13 December, 2019 Colombia

Ecopetrol subsidiary buys Colombian gas fields from Chevron

Corporate / M&A - Energy, Mining and Natural Resources - Environment and Sustainable Development

Skadden, Arps, Slate, Meagher & Flom LLP’s offices in New York, Houston and São Paulo and Philippi Prietocarrizosa Ferreo DU & Uría (Colombia) have helped Colombia’s Ecopetrol subsidiary Hocol buy a 43% interest in two Colombian offshore gas fields from Chevron.

Jones Day in Houston and Miami and Baker McKenzie (Colombia) worked with Chevron. The US energy company sold its remaining shares in the Chuchupa and Ballena gas fields in the Caribbean Sea, off the northwestern region of Guajira.

State-owned Ecopetrol, which already held a 57% interest in the fields through its subsidiary Hocol, now has full participation rights in the sites. Hocol will operate both fields. The value of the deal, which was announced on 26 November, is confidential.

The transaction follows Ecopetrol’s recent announcement detailing its intention to invest over US$75 million to explore gas assets in the Colombian Caribbean region.

Ecopetrol has acquired from Chevron before. In 2018, it bought Chevron and Shell’s minority stake in the Saturno pre-salt oil blocks in Brazil. More recently, it acquired a 30% stake in another two Brazilian oil blocks, both from Shell.

Counsel to Hocol
– In-house counsel – Christian Castro
Skadden, Arps, Slate, Meagher & Flom LLP
– Partners Paola Lozano, associates‎ José Vivanco and Amanda Raymond Kalantirsky, and visiting professional Pablo Brando Espinosa in New York; partner Eric Otness and associate David Passarelli in Houston; and partner Julie Bédard in New York and São Paulo
Philippi Prietocarrizosa Ferrero DU & Uría
– Partners Claudia Barrero, Luis Fernando Macías and Sandra Manrique and associates Luz María Mercado, Johanna Cajigas and Natalia Gutierrez in Bogotá

 Counsel to Chevron
Jones Day
– Partner Jeff Schlegel and associates David Stringer and Zahra Usmani in Houston, and partner Nicholas Rodriguez in Miami
Baker McKenzie (Colombia)
– Partners Alejandro Mesa, Carolina Pardo and Tatiana Garcés and associates Mariana Villegas, Daniela Liévano, Miguel de Quinto,  Angélica Navarro and Nicolas Arboleda in Bogotá


Source: Latin Lawyer

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