BOGOTA, Colombia, Feb. 21, 2017 /CNW/ -- Ecopetrol S.A. (BVC:
ECOPETROL; NYSE: EC) ("Ecopetrol" or the "Company") announced today
its proven reserves (1P, according to the international
designation) of crude oil, condensate and natural gas owned by the
company, including its interest in affiliates and subsidiaries, as
of December 31, 2016. The reserves
were estimated based on the U.S. Securities and Exchange Commission
(SEC) standards and methodology. 99% of them were audited by two
well-known specialized independent companies (Ryder Scott Company
and DeGolyer and MacNaughton).
Ecopetrol's Proven net hydrocarbon reserves were 1,598 million
barrels of oil equivalent (mmboe) at the close of 2016, a 14%
reduction compared with 1,849 mmboe at the end of 2015. It is
estimated that price was the cause of most of the negative impact
on proven reserves (-202 mmboe). In 2016, the SEC price used for
the valuation had a 20% decrease compared to 2015, from
US$55.57 per barrel Brent to
US$44.49 per barrel and a 56%
decrease compared to 2014, which was US$101.80 per barrel.
This effect was partially offset by the addition of 186 mmboe,
attributable to continued optimization of operating costs, higher
efficiencies, new drilling projects as planned in the
Palagua-Caipal fields and extensions of the proven area in fields
such as Castilla, Rubiales and Chichimene, among others. The
reserve replacement ratio, excluding price effect, was 79%. By
including the price factor, the reserve replacement ratio stands at
-7%. The reserves/production ratio (average life of reserves) was
6.8 years.
Fields operated directly by Ecopetrol as Rubiales and
Chichimene, presented positive reviews of reserves due to good
performance in production and optimization of their conditions,
among others. The 95% of proven reserves are owned by Ecopetrol
S.A., while Hocol, Ecopetrol América and Equión and Savia Perú
contribute 5%.
Ecopetrol's proven
reserves as of December 31 of 2016
|
|
Proven Reserves
(1P)
|
Oil
Equivalent
(MMBOE)
|
Proved Reserves as of
Dec 31 of 2015
|
1,849
|
Production
2016
|
-235
|
Hydrocarbon Price
Effect
|
-202
|
Cost optimization,
management and others
|
186
|
Proved Reserves as
of Dec 31 of 2016
|
1,598
|
This release contains statements that may be considered
forward looking statements within the meaning of Section 27A of the
U.S. Securities Act of 1933 and Section 21E of the U.S. Securities
Exchange Act of 1934. All forward-looking statements, whether made
in this release or in future filings or press releases or orally,
address matters that involve risks and uncertainties, including in
respect of the Company's prospects for growth and its ongoing
access to capital to fund the Company's business plan, among
others. Consequently, changes in the following factors, among
others, could cause actual results to differ materially from those
included in the forward-looking statements: market prices of oil
& gas, our exploration and production activities, market
conditions, applicable regulations, the exchange rate, the
Company's competitiveness and the performance of Colombia's economy and industry, to mention a
few. We do not intend, and do not assume any obligation to update
these forward-looking statements.
For further information, please contact:
Head of Corporate Finance and Investor Relations
María
Catalina Escobar
Phone: (+571) 234 5190
E-mail: investors@ecopetrol.com.co
Media Relations (Colombia)
Jorge Mauricio Tellez
Phone: + 571-234-4329
e-mail: mauricio.tellez@ecopetrol.com.co
Logo - http://photos.prnewswire.com/prnh/20090209/ARM001LOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/2016-ecopetrols-proven-reserves-are-1598-million-barrels-of-oil-equivalent-this-valuation-was-made-at-a-regulatory-price-of-usd-445--barrel-lower-prices-negatively-impacted-202-million-barrels-300410759.html
SOURCE Ecopetrol S.A.