2014 has grown by 17% year-over-year, after 9,691 vehicles were converted in Colombia.

The Ministry of Mines and Energy (MinMinas) says that international fuel prices and instability in Iraq have forced fuel prices at the pump upwards for July 2014, while diesel remains stable.

The Minister of Mines and Energy Amylkar Acosta says the government is putting the contraband fuel business in its cross hairs and promises to go after the mafia leading this illicit industry.

The Ministry of Mines and Energy (MinMinas) has prioritized both an expansion of gas coverage and sought to protect that market against increased demand due to the El Niño weather phenomenon, but it has not been enough to guarantee supply for thermal generators.

We think average realized Colombian oil prices could be up as much as 3% when 2Q14 results are reported because Brent and especially WTI have risen consistently.

The delay-plagued modernization and expansion project at the Cartagena Refinery (Reficar) should be finished in December of this year, with an operational start for the 16 new refining units in the second quarter of 2015.