Colombia’s crude oil
production is expected to decline 1.7 percent this year from
last year’s level. A further drop of 6.8 percent is expected in 2010 as
output at mature oil fields continues to decline, the U.S.
government’s energy forecasting agency said on Friday.
“Colombia still faces many challenges in its upstream oil
sector, including a lack of proven oil reserves and steep
decline rates at its largest oil fields,” the U.S. Energy
Information Administration said in its latest update on
Colombia’s energy sector.
The EIA pointed out that the rise in Colombia’s oil
production last year was due mainly to higher world crude
prices, which made it more profitable to invest in marginal oil
fields.
“It is unclear if the recent investment flows can be
maintained in the near term due to the weakening global
economy,” the agency said.
Colombia produced 600,000 barrels of oil a day in 2008, up
60,000 barrels per day (bpd) from the year before, according to
the EIA.
The agency said it expects the country’s oil output this
year to fall to 590,000 bpd and then to 550,000 bpd in 2010.
Colombia exports about half its oil production, with the
biggest share of those shipments going to United States. (Reuters)
