1. Ministerio de Minas y Energía República de Colombia

2. Agenda
Characteristics of the Oil / Gas Sector
Characteristics of the Electric Sector
Characteristics of the Coal Sector

3. Main Characteristics of the Colombian Energy Sector
Oil /Gas

4. Reserves and world-class discoveries
18 sedimentary basins:
Oil Reserves:
1.473 million barrels
Gas Reserves:
6,7 trillion cubic feet of gas
World Class Discoveries:
La Cira- Infantas (500 MMBP) ’s
Ballena-Chuchupa (5 TCF) ’s
Caño Limón (1000 MMBP) ’s
Cusiana (900 MMBP) ’s
Cupiagua (700 MMBP) ’s
Average lifting cost: US $2.90 / Barrel

5. Main pipelines Ballena - Barranca Atlantic Coast Gas Pipeline
575 Km. Long
200 MMCFG
Atlantic Coast
Gas Pipeline
> 200 MMCFG
Caribbean Sea
Caño Limón - Coveñas
oil pipeline
771 Km. Long
250 KBOD Capacity
Throughput 1999:
BOD
Coveñas
Venezuela
Ayacucho
Orú
“OCENSA” oil pipeline
800 Km. Long
600 KBPD Capacity
Throughput 1999:
BOD (100% of available Production)
Caucasia
Toledo
Samoré
Caño Limón
Banadia
Vasconia
El Porvenir
La Belleza
Cusiana-Cupiagua
Miraflores

6. Natural Gas in Colombia
Demand (mcfd)
Guajira
2,231 BCF
10 BCF
Cusiana
300 BCF
3894 BCF
20 BCF
Total reserves : 6,7 TPC
Source: UPME

7. Natural gas business opportunities
Export potential
Gulf of Mexico
current trade potential with Venezuela and Panama
potential markets in South, Central and North America
future route to the Pacific
Venezuela
Panama
Brazil
Ecuador
Benefits
abundant resources guarantee self-sufficiency while allowing exports
integration would allow seasonal stability of supply

8. A new policy is fully in place
Hydrocarbons Policy
Fiscal terms
Enviromental
legislation
Royalties
New contract

9. Main Characteristics of the Colombian Energy Sector
Electricity

10. Outrageous comparative advantages
Strategically positioned within the Andean Region, North and South America.
A Hydrocarbon and Energy Hub
Geography
Diversified Energy Resources:
Gas,Coal, Fuel Oil, Wind, Hydro, Solar
Energy
Surplus of Installed Capacity
National and International Transmission Networks
Wide Coverage Distribution grids
Competition retail business
Electricity
Defined responsibilities on Planning, Regulation, Operational, Control and Surveillance
Dynamic and mature regulation
Institutional

11. Installed capacity (13.3 GW)
A generation portfolio of 13.3 Gw to satisfy a demand of 47,019 GWh
48,000
Demand (GWh)
Installed capacity (13.3 GW)
47,000
Cogeneration
47,019
0,2%
46,000
45,000
45,772
44,000
44,511
Gas
27,8%
43,000
43,633
43,734
Hydro
43,206
42,000
63,8%
42,300
42,240
Other
41,000
5,2%
41,774
41,503
40,000
Coal
39,000
3,1%
38,000
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004

12. 12,266 km of national transmission network (500 and 230 Kv) and 167 km of international grid to export 621 MW
Venezuela - Colombia
Cuestecitas - Cuatricentenario 230kV MW – km
Zulia - La Fría 115kV - 36 MW – km
Corozo - San Mateo 230kV MW km
Colombia - Ecuador
National Transmission Grid
Panamericana - Tulcán 138kV - 35 MW – Km
Jamondino - Pomasqui 230 kV MW – km
10,816 Km of Kv
1,450 Km of 500Kv

13. The Reestructuration of the energy sector began in 1994
Domestic TransmissionNetworks
El Niño Drought-Rationing
El Niño No rationing
Increase of Restrictions on the system
Constitutional Reform
Law 142-Public Services Law 143-Electricity
Andean CAN Rules 536
Attacks to Grid Infrastructure
1991
1992
1993
1994
1995
1996
1997
1998
1999
2003
Before
POOL- SPOT MARKET
After…
Institutional Development
Market
End-Users
Competition
Private Participation
Hydraulic and Thermo Balance
Generation Availability
Peak Demand
Quality of service standards-Frecuency and number of interruptions
Consolidation of regulatory, planning and operational institutions.
Increase coverage rate of electric service
Evolution of tariffs
Cross- subsidies
Non-regulated users

14. The scheme has attracted investors and competition
Traders
Generators
Distributors
Transporters
Public
Private
Number of agents per activity
Both

15. Potential power generation projects
Thermal (1526MW)
Hydro (7474MW)

16. Main Characteristics of the Colombian Energy Sector
Coal

17. Coal resources

18. Coal production(MT) and exports (US$M)
COAL EXPORTS
US$M

19. Amagá– Venecia – Bolombolo, 139 *
New projects in coal
Existing prooved reserves: 7,000 MT 8o 4o 0o
76o
72o
68o
EL CARMEN - CATATUMBO
SAN LUIS
AMAGA – VENECIA - BOLOMBOLO
EL HOYO - LIMONCITO
BOGOTA
Strategic location of mineral deposits to be explored and exported to international
Markets. Coal Projects:
Amagá– Venecia – Bolombolo, 139 *
El Carmen – Catatumbo, 61 *
El Hoyo - Limoncito, 25 *
San Luis, 122 *
17,000 MT of Potential Coal Resources

20. Colombia´s Oil and Gas Sector: Attractive and Surprising Opportunities
Go For It
Thank You