Ecopetrol (EC) Q2 2025 Earnings Call Transcript

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Wed, March 18, 2026 astatine 11:31 AM CDT 63 min read

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Wednesday, August 13, 2025 astatine 10:00 a.m. ET

• Chief Executive Officer — Ricardo Roa Barragan

• Executive Vice President, Transition Energies — Bayron Triana Arias

• Chief Financial Officer — Alfonso Camilo Barco Munoz

• Acting Vice President, Hydrocarbons — Juan Carlos Hurtado Parra

• Vice President, New Businesses — Julián Fernando Lemos Valero

• Vice President, Hydrocarbons (Acting), Upstream — Rafael Ernesto Guzmán Ayala

Ricardo Roa Barragan: Welcome to Ecopetrol Group's Second Quarter of 2025 Earnings Call. During the quarter, we maintained coagulated operations with improvements successful upstream betterment successful downstream and resilient results successful the midstream segment, contempt a challenging situation marked by precocious volatility and declining crude prices owed to geopolitical tensions and third-party disruptions to the proscription strategy infrastructure. We reached a semester accumulation of 751,000 barrels of lipid equivalent per day. We reached a semester accumulation of 751,000 barrels of lipid equivalent per day, the highest level successful a decade.

This was driven by tract successful Colombia specified arsenic Caño Sur and CPO-09, which contributed to the highest nationalist crude accumulation successful 4 years arsenic good arsenic a beardown show successful the Permian Basin successful the United States. We declared the commercialized viability of the Lorito find successful Meta, the astir important successful the past 10 years pursuing the caller acquisition of 45% of the CPO-09 block. Additionally, we began drilling the Papayuela good successful the Caribbean offshore aimed astatine expanding the country's state potential. In the midstream, volumes transcend 1 cardinal barrels per day, supported by operational solutions that mitigate the interaction of outer events.

We item the enlargement of the Pozos Colorados terminal, including the completion of the country's largest vessel with a capableness of 320,000 barrels and the unloading capableness accrued to 550,000 barrels, enabling the reception of largest vessels. In downstream, we reached 405,000 barrels per time successful throughput with afloat operational betterment aft completing large attraction activities. We expect to capitalize connected this with improved margins successful the 2nd fractional of the year. In the state segment, we completed the archetypal semipermanent commercialization of important earthy state successful Colombia, securing nationalist proviso done 5 years contracts. Finally, we signed the statement to get Windpeshi, Ecopetrol's archetypal upwind task developed by our ain located successful La Guajira.

This is simply a cardinal measurement toward advancing decarbonization and reducing vigor outgo successful our operations. In summary, Ecopetrol's operations person adapted swiftly to the environment, maintaining the affirmative inclination seen successful caller quarters. Let's determination connected to the adjacent slide, please. The coagulated operational advancement during the 4th was partially offset by the diminution of the crude price. Brent fell by 22% compared to the 2nd 4th of 2024, impacting some gross and profits. On the commercialized front, we achieved the champion quarterly crude differential successful the past 4 years, acknowledgment to a diversified handbasket and an progressive selling strategy that let america to seizure worth adjacent successful a debased terms environment.