WASHINGTON, Jan 19 - The U.S. Export-Import said on Tuesday it has made a preliminary $1 billion commitment to help finance exports of U.S. and goods services to Colombia's national oil company, Ecopetrol SA ECO.CN.
"This preliminary commitment will help Ecopetrol expand its production base, contribute to Colombia's economic growth, and offer enormous opportunities to U.S. exporters to provide goods and services to this important market," Exim Bank Chairman Fred Hochberg said in a statement.
Ecopetrol plans to significantly increase petroleum production to 1 million barrels of oil equivalent per day by 2015, Eximbank said.
The company can draw on the Eximbank commitment over the next two years to help develop its oil and gas reserves, improve existing oil field production and and upgrade refineries, Eximbank said.
Individual transactions under the package of medium- and long-term loans and loan guarantees still have to be submitted to the Eximbank board of directors for approval.
Hochberg was in Bogota on Tuesday to meet with Colombian President Alvaro Uribe and other senior Colombian government officials.
The Eximbank package will help in the Cartagena and Berrancabermeja refinery modernization projects, valued at over $6.5 billion and the largest and most complex industrial projects Colombia has undertaken in many decades, Ecopetrol President Javier Gutierrez said in a statement.
"Ecopetrol will be able to process heavy crude and significantly increase its overall production capacity. Furthermore, Ecopetrol is committed to excellent environmental best practices and is actively developing bio-fuels," he said.
The Eximbank support will also enable Ecopetrol to pursue the use of clean technologies in the production of gasoline and diesel fuels and significantly upgrade and streamline production processes, Gutierrez said.
"This preliminary commitment will help Ecopetrol expand its production base, contribute to Colombia's economic growth, and offer enormous opportunities to U.S. exporters to provide goods and services to this important market," Exim Bank Chairman Fred Hochberg said in a statement.
Ecopetrol plans to significantly increase petroleum production to 1 million barrels of oil equivalent per day by 2015, Eximbank said.
The company can draw on the Eximbank commitment over the next two years to help develop its oil and gas reserves, improve existing oil field production and and upgrade refineries, Eximbank said.
Individual transactions under the package of medium- and long-term loans and loan guarantees still have to be submitted to the Eximbank board of directors for approval.
Hochberg was in Bogota on Tuesday to meet with Colombian President Alvaro Uribe and other senior Colombian government officials.
The Eximbank package will help in the Cartagena and Berrancabermeja refinery modernization projects, valued at over $6.5 billion and the largest and most complex industrial projects Colombia has undertaken in many decades, Ecopetrol President Javier Gutierrez said in a statement.
"Ecopetrol will be able to process heavy crude and significantly increase its overall production capacity. Furthermore, Ecopetrol is committed to excellent environmental best practices and is actively developing bio-fuels," he said.
The Eximbank support will also enable Ecopetrol to pursue the use of clean technologies in the production of gasoline and diesel fuels and significantly upgrade and streamline production processes, Gutierrez said.
