https://www.miningweekly.com
Coal|Energy|Exploration|Export|Gas|Hydrocarbons|Mining|Power|Projects|Power Generation|Power-generation|Environmental|Infrastructure
Coal|Energy|Exploration|Export|Gas|Hydrocarbons|Mining|Power|Projects|Power Generation|Power-generation|Environmental|Infrastructure
coal|energy|exploration|export|gas|hydrocarbons|mining|power|projects|power-generation|power-generation-industry-term|environmental|infrastructure

Colombia in talks with coal producers for exporting extra supplies - Minister

An image of the Cerrejon coal mine

Glencore's Cerrejon coal mine

9th March 2022

By: Reuters

  

Font size: - +

HOUSTON - Colombia's government has begun talks with the nation's coal producers to increase exports after requests for extra supplies by European, Central American and Caribbean countries, the Minister of Mines and Energy Diego Mesa told Reuters on Tuesday, as global energy flows are disrupted by the crisis in Ukraine.

Colombia's coal output was hit in 2020 by low demand and a long strike at a major mine. Energy producers in the country have been rushing to recover output since last year amid a rising need for fuels for power generation, especially in Europe.

"Since the Ukraine crisis, we have received urgent requests for facilitating coal sales to Poland, Ukraine through the World Bank, Central America and Dominican Republic," Minister Diego Mesa told Reuters on the sidelines of the CERAWeek by S&P Global conference in Houston. "We are in talks with the producers to identify any surplus."

The talks involve the Glencore-owned Cerrejon coal mine at Colombia's Guajira province and a unit of British miner Drummond, which operates coal projects near La Loma, also in the nation's north.

Colombia had received a similar request in September by the Dominican government to supply coal needed for power generation after a provider failed to fulfill a contract with the Caribbean nation, Mesa said.

After falling in 2020, Colombia's coal output rose 12% last year, and was expected to reach about 64-million tonnes a year this year. But the country could produce as much as 70-million tonnes a year amid higher global demand, the minister said.

Similar to the mining industry, Colombia's oil production is increasing this year after declining for two consecutive years. Output reached some 750 000 bpd in February, near its 780 000 bpd to 800 000 bpd goal for the last quarter, and 770 000 bpd goal for 2022.

"It was a hard hit," the minister said. "In this industry, shutting wells is easy but reopening them takes time".

Colombia wants to add 80 000 bpd to 100 000 bpd in the next 12 to 18 months," he said, adding that infrastructure limitations and environmental permits are holding back greater production.

Oil income will be welcome by Colombia, whose gets about 40% of its export revenue from hydrocarbons. "Following the pandemic, we need to recover our finances," Mesa said.

The Andean nation, who has signed 69 energy exploration and production contracts in recent years, hopes that investment for finding reserves, especially gas, will keep rising. Oil regulator ANH is adding emissions-reduction targets to competition for exploration and production blocks.

Edited by Reuters

Comments

Showroom

Yale Lifting Solutions
Yale Lifting Solutions

Yale Lifting Solutions is a leading supplier of lifting and material handling equipment in Southern Africa. Yale offers a wide range of quality...

VISIT SHOWROOM 
VEGA Controls SA (Pty) Ltd
VEGA Controls SA (Pty) Ltd

For over 60 years, VEGA has provided industry-leading products for the measurement of level, density, weight and pressure. As the inventor of the...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 03 May 2024
Magazine round up | 03 May 2024
3rd May 2024
Resources Watch
Resources Watch
2nd May 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.121 0.161s - 110pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: