fbpx

Colombia Will Implement Blockchain Towards the Oil and Gas Sector

The National Agency of Hydrocarbons informed that it will continue implementing a blockchain solution in the process of area allocation for exploration and production of oil and gas.

The Woman Post | Catalina Mejía

Listen to this article


The industry of hydrocarbons is a big driver of the Colombian economy, and it is now using blockchain technology for post-pandemic reactivation. During the second week of June, the Colombian Government launched the Colombia 2021 Round, a process for exploration and production area allocations. In the press release, the National Agency of Hydrocarbons announced that they would use blockchain technology to accelerate the presentation of offers by investors that want to evaluate areas for their potential.

The National Agency of Hydrocarbons began implementing a blockchain solution in the Permanent Process of Area Allocation during the beginning of 2021. The mentioned process for allocation of areas was adopted in 2018 and constitutes one of the various strategies of the country to guarantee the sufficiency of oil and gas and to promote economic growth. 

During the launching of the Colombia 2021 Round, the Agency was proud to announce that it would include 32 new areas for exploration and production. The Ministry of Mines, Diego Mesa, stated that 10 of the offered areas are prospective for gas and 18 for oil, hoping that the conclusion of contracts will increase oil reserves and will therefore lead to the achievement of energy self-sufficiency in the country.

Also read: THE INFLUENCE OF YOUR GENERATION IN THE DIGITAL WORLD

Additionally, it was announced that blockchain technology would be used during the process for area allocation for the presentation of offers and counteroffers. According to Armando Zamora, current president of the National Agency of Hydrocarbons, this tool will be helpful to guarantee transparency during the process.

In April 2021, the Agency had already mentioned that they would use blockchain technology from RSK to accelerate the Permanent Process of Area Allocation and to improve it in terms of transparency and security. The incorporation of blockchain is aligned with the policy for reactivation of investments in the oil and gas sector. It is worth highlighting that petroleum is the main exported product in Colombia, representing 55.4% of exports, meaning that it is essential for the finances of the country.