It is not quite at the same level of eloquence as the Queen’s annual broadcast to the Commonwealth but it might have achieved a similar level of platitudes-per-column inch if MinMinas González had not dropped a major ‘bomb’ on the issue of fuels for electrical generation.
Campetrol provided an update of its detailed drill rig information and so we updated our charts. Workover has stayed fairly stable since May at 34-35 rigs but Drilling dropped by 7 in October after rising in August.
This year had its fair share of all three (cue the Ennio Morricone theme in the background) although it is harder to find the good than it is to find the ugly. This is a personal wrap-up of the year about to end and a look ahead at what might happen in 2016.
Editor’s Note: ACIPET, the association of Colombian petroleum engineers, is an active voice for policy change in the sector. Its recently-appointed Executive Director, Juan Carlos Rodriguez, speaks frequently to the press on what the government is doing right and not doing right.
In our analysis of Ecopetrol’s 3Q15 results we reported that CEO Juan Carlos Echeverry had said the NOC was outperforming its global peers.
At this time of year, companies are in the closing stages of their 2016 planning. Considering the time frame of most oil and gas investments, one input is very long-term forecasts of overall demand, at least implicitly as companies try to look at long-term prices.
The headline on Ecopetrol (NYSE:EC) results was that it made money while the rest of the industry lost. Inside Colombia, the comparison is unfair because it has no rivals with the same breadth and as the above graph shows, the Transport sector save the day.
A signature in Havana will presumably mean the end of terrorist threats against economic infrastructure by the Farc (and soon afterward maybe the ELN). But that does not mean that the post-conflict will be without challenges.
Well that could not last. After two straight months of increasing, prices fell again and we are now at a new low for past half-decade.
The fundamentals are not trending positively and so our readers are not planning for a brighter 2016.
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