More Colombian oil in the time of crisis

· Economics
Authors

It is expected that Colombia will rise its production of oil this year. However, it is expected also that the world oil prizes will fall. Therefore, it is expected that the rise in the oil production will mean the same, although it is important.

Colombia, a middle producer of oil, began in 2005 to look for more areas of exploitation with the intention to rise its oil production. According to Portafolio.com.co the daily production reached the 650,000 barrels per day.

The rising of numbers in production began in March 2008 when it reached 563,000 barrels per day that meant an increase of 8.47 percent more than in 2007. By consequence, it rose also the foreign investment in the Colombian oil production and made the country an attractive in this sector. According with National Hydrocarbons Agency of Colombia, the foreign investment in the oil and energetic sector was of USD 3,500 million in 2007.

These good numbers, however, mean nothing in a time of crisis where the prizes go down. Last Monday, according to the same economical magazine, the prize closed in USD 37,78 per barrel in the middle of a over supplied market and the global recession. But the production would become, anyway, a shield for the national economy, although it is early to say how will be the consequences of the recession.

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