Ecopetrol, Petrobras announce joint venture to market natural gas from Colombia's Sirius project

By Nelson Bocanegra

BOGOTA, Oct 30 (Reuters) - Colombia's state-run energy company Ecopetrol and Brazil's state-run oil firm Petrobras announced on Thursday a partnership for the joint marketing of natural gas from Colombia's Sirius project.

The Sirius block is owned by Ecopetrol, which holds a 55.6% stake, while Petrobras owns the remaining 44.4% and acts as the project's operator. The project, which has an estimated 6 billion cubic feet of gas and a projected investment of $5 billion, is expected to begin operation between 2029 and 2030.

Ecopetrol President Ricardo Roa said the two companies have agreed to market up to 249 million cubic feet per day for a period of up to six years. "This mechanism seeks to guarantee the efficient, public, and objective allocation of natural gas from the Sirius field," he added.

The project is key to increasing Colombia's limited gas reserves, as the country has been forced to increase fuel imports to meet domestic demand.

Development of the project is ongoing. In mid-October, Petrobras Colombia's president, Alcindo Moritz, stated that about 50% of the required "prior consultations" had been completed. The number of these consultations increased from an initial 116 to 120 in September.

In Colombia, a prior consultation is a fundamental right that allows ethnic communities to participate in decision-making on projects that may directly affect their territories, culture and rights.