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Business News Americas: Shell to restart E&P activities in country – Colombia

Colombia’s state oil company Ecopetrol and multinational Shell have signed a contract to explore jointly the Caño Sur block in Colombia’s Llanos Orientales region, Ecopetrol said in a statement.

The block measures 653,662ha and is southeast of the city of Villavicencio.

State hydrocarbons regulator ANH approved the contract and each company will control a 50% stake in the block.

Ecopetrol will operate the block during the exploratory stage, according to the statement.

Seismic information will first be collected and an exploratory well will be drilled in 2008, according to the statement.

The activities are slated to begin in the first quarter of 2008, an Ecopetrol spokesperson told BNamericas.

“Shell had worked in Colombia before, but it has been 10 years since they worked in exploration and seven since they were involved in production,” the official said.

“Shell had been the only top oil company that was not operating in Colombia. BP is here, as is Exxon and Chevron,” the official said.

Shell sold in 2005 its service stations in Colombia to Brazil’s Petrobras.

The Llanos Orientales region is the most productive hydrocarbons area in Colombia, according to the statement.

By  Nathan Crooks
Business News Americas
Published: Tuesday, July 17, 2007 15:37 (GMT -0400) and its sister websites,,,,, and are all owned by John Donovan. There is also a Wikipedia article.

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