Ecuador's state oil company Petroecuador declares force majeure on its operations
The state-owned SOTE and OCP oil pipelines suspended pumping earlier this week to protect infrastructure threatened by heavy rains, which sped up erosion in the Amazonian province of Napo.
"Force majeure has been declared so that (Petroecuador) can act with all the tools necessary," Petroecuador chief Leonard Bruns said.
The company also said it had begun shutting down oil wells in the region due to the pause in transport operations.
Ecuador's crude production fell some 133,000 barrels per day (bpd) since the operations were paused, according to a report published on Thursday by the nation's Hydrocarbons Regulation and Control Agency.
The erosion, which began along the Coca River in 2020, has since expanded, damaging oil infrastructure and roadways and now threatening the Coca Codo Sinclair hydroelectric plant, the largest in Ecuador.
Authorities said temporary bypasses are under construction on both pipelines to resume operations, while studies have been authorized for permanent rerouting to avoid the impacted area.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Reuters
08-08-2025
- Reuters
Exxon starts production at fourth floating oil vessel in Guyana
GEORGETOWN, Aug 8 (Reuters) - An Exxon Mobil-led (XOM.N), opens new tab consortium began production at a fourth floating production, storage and offloading vessel at the Stabroek Block in Guyana on Friday, bringing total capacity from the oilfield to over 900,000 barrels of oil per day, Exxon said. The floating vessel named One Guyana brings the joint venture a step closer to its target of 1.7 million barrels of oil equivalent per day by 2030 from the prolific block, one of the biggest oil discoveries in years that has driven soaring profits for the joint venture. Chevron closed its acquisition of Hess, which held a 30% stake in the consortium, in July after prevailing in a lengthy legal battle with Exxon that centered on access to the block, where more than 11 billion barrels of recoverable oil and gas have been found since 2015. The U.S. oil producer is now a partner alongside Exxon and China's CNOOC, which holds 25%. The vessel allows the consortium, which controls all oil output in Guyana, to develop the Yellowtail and Redtail fields. Oil produced from One Guyana will be marketed as Golden Arrowhead crude, Exxon said. The start-up of One Guyana is four months ahead of schedule, Exxon added.
Reuters
07-08-2025
- Reuters
Peru's Petroperu eyes pipeline link for Ecuador oil
LIMA, Aug 7 (Reuters) - State-run Petroperu is working on a framework agreement with its counterpart Petroecuador to connect oil wells in Ecuador with Peru's northern pipeline, its chairman said on Thursday. The agreement, which is being drafted by Peru's Ministry of Energy and Mines, would include investment and execution commitments for an approximately 60-kilometer (37-mile) connection line in an Amazonian region on the countries' shared border. "The exact investment for this connection and how it will be financed have yet to be defined," Petroperu Chairman Alejandro Narvaez said. Speaking at a conference with the foreign press, the executive stated that the project, after a development period, would allow Ecuadorean crude to reach the newly expanded 95,000 barrel-per-day Talara refinery in northern Peru via the pipeline. The Peruvian oil company, which is navigating a crisis after the larger-than-planned investment in Talara, expects to post a profit of $103 million next year, recovering from an estimated loss of $223 million for 2025. Petroperu CEO Oscar Vera, speaking at the same conference, said Petroecuador would likely make the majority of the investment. "It is of greater interest to them, because it is very costly for Petroecuador to transport crude using their current methods," Vera said. Petroecuador did not immediately respond to a request for comment. Peru's 1,100-kilometer pipeline, which has suffered frequent attacks from local communities that have halted its activities, is currently operational but is not in service as it has no active transport contracts with area producers. Separately, Petroperu announced earlier this week that it had exported approximately 137,500 barrels of commercial jet fuel to Ecuador from Talara.
Reuters
07-08-2025
- Reuters
UK's Harbour Energy lifts cash flow and production forecast after Wintershall deal
Aug 7 (Reuters) - North Sea-focused Harbour Energy (HBR.L), opens new tab raised its annual free cash flow and production forecast on Thursday, bolstered by robust production following the integration of the Wintershall Dea portfolio and cost control in the first half of the year. The firm has been shifting capital away from the UK and focusing on international assets for future investments, after the UK's tax changes in late 2024 removed incentives for reinvestment. Harbour had said in May that it now counts Norway as its largest producing country, following the acquisition of German group Wintershall Dea's assets. The company expects to record free cash flow of $1 billion in 2025, up from the $900 million it previously expected. It also raised the lower end of its annual production outlook range to 460,000-475,000 barrels of oil equivalent per day, from 455,000-475,000 barrels of oil equivalent per day expected earlier.
