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The Energy and Mining Planning Unit (UPME) has been moving forward with plans to tender the expansion of gas pipelines to improve the supply of the gas, and now details on the organization of the eventual network have emerged as well.

GasThe head of Colombia’s Natural Gas Association (Naturgas) Eduardo Pizano said that that Colombia still has reserves for another 12 or 13 years, but that the exploration pace must speed up, and new discoveries in the Caribbean must be produced to attend to Colombia’s growing demand.

Traditionally, Colombians have thought of their natural gas as coming from La Guajira.  Even when we started HCC in 2012, La Guajira represented 51% of gas production. But by 4Q15, that figure had dropped to 31%. Casanare is the new leader.

GasGas production has been above its 12-month moving average for at least four months and so what had been a strong decline in the trend-line has moderated. Could we be seeing the impact of new discoveries by Canacol (TSX:CNE) and greater production in Casanare?

Some of the changes are detailed in the supply plan of the Energy Mining Planning Unit (UPME), which has identified the priority projects that it will tender directly, so that they are executed more quickly and not bottlenecked by market issues.

Canacol Energy (TSX:CNE) saw a drop in revenues and widened loss, as well as a fall in production, and confirmed that its management team is squarely focused on the opportunities for natural gas in 2016.

Colombia’s first regasification plant, located in the Cartagena, is 70% finished and should be ready in December 2016. The general manager of the facilities explained why the project has taken so long and the process still needed to get it up and running.

The Energy Mining Planning Unit (UPME) presented its report on the natural gas sector in the recent Colombian Natural Gas Association (Naturgas) and said that reforming the transportation system is a top priority, along with improving reliability and building a regasification plant on the Pacific coast.

The 19th Congress of the Colombian Natural Gas Association (Naturgas) provided the venue for a debate on the future of the natural gas industry and gas supply, with Naturgas assuring current problems are not a larger trend, while the Colombian Petroleum Association brought up concerns on Colombia’s self-sufficiency.

A high Cartagena court has halted the construction of a strategic section of a natural gas pipeline which would help supply thermal generators in Cartagena with the fuel.