Ecopetrol Announces Its Results for the Third Quarter of 2013
October 30, 2013 at 20:17 PM EDT
BOGOTA, Colombia, Oct. 30, 2013 /PRNewswire/ --
Ecopetrol S.A. (BVC: ECOPETROL; NYSE: EC; TSX: ECP) announced today its unaudited financial results, both consolidated and unconsolidated, for the third quarter of 2013, prepared and filed in Colombian pesos (COP$) in accordance with the Public Accountancy Legal Framework (Regimen de Contabilidad Publica, RCP) of Colombia's General Accounting Office.
Some figures in this release are presented in U.S. dollars (US$), as indicated. The financial results in the main body of this report have been rounded to one decimal place. Figures presented in COP$ billion are equivalent to COP$1 thousand million (COP$1,000,000,000). Additionally, some 2012 figures have been reclassified to be comparable to those of 2013.
Highlights of Ecopetrol S.A.'s financial results
 Thousands of barrels of oil equivalent per day
In the opinion of Ecopetrol S.A.'s CEO, Javier Gutierrez:
"In the third quarter of 2013, we obtained positive operating and financial results, driven by increasing levels of production, favorable hydrocarbon prices and the devaluation of the peso/dollar exchange rate. However, we continued to face a challenging environment mainly because of attacks on the transportation infrastructure and some communities blocking operations.
I would like to highlight the following aspects:
Hydrocarbon production reached a new record during this quarter, with an average of 800.4 mboed, which is mainly attributable to the growth of the Chichimene, Apiay, Quifa and Rubiales fields.
The Guainiz-1 well proved presence of hydrocarbons. This is the third discovery in block CPO-10, located in Meta Province in Colombia, in which Ecopetrol holds a 100% stake. The well produced crude of 14.4° API with a water cut of 8%. The discovery brings Ecopetrol's group success rate in Colombia to 83%, since the beginning of 2013.
Construction and line filling of the Bicentenario Oil Pipeline was completed. Additionally the company continued expanding other oil and product pipelines. Refining modernization projects advanced according to plans.
Financial results were the best of the past six quarters. I highlight the 22% growth in net income compared to the third quarter of last year and the EBITDA margin of 50% in both the quarter and the January-September period.
As I mentioned in the prior quarter, we continued implementing cost control initiatives in all segments of our operations, especially with respect to well maintenance, energy consumption, procurement, and refinery maintenance.
The company carried out successful bond offerings in the Colombian and international capital markets, raising approximately COP$5.6 trillion in favorable terms.
Regarding sustainability, for the third straight year we have been included in the Dow Jones Sustainability World index, and are among the top 10% of companies with the best sustainability performance out of a total of 2,500 publicly traded companies that are part of the Dow Jones world index.
To conclude, I would like to express my satisfaction and optimism given the results obtained in the quarter."
The complete report is available in www.ecopetrol.com.co
SOURCE Ecopetrol S.A.