Colombia’s state oil firm Ecopetrol, has reported a 46% lower in web revenue for the second quarter (Q2) as a result of declining international oil costs and slight manufacturing decreases.
The corporate’s web revenue fell to roughly $450m (1.81trn pesos), down from the earlier 12 months’s equal of $840m, with whole gross sales additionally lowering by 9% to round $7.4bn, reported Reuters.
Ecopetrol’s CEO, Ricardo Roa, used a a press convention to spotlight a number of operational challenges.
“We’ve got had blockades, assaults and thefts which have prevented us from working, and now we have additionally seen a big drop in volumes carried by third events via our transportation property,” Roa was quoted as saying.
These disruptions, together with new taxes and inflation, have compounded the influence of the oil worth decline on the corporate’s monetary efficiency.
The corporate’s whole manufacturing noticed a marginal year-on-year decline of 0.5%, averaging 755,500 barrels of oil equal per day (boepd).
Moreover, earnings earlier than curiosity, taxes, depreciation and amortisation (EBITDA) fell by 21% to round $2.78bn.
Regardless of the downturn, Ecopetrol has maintained substantial investments, with round $2.58bn allotted to exploration and manufacturing initiatives inside Colombia and in worldwide ventures in Brazil and the US.
As of the top of June, the corporate had accomplished drilling six out of the ten exploratory wells deliberate for the 12 months.
The oil sector globally has been navigating via worth volatility, partly as a result of OPEC+ growing manufacturing, which contributed to an 11% lower in Brent crude costs over the quarter.
Brent crude costs averaged $67 per barrel (bbl) in Q2, a drop from $75/bbl within the earlier three months and $85/bbl in the identical interval final 12 months.
In distinction to Ecopetrol’s efficiency, Mexico’s Pemex and Brazil’s Petrobras managed to put up earnings regardless of the difficult market circumstances.
In the meantime, Ecopetrol has introduced plans to proceed with pure gasoline drilling within the Colombian Caribbean, aiming to cater to rising home demand and capitalise on its reserve potential, regardless of Shell’s current exit from three offshore blocks.
