Ecopetrol unveils ambitious 2025 investment plan targeting growth, sustainability

Ecopetrol S.A., Colombia’s largest energy company, has outlined a bold 2025 Ecopetrol investment plan, approved by its Board of Directors. This plan, with a budget ranging between 24 and 28 trillion pesos, aims to reinforce Ecopetrol’s dominance in the Colombia energy sector while accelerating its energy transition strategy. By balancing investments in hydrocarbons and renewable energy projects, the company seeks to meet its ambitious goals for growth, sustainability, and innovation.

The largest portion of the 2025 budget—76%—is earmarked for hydrocarbon operations. This includes exploration, production, refining, and transportation, all focused on maintaining Ecopetrol’s robust hydrocarbon production targets of 740,000–745,000 barrels of oil equivalent per day. The company plans to drill 455–465 development wells, with 79% located in Colombia and 21% in the United States, emphasizing the Permian Basin and Gulf of Mexico as strategic regions.

Driving energy transformation through sustainability

A central component of the Ecopetrol investment plan is its focus on decarbonization, renewable energy, and long-term sustainability. Approximately 6.5 trillion pesos—24% of the total budget—is dedicated to advancing the company’s energy transition strategy, aligning with global demands for cleaner energy.

Key initiatives include investments in wind and solar power, energy efficiency projects, and programs to reduce carbon emissions. For 2025, Ecopetrol aims to cut an additional 300,000 tons of CO2, enhancing its commitment to achieving its sustainable development goals by 2030.

Through its SosTECnibilidad program, Ecopetrol will allocate 2.3 trillion pesos to climate-focused initiatives. These projects span a range of priorities, including biodiversity, innovation, and sustainable territorial development. Such efforts position the company as a leader not only in the Colombia energy sector but also in shaping the region’s clean energy future.

Sustaining hydrocarbon leadership

While sustainability remains a priority, Ecopetrol has not lost sight of its core operations in hydrocarbons. Around 17.2 trillion pesos will be invested in exploration and production, ensuring that its hydrocarbon production targets are met. The refining segment will receive an estimated 1.6 trillion pesos to enhance efficiency and reliability, with a focus on the Barrancabermeja and Cartagena refineries. These facilities will play a crucial role in reducing Colombia’s reliance on imports while advancing sustainable aviation fuel (SAF) development.

Investments in the transportation segment, totaling 1.5 trillion pesos, will focus on improving pipeline infrastructure, ensuring reliable delivery of crude and refined products to meet Colombia’s growing energy demands.

Expanding regional energy leadership

Ecopetrol’s subsidiary, Interconexión Eléctrica S.A., will invest between 5.7 and 6.5 trillion pesos to strengthen its regional energy leadership in power transmission. These funds will expand the grid to 50,400 kilometers by 2025, solidifying Ecopetrol’s position as a key player in the Colombia energy sector and across Latin America.

Additionally, ISA’s projects include telecommunications and road concessions, which complement Ecopetrol’s vision for integrated infrastructure development. The company’s ongoing investments in these areas underscore its commitment to building a resilient energy and transport network that aligns with its broader sustainability goals.

Ensuring financial resilience

Ecopetrol’s financial strategy for 2025 is built on a projected Brent crude price of $73 per barrel, enabling an EBITDA margin of 39%. The company’s efficiency targets, exceeding 4 trillion pesos, aim to optimize lifting costs, refining expenses, and transportation metrics. These measures will help Ecopetrol generate competitive returns while contributing approximately 35 trillion pesos to Colombia’s national revenue through dividends, taxes, and royalties.

The Ecopetrol investment plan also assumes the recovery of funds from the Fuel Price Stabilization Fund (FEPC), ensuring liquidity to support its ambitious projects. This financial resilience ensures the company can achieve its goals without over-reliance on external funding.

Ecopetrol’s 2025 Ecopetrol investment plan is a testament to its balanced approach to growth, innovation, and sustainability. By allocating significant resources to renewable energy projects and its energy transition strategy, the company is setting a benchmark for sustainable development in the Colombia energy sector. At the same time, its unwavering focus on hydrocarbons ensures it remains a vital contributor to the country’s economy and energy needs.

As global energy dynamics shift, Ecopetrol’s leadership in hydrocarbons and its commitment to decarbonization and innovation will position it as a key driver of Latin America’s energy future.