Ministry of Mines and Energy of Brazil authorizes the transfer of 10% stake in Saturno block to Ecopetrol
July 18, 2019 at 11:47 AM EDT
BOGOTÁ, Colombia, July 18, 2019 /PRNewswire/ -- Ecopetrol S.A. (BVC: ECOPETROL; NYSE: EC) reports that the Ministry of Mines and Energy of Brazil has authorized the transfer of a 10% stake in the Saturno block, located in the Santos basin, to its subsidiary, Ecopetrol Óleo e Gas Brasil. Previously, this percentage was equally held by Shell Brasil Petróleo Ltda and Chevron Brasil Óleo e Gas Ltda.
The authorization was published in the Diario Oficial de Brasil on July 17, 2019.
As reported on December 20, 2018, Ecopetrol S.A. entered into an agreement with both companies to gain a 10% interest in the Saturno block, which was finally approved by the Ministry of Mines and Energy of Brazil. The block was assigned to Shell and Chevron last September 28th in the Fifth Pre-Salt Round held by the Brazilian National Agency of Petroleum, Natural Gas and Biofuels (ANP).
Ecopetrol holds a 10% interest in the block, while Shell, as operator, and Chevron each hold a 45% interest.
This block adds an additional Pre-Salt block, as Ecopetrol already holds a 20% stake in Pre-Salt block, Pau-Brazil, in partnership with CNOOC and BP. With these two Pre-Salt blocks, Ecopetrol has a presence in five blocks in Brazil, located in the Santos, Foz de Amazonas, Potiguar and Ceará basins.
This release contains statements that may be considered forward looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. All forward-looking statements, whether made in this release or in future filings or press releases or orally, address matters that involve risks and uncertainties, including in respect of the Company's prospects for growth and its ongoing access to capital to fund the Company's business plan, among others. Consequently, changes in the following factors, among others, could cause actual results to differ materially from those included in the forward-looking statements: market prices of oil & gas, our exploration and production activities, market conditions, applicable regulations, the exchange rate, the Company's competitiveness and the performance of Colombia's economy and industry, to mention a few. We do not intend, and do not assume any obligation to update these forward-looking statements.
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SOURCE Ecopetrol S.A.