A ruling by a Colombian court has suspended operations at a key offshore natural gas well in the Caribbean, a decision that industry experts warn could threaten the nation’s energy security. The court order demands a thorough consultation with the Indigenous community of Taganga before further exploration at the Uchuva-2 well can proceed. The decision reveals growing tension between Colombia’s energy independence and rights of indigenous communities.
The ruling, issued by a tribunal in Santa Marta on September 11, responded to a lawsuit filed by Ariel Daniels de Andreis, governor of the Taganga Indigenous Council. It alleges that several entities, including the Environmental Licensing Authority (Anla), the Ministry of Mines and Energy, and state oil company Ecopetrol, failed to conduct proper consultations with the community regarding the Uchuva-2 project in the Tayrona block.
Ecopetrol and Petrobras announced back in June the start of drilling at the Uchuva-2 well as part of their Caribbean expansion. This appraisal well is intended to assess the extent of the natural gas discovery announced in July 2022 at the Uchuva-1. Located in deep waters (837 meters deep), it lies approximately 32 km from the coastline and 76 km from the city of Santa Marta. In the Tayrona Block, Petrobras is the operator with a 44% stake, while Ecopetrol holds 56%.
For several months, Ecopetrol has been working to consolidate and develop an offshore project portfolio to extract gas that aligns with the country’s clean energy agenda. “Uchuva-1 is considered a very significant discovery for Ecopetrol and Colombia because it confirmed the importance of the Caribbean as one of the main sources of gas for our country,” explained Elsa Jeanneth Jaimes, Offshore Vice President of Ecopetrol.
Industry leaders have expressed grave concern over the potential impact of this suspension on Colombia’s energy landscape. Frank Pearl, president of the Colombian Petroleum Association (ACP), and Luz Stella Murgas, president of Naturgas, argue that halting the Uchuva-2 project could severely undermine the country’s gas security. “We cannot allow them to turn the country off with arbitrary decisions,” Pearl said during a press conference.
The Uchuva-2 well represents a significant opportunity for Colombia, which is grappling with dwindling gas reserves. The country’s gas reserves closed 2023 at 2.4 trillion cubic feet, equating to just 6.1 years of consumption. The potential reserves at Uchuva-2 are estimated to be 2.5 times the current reserves, making it a vital component in Colombia’s strategy to ensure long-term self-sufficiency.
This court ruling is the latest episode in Colombia’s fraught history of conflict between Indigenous groups and energy projects. Indigenous communities have often contended that these projects infringe on their rights and threaten their traditional ways of life. In the case of the Uchuva-2 project, the court explicitly acknowledged the fundamental rights of the Taganga community to prior consultation, due process, and the protection of their intellectual, cultural, and environmental heritage.
Despite the ruling, both Pearl and Murgas assert that prior assessments by competent authorities determined that the project’s area of influence did not intersect with Indigenous land nor maritime boundaries. Murgas warned of the broader implications of the ruling, stating, “Delaying this project will mean that we will have to be forced to import natural gas subject to the volatility of international markets for longer.”
The ruling also mandates the Colombian Government of President Petro to develop an inter-institutional protocol within six months. This protocol aims to identify, consult, and protect Indigenous water communities in future projects, ensuring that their rights are respected during the execution of new developments.
According to the ruling, the country’s Ministry of Culture must collaborate with the Taganga Indigenous Council to create a plan to safeguard the cultural practices and traditional knowledge related to maritime environments.
The court also tasked the Ombudsman’s Office to implement educational measures for coastal communities in the Atlantic and Pacific oceans, as well as the San Andrés archipelago regarding protected rights.
This ruling places a spotlight on the delicate balance between Colombia’s energy security as river and reservoir levels remain precariously low given an extended El Niño weather pattern, as well as rising temperatures across the central departments of the country. While the Uchuva-2 project would bolster the nation’s gas reserves, it also comes as Ecopetrol’s earnings dropped 24% in the first semester of 2024, totaling COP$7.38 trillion, down from COP$9.74 trillion in the same period last year.
