Ecuador agrees with oil companies to lower operating rates

The Ministry of Hydrocarbons of Ecuador announced today the signing of an agreement with the oil consortiums that exploit the deposits of Shushufindi and Libertador to reduce the operating fees.

“The operating rates will be modified following an agreement reached between the state oil company Petroamazonas and the Shushufindi and Pardaliservices consortiums,” says an official statement.

In the case of the Shushufindi contract, it will be reduced from $ 29.85 per barrel to $ 19.50 p/b by 2020 and a variable rate scheme indexed to the West Texas Intermediate (WTI) oil price, a benchmark value for the sale of Ecuadorian crude.

“These initiatives are part of the actions undertaken by the Government of Ecuador aimed at restoring adequate levels of oil revenue in favor of the country while encouraging private investment in the sector,” said the Ministry. (I)