Ecopetrol Group opens new sales company in the United States
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Ecopetrol Group opens new sales company in the United States
Nov 16, 2022
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The new subsidiary strengthens the Company's internationalization strategy and the global positioning of its products. It will initiate operations in 2023.
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This new subsidiary will be located in Houston, Texas, the trading epicenter in the Americas.
Ecopetrol has incorporated a new company into its Business Group, intending to consolidate its position as a worldwide trader of refined, petrochemical, and industrial products, as well as crude oil and natural gas.
The company, Ecopetrol US Trading LLC, will begin operations in the second half of 2023. Ecopetrol S.A. indirectly owns 100% of the equity through its subsidiary Ecopetrol USA Inc.
The office will be located in Houston, Texas, the principal oil, gas, and energy trading epicenter for the industry in the Western Hemisphere, where most of the Ecopetrol Group's customers and suppliers are located.
Ecopetrol’s subsidiaries, Ecopetrol America and Ecopetrol Permian, dedicated to exploration and production activities in the Gulf of Mexico and the Permian Basin, are also located there, allowing in this manner to foster administrative and operational synergies.
Ecopetrol US Trading will focus its efforts on securing business opportunities with new customers and with suppliers of crude oil, refined products, petrochemicals, and natural gas, mainly in the Americas and Europe.
Currently, all sales of refined products and between 40% and 50% of the Ecopetrol Group's crude oil are sold to these markets.
The subsidiary also seeks to expand third-party trading, and opportunities relating to product blends.
“Through this trading company, we will continue to implement our internationalization plan by strategically accessing more markets and acquiring new customers. The subsidiary will also play a key role in capitalizing on opportunities for the petrochemical segment originating from the energy transition, a market which shows significant growth potential and is already one of the Ecopetrol Group’s main lines of business,” said Pedro Manrique, Ecopetrol's Vice President of Sales and Marketing.
Ecopetrol US trading is the second trading subsidiary established by the Ecopetrol Group after Ecopetrol Trading Asia was opened in Singapore in July 2021, seeking to expand crude oil and product trading operations in this continent.
Bogota, November 16, 2022
