Canada-based energy firm Drift Lake Resources Inc. said it will take a minority stake in a promising oil block in Colombia operated by another Canadian firm, Petrodorado Energy Ltd.
Under the agreement, Drift Lake unit Sintana will have a 30% stake in the 108,336 acre Talora block, which is located in central Colombia some 40 miles west of Bogota, in the Upper Magdalena Valley Basin.
Canadian firms in various sectors have been ramping up their dealings in Colombia over the past several years. A free trade agreement between Canada and Colombia took effect Monday while a U.S. free trade deal with Colombia remains stalled after years of debate.
The statement from Drift Lake said other oil fields in the region near the Talora block have proven successful, including the Guando field south of Talora that’s producing more than 20,000 barrels of oil per day.
The Guando field, which was discovered by Brazil’s state-controlled energy company Petrobras along with others in 2000, is one of the most notable fields in Colombia due to the shallow position, good quality medium-gravity oil and its close proximity to infrastructure and the populated areas near Bogota, it said.
