News and AnalysIs for

The National Environmental Licensing Agency (ANLA) amended the environmental license granted in 1987 to the Chevron Petroleum Company. This amendment allows Chevron to develop gas wells in the Rioacha area (La Guajira).

Based on numerous reports in the Colombian press Minminas Federico Renjifo believes about 100,000 barrels of oil production is held up due to delays in the granting of environmental licenses. In some cases National Environmental Licensing Agency (ANLA) employees are making requirements beyond those established by law. Renjifo also claimed that the licenses are a bottleneck and there need to be manuals for the procedures to be followed by companies to get crude oil exploration and development licenses.

The Colombian press and congress is stirred up about the lost hydrocarbons potential of the territory that disappeared in the redrawing of the Colombia-Nicaraguan maritime border (see map by Hydrocarbons Colombia). Nicaragua adds fuel to the fire by publicly rubbing its hands with glee over the prospect of auctioning the zones to deep pocketed oil companies. That may indeed happen – although we think PDVSA will end up with them – but we do not believe this represents lost reserves, production or money to Colombia.

Resolving a long standing dispute between Colombia and Nicaragua, the International Court in The Hague redrew the maritime boundaries between the two countries today. Colombia keeps the islands in the Caribbean that have been part of the country for a very long time but the court extended Nicaragua’s economic zone further east, surrounding some of this islands and nearly enclosing others. Some offshore blocks disappear from the National Hydrocarbons Agency’s (ANH’s) inventory completely and some have been reduced in size.

RCN Radio reports that the Farc are assumed to be responsible for an explosives attack on the TransAndino pipeline in two separate locations. The first was in the village of El Verde in municipality of Puerres in the department of Nariño and the second was a few kilometers away in the village of San Pablo in the municipality of Cordoba in the same department. Both are located near the border with Putumayo.

Earlier we reported that Maurel & Prom have come under fire for seismic testing in Boyacá. Residents claim that explosive charges damaged houses and ruptured water pipes, leaving residents of one municipality without water for five days. National radio network W Radio took up the residents’ cause and made the story a central part of its morning program, which enjoys the country’s highest audience rating. Today at the Colombia-Canada Chamber of Commerce’s Dialogue Canada event, National Hydrocarbons Agency (ANH) head Orlando Cabrales Segovia gave his point of view.

The facts are that in the region of Boyaca where Maurel & Prom Colombia is conducting 3D seismic on November 5, 2012 there was the sound of explosives, the earth shook and water pipes broke in some of the affected areas. Water was out for up to five days in some municipalities. The municipalities accuse Maurel & Prom and their subcontractor Compañía Geofísica Latinoamericana (CGL) of being responsible. The subcontractor denies responsibility. Extracted and translated from thestatement published by a citizens’ action committeeand with commentary by Hydrocarbons Colombia.

A few weeks ago Baker Hughes pinned part of the blame on Colombia for a slowdown in Latin American rig activity. Today Tuscany Drilling gave its 3Q12 results and the story was consistent although more nuanced and ended on a more positive note.

MinMinas announces a Global Warming related initiative directed at the hydrocarbons industry. On November 19, 2012, the ministry will hold a workshop. The program is voluntary but …Translated from a MinMinas press release with commentary by Hydrocarbons Colombia.

This map is the portion of the National Hydrocarbons Agency (ANLA)’s detailed map of exploration and production blocks in the area around the Caribbean islands of San Andres. The blue-grey color means the blocks are available for assignment but currently unassigned. It is doubtful if anyone will ask for them now. The Environment Ministry just had the area (known as “Seaflower”) declared one of 18 marine areas under the “Protocol on Specially Protected Wildlife Areas in the Caribbean Region”.