Colombia woos Shell, Petrobras, others with improved deepwater contracts

|By:, SA News Editor

Royal Dutch Shell (RDS.A, RDS.B), Petrobras (PBR), Anadarko (APC), Ecopetrol (EC), Repsol (REPYF, REPYY), and BG Group (BRGYY, BRGXF) have expressed interest in Colombian deepwater blocks after the country sweetened contract terms, according to the deputy energy minister.

Companies drilling in deep water now will be able to recover 200M barrels before the government begins taking a 30% royalty, with operators in ultra-deep water allowed 300M barrels.

Colombia will auction 13 blocks in this year’s bidding round, three located off the Pacific coast and 10 in the Caribbean.