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Ministerio de Minas y Energía República de Colombia. Agenda. Characteristics of the Oil / Gas Sector Characteristics of the Electric Sector Characteristics of the Coal Sector. Main Characteristics of the Colombian Energy Sector. Oil /Gas.
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Ministerio de Minas y Energía República de Colombia
Agenda • Characteristics of the Oil / Gas Sector • Characteristics of the Electric Sector • Characteristics of the Coal Sector
Main Characteristics of the Colombian Energy Sector Oil /Gas
Reserves and world-class discoveries 18 sedimentary basins: • Oil Reserves: • 1.473 million barrels • Gas Reserves: • 6,7 trillion cubic feet of gas • World Class Discoveries: • La Cira- Infantas (500 MMBP) 1910’s • Ballena-Chuchupa (5 TCF) 1970’s • Caño Limón (1000 MMBP) 1980’s • Cusiana (900 MMBP) 1990’s • Cupiagua (700 MMBP) 1990’s • Average lifting cost: US $2.90 / Barrel
Main pipelines Ballena - Barranca Gas Pipeline 575 Km. Long 200 MMCFG Atlantic Coast Gas Pipeline > 200 MMCFG Caribbean Sea Caño Limón - Coveñas oil pipeline 771 Km. Long 250 KBOD Capacity Throughput 1999: 130.000 BOD Coveñas Venezuela Ayacucho Orú “OCENSA” oil pipeline 800 Km. Long 600 KBPD Capacity Throughput 1999: 430.000 BOD (100% of available Production) Caucasia Toledo Samoré Caño Limón Banadia Vasconia El Porvenir La Belleza Cusiana-Cupiagua Miraflores
10 BCF 20 BCF Natural Gas in Colombia Demand (mcfd) Guajira 2,231 BCF Cusiana 300 BCF 3894 BCF Total reserves : 6,7 TPC Source: UPME
Natural gas business opportunities Export potential Gulf of Mexico • current trade potential with Venezuela and Panama • potential markets in South, Central and North America • future route to the Pacific Venezuela Panama Brazil Ecuador Benefits • abundant resources guarantee self-sufficiency while allowing exports • integration would allow seasonal stability of supply
A new policy is fully in place Hydrocarbons Policy Fiscal terms Enviromental legislation Royalties New contract
Main Characteristics of the Colombian Energy Sector Electricity
Outrageous comparative advantages • Strategically positioned within the Andean Region, North and South America. • A Hydrocarbon and Energy Hub Geography • Diversified Energy Resources: • Gas,Coal, Fuel Oil, Wind, Hydro, Solar Energy • Surplus of Installed Capacity • National and International Transmission Networks • Wide Coverage Distribution grids • Competition retail business Electricity • Defined responsibilities on Planning, Regulation, Operational, Control and Surveillance • Dynamic and mature regulation Institutional
A generation portfolio of 13.3 Gw to satisfy a demand of 47,019 GWh Installed capacity (13.3 GW) Demand (GWh) 48,000 47,000 Cogeneration 47,019 0,2% 46,000 45,772 45,000 44,000 Gas 44,511 27,8% 43,000 43,734 43,633 Hydro 43,206 63,8% 42,000 42,240 42,300 Other 41,000 5,2% 41,503 41,774 40,000 Coal 3,1% 39,000 38,000 1996 1998 1999 2001 2002 2004 1995 1997 2000 2003
12,266 km of national transmission network (500 and 230 Kv) and 167 km of international grid to export 621 MW Venezuela - Colombia • Cuestecitas - Cuatricentenario230kV - 150 MW – 42 km • Zulia - La Fría115kV - 36 MW – 25 km • Corozo - San Mateo230kV - 150 MW - 9. 2 km Colombia - Ecuador National Transmission Grid • Panamericana - Tulcán138kV - 35 MW – 1998 15. 5 Km • Jamondino - Pomasqui230 kV - 250 MW – 2003 75 km 10,816 Km of 220-230Kv 1,450 Km of 500Kv
The Reestructuration of the energy sector began in 1994 Domestic TransmissionNetworks El Niño 1992-1993Drought-Rationing El Niño 1997 - 1998No rationing Increase of Restrictions on the system Constitutional Reform Law 142-Public Services Law 143-Electricity Andean CAN Rules 536 Attacks to Grid Infrastructure 1967... 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000... 2003 Before After… POOL- SPOT MARKET Institutional Development Market End-Users • Competition • Private Participation • Hydraulic and Thermo Balance • Generation Availability • Peak Demand • Quality of service standards-Frecuency and number of interruptions • Consolidation of regulatory, planning and operational institutions. • Increase coverage rate of electric service • Evolution of tariffs • Cross- subsidies • Non-regulated users
The scheme has attracted investors and competition Traders Generators Distributors Transporters Public Private Number of agents per activity Both
Potential power generation projects Hydro (7474MW) Thermal (1526MW)
Coal production(MT) and exports (US$M) COAL PRODUCTION COAL EXPORTS US$M
EL CARMEN - CATATUMBO 8o SAN LUIS AMAGA – VENECIA - BOLOMBOLO BOGOTA 4o EL HOYO - LIMONCITO 0o 4o 76o 72o 68o New projects in coal Existing prooved reserves: 7,000 MT • Strategic location of mineral deposits to be explored and exported to international • Markets. Coal Projects: • Amagá– Venecia – Bolombolo, 139 * • El Carmen – Catatumbo, 61 * • El Hoyo - Limoncito, 25 * • San Luis, 122 * • 17,000 MT of Potential Coal Resources
Colombia´s Oil and Gas Sector: Attractive and Surprising Opportunities Go For It Thank You