Ecuador initiates bidding process for its largest gas field

Aug. 22, 2023
State-owned EP Petroecuador has started an international search for an oil and gas company to continue development of Block 6, also known as Campo Amistad, Ecuador's largest natural gas field.

State-owned EP Petroecuador has started an international search for an oil and gas company to continue development of Block 6, also known as Campo Amistad, Ecuador's largest natural gas field. The field lies in the Gulf of Guayaquil, 55 km from Puerto Bolívar.

Petroecuador foresees a contract duration of 15 years, during which an awardee will invest more than $173 million to drill four exploratory wells, refurbish three wells currently in production, and construct new infrastructure. Petroecuador will continue as field operator and the State would pay a fee for the incremental extracted gas.

Ahead of the Aug. 18 registration deadline, Petroecuador said it had received 14 requests from interested companies. A contract award is expected in October 2023, with a contract signing expected in early November.

Petroecuador’s general manager, Ramón Correa, said private investment could lead to an increase in production to 73 MMcfd from the current 21 MMcfd to help meet a portion of Ecuador's current demand.

Natural gas would be directed to the Termogas de Machala power plant, about 60 km from the wells, as well as the industrial sector.

Since 2002, Campo Amistad has been the country's sole offshore development, consisting of four platforms, three wells, a dehydration plant, a helipad, and a 12-in. OD gas pipeline.

Certified proven and probable reserves at the field total 167.3 bcf, with prospective resources of 241 bcf, according to Petroecuador data.