CEPSA, through its affiliate CEPSA Colombia S.A. it has been awarded four new Hydrocarbons Exploration & Production contracts located in the Llanos Basin in the central region of the country. Once the concession is formalized, the Company will have an upstream portfolio of 17 permits in Colombia situated throughout the aforementioned region and the Upper Magdalena River Valley.

During the licensing process known as Colombia Round 2008, CEPSA, in a consortium with the Canadian oil groups Meta Petroleum and Talisman, was awarded Blocks CPO 12 and CPO 14. Subsequently, in the Mini Round 2008, CEPSA Colombia was the successful bidder of Blocks LLA 22 and LLA 26, with a 100% working interest in both. With these 4 new contracts, involving additional investments estimated to amount to over $50 million and which CEPSA Colombia expects to sign with the state hydrocarbons regulator, ANH, shortly, the Company will significantly broaden its exploration operations and presence in the country. Key exploratory activities entail the acquisition, processing and interpretation of an area measuring over 3,000 km2, conducted through various 3D seismic surveys and an extensive exploratory well drilling program.

These contracts come in addition to the recent acquisition of exploration and production rights in the Caracara Block in Colombia, where CEPSA already operates three fields with a total output of 20,000 BOPD.

Tags: CEPSA