Colombia's Ecopetrol Wants To Drill For Oil In Venezuela

Colombia's largest company, state-controlled energy firm Ecopetrol (ECOPETROL.BO, EC), aims to drill for crude oil in neighboring, energy rich Venezuela, according to a statement from the Colombia Mines and Energy Ministry.

Colombia Energy Minister Mauricio Cardenas and his Venezuelan counterpart Rafael Ramirez were meeting Wednesday in Cartagena to discuss that issue and other bilateral energy relations.

The talking points for the meeting include "the possibility of firming up exploration and drilling activities by Ecopetrol in Venezuelan territory," the statement said. 

"The goal is the development of mature fields."

Ecopetrol's proven net reserves at the end of last year were 1.86 billion barrels of oil equivalent, an 8.3% increase from a year earlier. 

But analysts have said Ecopetrol needs one or more big discoveries during the coming years to maintain production levels.

Relations between the two countries were strained for much of the past decade due to frequent, public spats between Colombia's conservative, former President Alvaro Uribe and Venezuela's socialist President Hugo Chavez. 

In 2.009, Chavez prohibited Ecopetrol from taking part in a major auction of promising oil blocks in Venezuela's Orinoco region.

But diplomatic and trade relations have improved dramatically since Colombia President Juan Manuel Santos, who is more moderate politically than his predecessor, took office in late 2.010.

The statement said Cardenas and Ramirez also planned to continue discussions on a proposal to build an oil pipeline that would transport Venezuelan oil to Colombia's Pacific coast.