Ecopetrol Targets Strong 2025 Investment Execution Despite Profit Drop

Colombia’s state-run oil company Ecopetrol is preparing to close 2025 with a solid investment performance, projecting about $6.3 billion in executed spending, or roughly 90% of its annual target, according to company executives who spoke with Reuters. This outlook comes even as the firm reported a sharp decline in quarterly profit, reflecting weaker sales volumes and lower crude prices.

Ecopetrol posted a 30% year-on-year drop in net profit for the third quarter, totaling 2.56 trillion pesos ($689 million). Production also slipped slightly, falling 0.4% to 751,500 barrels of oil equivalent per day, compared to the same period in 2024. Despite these challenges, the company continues to advance its exploration plans.

Hydrocarbons vice president Rafael Guzman confirmed that Ecopetrol has already achieved its goal of drilling ten exploratory wells in 2025, with the possibility of completing five additional wells before year-end. He noted that three wells currently in progress are expected to be finished by December, and the company is evaluating opportunities to drill a couple more depending on conditions.

Chief financial officer Camilo Barco said the investment plan is 72% executed so far and on track to reach close to 90% execution by the end of the year. While some under-execution is possible, the company estimates it will be limited to about 5%, supported by a budget that includes $500 million in flexibility. Ecopetrol also expects to finish 2025 with a cash position between 12 trillion and 14 trillion pesos, strengthening its financial footing.

Looking ahead, the company plans to announce a new partner to boost production at one of its fields before year-end. Vice president of strategy Julian Fernando Lemos said the partnership will follow a structure similar to Ecopetrol’s previous collaboration with Parex, aiming to increase activity in areas with strong potential for recovery, higher output, and reserve additions. While confidentiality agreements limit details, Lemos emphasized the company’s strategy of attracting investment to fields that are not currently a primary focus for Ecopetrol but hold significant long-term value.