EC Ecopetrol SA

Regulatory News:

Total Gabon (Paris:EC):

Main Financial Indicators

                Q3 16       Q2 16      

Q3 16vs.Q2 16

      9M 16       9M 15      

9M 16vs.9M 15

Average Brent price       $/b       45.9       45.6       +1%       41.9       55.3       -24% Average Total Gabon crude price       $/b       41.2       40.8       +1%       36.4       50.5       -28% Crude oil production from fieldsoperated by Total Gabon       kb/d1       55.8       55.0       +1%       55.2       56.2       -2% Crude oil production from Total Gabon interests2       kb/d       47.9       46.0       +4%       47.0       46.3       +2% Sales volumes       Mb3       4.11       4.33       -5%       13.35       11.99       +11% Revenues       $M       191       194       -2%       546       661       -17% Funds generated from operations       $M       53       37      

+43%

      104       142      

-27%

Capital expenditures       $M       35       37       -5%       108       204       -47% Net income (loss)       $M       11       4       x3       (1)       (35)       N/A

1 Thousand barrels per day.2 Including tax oil reverting to the Republic as per production sharing contracts.3 Million barrels.

Third-Quarter 2016 Results

Selling Prices

In third-quarter 2016, Brent averaged $45.9 per barrel, up 1% from $45.6 in the second quarter. The selling price of the Mandji and Rabi Light crude oil grades marketed by Total Gabon averaged $41.2 per barrel during the period, an increase of 1% from $40.8 in the previous quarter.

Production

Total Gabon’s equity share of operated and non-operated oil production1 rose by 4% to 47,900 barrels per day in third-quarter 2016, versus 46,000 barrels per day in the second quarter. The increase was mainly due to:

• Successful coiled tubing interventions on Anguille Nord Est (ANE) and choke opening on well ANE008.
• Lower-than-expected production losses following the second-quarter shut-in of Torpille for scheduled work.
• Improved facility availability.
• Well workovers on the Rabi Kounga license.

These factors more than offset the natural decline in fields.

Revenues

Revenues fell 2% to $191 million in third-quarter 2016, down $3 million from $194 million in the second quarter. This decrease resulted from the decline in volumes sold over the period due to the lifting schedule (down $9 million). It was partly offset by higher selling prices and services provided to partners (up $2 million and $3 million respectively).

Funds Generated from Operations

Funds generated from operations amounted to $53 million in third-quarter 2016, versus $37 million in the second quarter. The increase was mainly due to:

• Higher selling prices and production (including inventory).
• One-off financial expenses incurred in the second quarter to renew the credit facility.

Capital Expenditures

Third-quarter 2016 capital expenditures were $35 million, down from $37 million in the second quarter. Outlays mainly concerned the following projects:

• Completion of coiled tubing interventions on Anguille and Torpille.
• Work to improve the integrity and longevity of offshore facilities on Anguille, Torpille and Grondin.

Net Income

The company reported a net income in third-quarter 2016 of $11 million, compared to a second-quarter net income of $4 million. This $7 million increase was mainly due to:

• Higher selling prices and production, including for inventory.
• One-off financial expenses incurred in the second quarter to renew the credit facility.

1 Including tax oil reverting to the Republic as per production sharing contracts.

Nine-Month 2016 Results

Selling Prices

Brent averaged $41.9 per barrel in the first nine months of the year, down 24% from $55.3 per barrel in the first nine months of 2015. The selling price of the Mandji and Rabi Light crude oil grades marketed by Total Gabon averaged $36.4 per barrel over the period, a decrease of 28% from $50.5 per barrel in the prior-year period. This decline, greater than that of Brent, was due to lower prices for these grades of crude oil.

Production

Total Gabon's equity share of operated and non-operated oil production1 averaged 47,000 barrels per day during the first nine months of 2016, compared to 46,300 barrels per day in the prior-year period. The 2% increase was mainly due to:

• Improved availability of the Anguille and Torpille wells (problems with tubing deposits on AGMN in 2015 and the loss of the PG2-CE electrical cable in 2015) and of the Anguille export pumps.
• Successful coiled tubing interventions on Anguille Nord Est (ANE) and choke opening of well ANE008 in the second quarter of 2016.
• Well workovers on the Rabi Kounga license.

These factors were partly offset by:

• The natural decline in fields.
• The sale of Mboga.
• The planned shut-in of Coucal/Avocette in February 2016.

Revenues

Revenues for the first nine months of 2016 amounted to $546 million, down 17%, or $115 million, from $661 million in the same period of 2015. The contraction resulted primarily from lower selling prices of the crude oil grades marketed by Total Gabon (down $179 million), but was partly offset by higher volumes sold over the period due to the lifting schedule and by services provided to third parties (up $59 million and $5 million respectively).

Funds Generated from Operations

Funds generated from operations slid 27% to $104 million for the period, versus $142 million in the first nine months of 2015. The decline was primarily due to lower revenues, and was partly offset by lower operating costs as a result of the cost-cutting program implemented by the Company.

Capital Expenditures

In the first nine months of the year, capital expenditures totaled $108 million, down 47% from $204 million in the prior-year period. Outlays mainly concerned:

• The drilling program on the Gonelle field.
• Coiled tubing interventions on Anguille and Torpille.
• Work to improve the integrity and longevity of offshore facilities on Anguille, Torpille and Grondin and the onshore Cap Lopez terminal.
• Completion of the revamping of Pageau (Torpille Area).
• Well workovers on the Rabi license.
• Geophysical and development surveys and studies.

Net Income

The company reported a net loss of $1 million in the first nine months of the year, down $34 million versus a net loss of $35 million in the prior-year period. The main reasons for the improvement were:

• Higher production.
• Lower production costs as a result of the cost-cutting program implemented by the Company.
• The capital gain realized from the sale of Mboga.

These factors were partly offset by:

• Lower selling prices.
• An increase in depreciation and amortization expense following the commissioning of work-in-progress.
• One-off financial expenses incurred to renew the credit facility.

Highlights Since the Beginning of Third-Quarter 2016

Board of Directors Meeting on August 30, 2016

The Board of Directors met on August 30, 2016 and reviewed the financial accounts for first-half 2016. The Company's Interim 2016 Financial Report for the period ending June 30 was published on its website on the same date.

Health, Safety and Environment

On November 10, 2016, Total Gabon reached 627 consecutive days worked without a lost-time injury.

Operations

Coiled Tubing Interventions

The coiled tubing interventions were successfully completed on August 2. Twelve wells were involved: seven on ANE, three on AGM and two on TRM. The related costs were 25% lower than budgeted.

Well Abandonment

Twelve wells were abandoned: five on the Pageau field, four on the Gonelle field and three on the Mandaros field. The Setty drilling rig was released on August 31, 2016.

1 Including tax oil reverting to the Republic as per production sharing contracts.

Société anonyme incorporated in Gabon with a Board of Directors and share capital of $76,500,000Headquarters: Boulevard Hourcq, Port-Gentil, BP 525, Gabonese Republicwww.total-gabon.comRegistered in Port-Gentil: 2000 B 00011

View source version on businesswire.com: http://www.businesswire.com/news/home/20161111005446/en/

Media Contact in Gabon:Mathurin Mengue-BibangTel.: + 241 01 55 63 29