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    GeoPark: Colombian production resumes after protests

Summary

The company announced last month that operations were sidelined by nationwide demonstrations.

by: Daniel Graeber

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Complimentary, Natural Gas & LNG News, Americas, Corporate, Exploration & Production, Political, Tax Legislation, News By Country, Colombia

GeoPark: Colombian production resumes after protests

Latin American-focused oil and gas explorer GeoPark said June 1 it was able to resume operations in Colombia following disruptions from domestic protests.

GeoPark announced May 17 that road blockades and other demonstrations affected operations across three fields in Colombia, two of which were operated by the company.

Strikes across Colombia greeted an April tax reform proposal. Working to alleviate chronic debt, Colombian president Ivan Duque proposed a higher tax for middle- and high-income earners, sparking a major public backlash.

Colombian energy company Ecopetrol said last month that its upstream, midstream, downstream and commercial and marketing segments were all impacted by the social unrest. Apart from road blockades, the company said there had been isolated incidents involving its infrastructure.

Upstream, the company said the most significant impact was on natural gas, primarily at its Cusiana and Florena fields. Midstream, Ecopetrol said some pumping systems have been idled, while refinery throughput was lower because of the lack of crude oil production.

GeoPark, however, said that the situation in Colombia had improved in recent days and most of its idled production had been brought back online.

Net consolidated oil and gas production for GeoPark is now between 35,000 and 36,000 barrels of oil equivalent per day, compared to an average of 38,131 boe/d during the first quarter.

GeoPark’s announcement followed a meeting between US secretary of state Anthony Blinken and Marta Lucia Ramirez, the Colombian vice president. Ned Price, a spokesperson for the US state department, said Washington welcomed dialogue led by Duque to soothe national tensions.

Natural gas generates 8% of Colombian energy, while coal and oil products account for a half. In 2050, natural gas is expected to generate 30% of the country's power under a national energy transition plan.