Canadian energy firm downsizing presence in Ecuador

Posted on January 22, 2015 • Filed under: Ecuador, Oil

Argusmedia.com reported Canadian independent Ivanhoe Energy is downsizing its presence in Ecuador after failing to reach an agreement with China’s state-owned CNPC to develop the Pungarayacu oil sands deposit. “The company is scaling back its activities in Ecuador in response to significantly lower oil prices and a delay in discussions with Ivanhoe’s partner on moving ahead with development plans for the block 20 heavy-oil project,” Ivanhoe said yesterday.The company had sought to retain a minority stake in the block, with CNPC holding the majority, and presented a joint proposal to the government in March 2014. Ecuador’s hydrocarbons secretariat sent a letter to Ivanhoe in May indicating it was “ready to move forward with final project negotiations,” according to Ivanhoe. Read Article

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