Colombia Eyes Licensing Round Results in November

South American country looks to revitalize its offshore oil industry by offering 32 new blocks for exploration

Colombia Map

Colombia is expected to soon reveal the schedule for its 2021 licensing round offering 32 blocks for oil and gas exploration, with results expected in November. In 2020, the nation awarded three areas to Canada-based companies Parex Resources and Canocol Energy despite the double-whammy of crashing crude demand and a global pandemic.

With oil prices on the mend and an aggressive vaccine dissemination program, Colombia is hopeful that interest in its oil and gas acreage returns to pre-pandemic levels. The National Hydrocarbon Agency (ANH) expects to award at least half of the available tracts, which are part of more than 500 areas identified by the ANH in the country and include mature fields, emerging basins, and bordering areas.

Exploration in Colombia fell dramatically in 2020 with only 18 wildcats drilled vs. the 45 planned, with most of the expected investment deferred to 2021–2022.

While the country has allowed pilot projects testing for unconventional oil, there currently is a ban on fracking operations in the country.