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Gustavo Petro Urges Ecopetrol to Divest US Operations for Clean Energy Investment

Colombian President Gustavo Petro has urged Ecopetrol to sell its US operations due to his government’s anti-fracking stance. While Ecopetrol extended its joint venture with Occidental Petroleum, Petro wants to use the proceeds for clean energy investments in Colombia. The future direction of these ventures remains uncertain as Petro prioritizes climate policies amid a natural gas shortfall.

Colombian President Gustavo Petro has urged Ecopetrol, the state-owned oil company, to divest its operations in the United States in light of his administration’s anti-fracking stance, which he believes harms both nature and humanity. Ecopetrol recently announced an extension of its joint venture with Occidental Petroleum in the Permian Basin until June 2026, but the decision ultimately lies with Ecopetrol’s board, which has shown mixed support for US ventures in the past.

During a live cabinet meeting, Petro expressed his desire for the sale of US assets to redirect investments toward clean energy in Colombia. “Let it be discussed technically and economically, but it cannot be that we are for death and not for life,” he stated. Analysts suggest that despite the board’s approval for continued investment in the US venture, this call for divestment could generate uncertainty regarding future operations.

President Petro’s administration has significantly prioritized climate change initiatives, claiming it is a critical matter of survival. This includes a proposed ban on fracking and a cessation on issuing licenses for new natural gas exploration, despite Colombia experiencing a natural gas shortfall. This isn’t the first instance of Petro opposing Ecopetrol’s deals with Occidental, as the company previously withdrew from a $3.6 billion acquisition of Texas shale assets last year.

The dynamics of Colombia’s energy policy have shifted under President Gustavo Petro, who is advocating for environmental sustainability. His administration’s position against fracking stems from concerns over its environmental impact, contrasted against the necessity for fossil fuels amid energy shortages. Ecopetrol’s operations in the United States represent a significant asset, yet Petro believes that capital generated from these assets should be reallocated toward renewable energy developments in Colombia.

In summary, President Gustavo Petro’s call for Ecopetrol to sell its US operations underscores a broader commitment to combating climate change through an emphasis on clean energy investments. This recommendation brings into question the future of investments in US oil and natural gas, amidst ongoing debates regarding ecological consequences and Colombia’s energy security.

Original Source: www.energyconnects.com

Clara Lopez

Clara Lopez is an esteemed journalist who has spent her career focusing on educational issues and policy reforms. With a degree in Education and nearly 11 years of journalistic experience, her work has highlighted the challenges and successes of education systems around the world. Her thoughtful analyses and empathetic approach to storytelling have garnered her numerous awards, allowing her to become a key voice in educational journalism.

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