Ecopetrol expands footprint to Asia; opens first office in Singapore
Singapore, 27 September 2022 – The Ecopetrol Group, Colombia’s largest company and
one of the leading energy groups in Latin America, officially launched their office in
Singapore during APPEC 2022, the premier oil and gas industry meeting in the Asia-Pacific
region.
In four months since operations began, the subsidiary has secured sales that surpass
initially forecasted plans by 55%. This has been possible thanks to a specialized regional
on-site team that has allowed the Company to seize opportunities in real time, develop close
relationships with current and potential clients, as well as gain a better understanding of the
local environment.
“We are pleased to continue moving forward with Ecopetrol Group’s international operations
plan through the opening of this new office in Singapore. Asia is our main export destination,
and a physical presence here allows us to develop closer relationships with our customers
and capture more and better opportunities,” announced Felipe Bayón, CEO of the Ecopetrol
Group, during the first customer relations event organized by the company in Asia.
Asia, Ecopetrol’s main market
Currently, 60% of Ecopetrol Group’s crude oil sales are exported to Asia.
Ecopetrol Trading Asia markets a volume of approximately 6 to 8 million barrels of crude oil
per month, mostly of the crude blends Ecopetrol Castilla Blend®, Ecopetrol Mares Blend®
and Ecopetrol Apiay Blend® from the Llanos and Mid-Magdalena production fields, which
have garnered an exceptional positioning in international markets.
Sales to this continent have doubled over the last five years. During the first semester of
2022, 153,000 barrels per day were exported mainly to China, India, and Brunei. Key
challenges that the Singapore office face are their entry to new markets in the region and
the ambition to increase sales volumes to new alliances, such as Japan and South Korea.
Ecopetrol also plans to venture into marketing third-party barrels and crude oil from sources
other than Colombia, for example, from operations in the Brazilian offshore and the Permian
Basin in the United States.
Another goal set for the Singapore office is to contribute to the decarbonization of the
Ecopetrol Group’s commercial activity through the sale of carbon offset crude oil cargoes.
This is consistent with the Group’s energy transition goals and 8 commitments to achieve
net zero emissions by 2050 (scopes 1 and 2). To date, the Group has sold two cargoes of
carbon offset crude oil out of the four planned for 2022.
Ecopetrol Trading Asia has also closed several contracts with well-known companies in
India and China, owing to an extensive networking agenda seeking new business
opportunities with state organizations and various clients in core Asian markets.
