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Bogota has everything you need for a successful oil and gas services operation
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Bogota has a wide range of multinational players...
...and strong institutional support for the industry.
We are the investment promotion agency for Bogota and Cundinamarca, a public-private
partnership between the Bogota Chamber of Commerce, the Bogota City Government and
the Government of Cundinamarca.
Our mission is to support investors that are exploring opportunities in Bogota and
Cundinamarca.
In 2009 we were ranked as the top non- OECD investment promotion agency in the World
by the World Bank.
We have a multidisciplinary team with sector-specific expertise, which allows us to provide
prospective investors with value added advice and information.
We offer, free of charge, and in absolute confidentiality, services for investors during each
stage of their investment process.
Exploratory Phase General, sector and company specific information.
Coordination of fact-finding visits.
Meetings with government and regulatory authorities.
Visits to existing investors.
Meetings with professional service firms.
Meetings with educational and training institutions.
Start-Up Phase Advice during start-up.
Support with permits and regulations.
Contacts with potential suppliers, clients or partners.
Development of tailor made training programs, including Talk to the World, the city’s
English language training program.
Operational Phase Follow up of your company’s development.
Support in reinvestment-related activities.
Networking with other companies.
Continuous monitoring and improvement of business climate.
Invest in Bogota
Please contact us at:
Email: [email protected]: +57 (1) 742-3030Fax: +57 (1) 742-3050Address: Carrera 7 N.° 71-21, Torre B, Of. 901Bogota, Colombia
www.investinbogota.org
Operating Companies
In addition to Ecopetrol, which produces 60% of the country’s oil, there is a large number of multinational operating companies that require services.
Main Sector Entities
Service Companies
Numerous multinational oil and gas services companies are located in Bogota; there is also a critical mass of experienced local companies.
www.anh.gov.cowww.minminas.gov.co
www.campetrol.org www.acipet.com
Bogota is becoming a new hub for services to the oil and gas industry in northern South America thanks to:
Growing demand for services: Exploration and production activities and the arrival of new production
and exploration companies have stimulated demand for services for the oil and gas industry.
Skilled and available human resources: Bogota has skilled personnel with experience for this industry.
Competitive costs: The cost benefi t ratio in wages and infrastructure is one of the most competitive in
the region.
Attractive business environment: Stable economic performance, consistent policies and strong
institutional support to the oil and gas sector have generated a favorable environment for the arrival of
new investors.
3,100 million barrels of certifi ed oil reserve and 47,000 million barrels in unexplored territories
Current production of 770 thousand barrels daily and a goal of 1,300 thousand barrels of oil equivalents per day in 2015
Dynamic exploratory activities: 28% annual increase rate of wildcats
Skilled and Available Human Resources The city has abundant skilled and experienced human resource for new oil and gas service operations.
Competitive Costs The cost structure in Bogota for oil and gas services is one of the most competitive in the region.
Competitive, fl exible government take (45 to 75%) Tiered royalties for operating companies (8 to 25%) 33% income tax Deductible local taxes No remittance tax
Income tax deduction of up to 30% of the value of investments in fi xed productive assets
Legal stability contracts
Bogota has
New Exploration and Production Companies Operating in Bogota (2005-2009)
Source: Cámara de Comercio de Bogota, Registro de compañías. Invest in Bogota calculations
40
45
5
10
15
20
25
30
35
02005 2006 2007 2008 2009
5043 44
27
2118
Engineering Graduates in Selected Cities (2008)
Source: Everest Research Institute
5
10
15
20
25
30
0GuadalajaraMonterreySantiagoSão PauloBogotaBuenos
AiresSan Jose
3.3
11
17 1922
24 25
Source: Legis, Encuesta Salarial y Tendencias en Gestión Humana 2009-2010
Rentals for Type A Offi ces (2009)
Source: Colliers International, Real Estate Review Latin America Region 2008-2009
50.6
101.2
15
1.820
2.425
3.030
3.635
4.2
0 0Lima San Jose Santiago Bogota Mexico
CityBuenos Aires
São Paulo
2.729.52.3
25.32.224.1
1.7191.6
16.91.516.3
US$
/Mts
2 US$/Ft 2
40
453.9
42.4
Position Years of experience
Monthly average wage (2010) US$
Field Engineer 7 - 9 $4,380
Oil or Production Engineer
7 - 9 $2,816
Hydrocarbons Business Developer
5 $2,723
Geological Engineer 2 - 5 $2,227
Specialized Machine Operator
0.5 $863
…and a fl exible and competitive regime for exploration, production and service companies.
Growing Demand for Oil and Gas Services The large oil potential in Colombia and an attractive contractual regime have spurred exploration and production activities and generated a signifi cant demand for oil and gas services.
In recent years a growing number of local and international operating companies have established operations in Bogota.
In Bogota there are more than 240 companies involved in exploration and production, most of which are from abroad.
The number of exploration and production companies located in Bogota has doubled in the past 5 years.
In 2010, 78 blocks were awarded to 37 operating companies, of which 12 were newcomers.
Bogota, the capital of Colombia, is a dynamic and cosmopolitan city of more than seven million inhabitants. Thanks to its economic performance, pro-investment environment and excellent quality of life, it is one of the best destinations to do business in Latin America.
Wildcats (2002-2010)
*Data as of July 2010.Source: Agencia Nacional de Hidrocarburos
80
20
40
60
02002 2005 2008
100
10
2821
35
56
7075
76
Plan99
Colombia has a large oil potential…Engineering Graduates in Colombia (2001-2009)
everything you need for a successful oil and gas services operation
An Attractive Business Environment Colombia has been recognized for improving its business environment.
Ease of Doing Business (2010)
Index which compares 183 economies worldwide and measures regulation regarding business and the protection of ownership rights. A lower value indicates greater ease of doing business.Source: World Bank, Doing Business Report 2010
Colombia
Ecuador
Brazil
Argentina
Panama
Peru
Mexico
Chile
0 20 40 60 80 100 120 140
138
129
118
77
56
51
49
37
Ranking
Colombia is the country with the best environment
to do business in Latin America, according to the
2010 World Bank Doing Business Report.
Thou
sand
s
Source: Ministerio de Educación Nacional, Observatorio Laboral
0 10 20 30 40 50 60 70 80 90 100
Bogota Other Cities
2003 2006 20092004 2007 2010*
Computer Science
Industrial
Others
Electronics and Telecommunications
Civil
Mechanical
Enviromental
Electrical
Mining and Metallurgy
91.8
54.6
38.9
38.9
30.6
18
17.1
10.8
4.4
110
Thousands
Bogota is becoming a major center for this industry:
86% of oil and gas service companies in Colombia are located in Bogota.
There are more than 300 companies operating in the city.
The number of new companies has grown 40% since 2005, with a majority of companies from abroad.
A Dynamic Oil and Gas Services Industry
Services for the oil and gas industry have grown by an annual average compounded rate of 31% in the past fi ve years. Total sales in 2009 were approximately US$3 billion.
Oil and Gas Services Revenues in Colombia (2005-2009)
Note: Constant exchange rate of US$1 = COP$2,000Source: Superintendencia de Sociedades (2005-2009). Invest in Bogota calculations
0.5
1.0
1.5
2.0
2.5
3.0
3.5
02005 2006 2007 2008 2009
2.93.1
2.1
1.6
1.0US$
Bill
ions
Bogota is becoming a new hub for services to the oil and gas industry in northern South America thanks to:
Growing demand for services: Exploration and production activities and the arrival of new production
and exploration companies have stimulated demand for services for the oil and gas industry.
Skilled and available human resources: Bogota has skilled personnel with experience for this industry.
Competitive costs: The cost benefi t ratio in wages and infrastructure is one of the most competitive in
the region.
Attractive business environment: Stable economic performance, consistent policies and strong
institutional support to the oil and gas sector have generated a favorable environment for the arrival of
new investors.
3,100 million barrels of certifi ed oil reserve and 47,000 million barrels in unexplored territories
Current production of 770 thousand barrels daily and a goal of 1,300 thousand barrels of oil equivalents per day in 2015
Dynamic exploratory activities: 28% annual increase rate of wildcats
Skilled and Available Human Resources The city has abundant skilled and experienced human resource for new oil and gas service operations.
Competitive Costs The cost structure in Bogota for oil and gas services is one of the most competitive in the region.
Competitive, fl exible government take (45 to 75%) Tiered royalties for operating companies (8 to 25%) 33% income tax Deductible local taxes No remittance tax
Income tax deduction of up to 30% of the value of investments in fi xed productive assets
Legal stability contracts
Bogota has
New Exploration and Production Companies Operating in Bogota (2005-2009)
Source: Cámara de Comercio de Bogota, Registro de compañías. Invest in Bogota calculations
40
45
5
10
15
20
25
30
35
02005 2006 2007 2008 2009
5043 44
27
2118
Engineering Graduates in Selected Cities (2008)
Source: Everest Research Institute
5
10
15
20
25
30
0GuadalajaraMonterreySantiagoSão PauloBogotaBuenos
AiresSan Jose
3.3
11
17 1922
24 25
Source: Legis, Encuesta Salarial y Tendencias en Gestión Humana 2009-2010
Rentals for Type A Offi ces (2009)
Source: Colliers International, Real Estate Review Latin America Region 2008-2009
50.6
101.2
15
1.820
2.425
3.030
3.635
4.2
0 0Lima San Jose Santiago Bogota Mexico
CityBuenos Aires
São Paulo
2.729.52.3
25.32.224.1
1.7191.6
16.91.516.3
US$
/Mts
2 US$/Ft 2
40
453.9
42.4
Position Years of experience
Monthly average wage (2010) US$
Field Engineer 7 - 9 $4,380
Oil or Production Engineer
7 - 9 $2,816
Hydrocarbons Business Developer
5 $2,723
Geological Engineer 2 - 5 $2,227
Specialized Machine Operator
0.5 $863
…and a fl exible and competitive regime for exploration, production and service companies.
Growing Demand for Oil and Gas Services The large oil potential in Colombia and an attractive contractual regime have spurred exploration and production activities and generated a signifi cant demand for oil and gas services.
In recent years a growing number of local and international operating companies have established operations in Bogota.
In Bogota there are more than 240 companies involved in exploration and production, most of which are from abroad.
The number of exploration and production companies located in Bogota has doubled in the past 5 years.
In 2010, 78 blocks were awarded to 37 operating companies, of which 12 were newcomers.
Bogota, the capital of Colombia, is a dynamic and cosmopolitan city of more than seven million inhabitants. Thanks to its economic performance, pro-investment environment and excellent quality of life, it is one of the best destinations to do business in Latin America.
Wildcats (2002-2010)
*Data as of July 2010.Source: Agencia Nacional de Hidrocarburos
80
20
40
60
02002 2005 2008
100
10
2821
35
56
7075
76
Plan99
Colombia has a large oil potential…Engineering Graduates in Colombia (2001-2009)
everything you need for a successful oil and gas services operation
An Attractive Business Environment Colombia has been recognized for improving its business environment.
Ease of Doing Business (2010)
Index which compares 183 economies worldwide and measures regulation regarding business and the protection of ownership rights. A lower value indicates greater ease of doing business.Source: World Bank, Doing Business Report 2010
Colombia
Ecuador
Brazil
Argentina
Panama
Peru
Mexico
Chile
0 20 40 60 80 100 120 140
138
129
118
77
56
51
49
37
Ranking
Colombia is the country with the best environment
to do business in Latin America, according to the
2010 World Bank Doing Business Report.
Thou
sand
s
Source: Ministerio de Educación Nacional, Observatorio Laboral
0 10 20 30 40 50 60 70 80 90 100
Bogota Other Cities
2003 2006 20092004 2007 2010*
Computer Science
Industrial
Others
Electronics and Telecommunications
Civil
Mechanical
Enviromental
Electrical
Mining and Metallurgy
91.8
54.6
38.9
38.9
30.6
18
17.1
10.8
4.4
110
Thousands
Bogota is becoming a major center for this industry:
86% of oil and gas service companies in Colombia are located in Bogota.
There are more than 300 companies operating in the city.
The number of new companies has grown 40% since 2005, with a majority of companies from abroad.
A Dynamic Oil and Gas Services Industry
Services for the oil and gas industry have grown by an annual average compounded rate of 31% in the past fi ve years. Total sales in 2009 were approximately US$3 billion.
Oil and Gas Services Revenues in Colombia (2005-2009)
Note: Constant exchange rate of US$1 = COP$2,000Source: Superintendencia de Sociedades (2005-2009). Invest in Bogota calculations
0.5
1.0
1.5
2.0
2.5
3.0
3.5
02005 2006 2007 2008 2009
2.93.1
2.1
1.6
1.0US$
Bill
ions
Bogota is becoming a new hub for services to the oil and gas industry in northern South America thanks to:
Growing demand for services: Exploration and production activities and the arrival of new production
and exploration companies have stimulated demand for services for the oil and gas industry.
Skilled and available human resources: Bogota has skilled personnel with experience for this industry.
Competitive costs: The cost benefi t ratio in wages and infrastructure is one of the most competitive in
the region.
Attractive business environment: Stable economic performance, consistent policies and strong
institutional support to the oil and gas sector have generated a favorable environment for the arrival of
new investors.
3,100 million barrels of certifi ed oil reserve and 47,000 million barrels in unexplored territories
Current production of 770 thousand barrels daily and a goal of 1,300 thousand barrels of oil equivalents per day in 2015
Dynamic exploratory activities: 28% annual increase rate of wildcats
Skilled and Available Human Resources The city has abundant skilled and experienced human resource for new oil and gas service operations.
Competitive Costs The cost structure in Bogota for oil and gas services is one of the most competitive in the region.
Competitive, fl exible government take (45 to 75%) Tiered royalties for operating companies (8 to 25%) 33% income tax Deductible local taxes No remittance tax
Income tax deduction of up to 30% of the value of investments in fi xed productive assets
Legal stability contracts
Bogota has
New Exploration and Production Companies Operating in Bogota (2005-2009)
Source: Cámara de Comercio de Bogota, Registro de compañías. Invest in Bogota calculations
40
45
5
10
15
20
25
30
35
02005 2006 2007 2008 2009
5043 44
27
2118
Engineering Graduates in Selected Cities (2008)
Source: Everest Research Institute
5
10
15
20
25
30
0GuadalajaraMonterreySantiagoSão PauloBogotaBuenos
AiresSan Jose
3.3
11
17 1922
24 25
Source: Legis, Encuesta Salarial y Tendencias en Gestión Humana 2009-2010
Rentals for Type A Offi ces (2009)
Source: Colliers International, Real Estate Review Latin America Region 2008-2009
50.6
101.2
15
1.820
2.425
3.030
3.635
4.2
0 0Lima San Jose Santiago Bogota Mexico
CityBuenos Aires
São Paulo
2.729.52.3
25.32.224.1
1.7191.6
16.91.516.3
US$
/Mts
2 US$/Ft 2
40
453.9
42.4
Position Years of experience
Monthly average wage (2010) US$
Field Engineer 7 - 9 $4,380
Oil or Production Engineer
7 - 9 $2,816
Hydrocarbons Business Developer
5 $2,723
Geological Engineer 2 - 5 $2,227
Specialized Machine Operator
0.5 $863
…and a fl exible and competitive regime for exploration, production and service companies.
Growing Demand for Oil and Gas Services The large oil potential in Colombia and an attractive contractual regime have spurred exploration and production activities and generated a signifi cant demand for oil and gas services.
In recent years a growing number of local and international operating companies have established operations in Bogota.
In Bogota there are more than 240 companies involved in exploration and production, most of which are from abroad.
The number of exploration and production companies located in Bogota has doubled in the past 5 years.
In 2010, 78 blocks were awarded to 37 operating companies, of which 12 were newcomers.
Bogota, the capital of Colombia, is a dynamic and cosmopolitan city of more than seven million inhabitants. Thanks to its economic performance, pro-investment environment and excellent quality of life, it is one of the best destinations to do business in Latin America.
Wildcats (2002-2010)
*Data as of July 2010.Source: Agencia Nacional de Hidrocarburos
80
20
40
60
02002 2005 2008
100
10
2821
35
56
7075
76
Plan99
Colombia has a large oil potential…Engineering Graduates in Colombia (2001-2009)
everything you need for a successful oil and gas services operation
An Attractive Business Environment Colombia has been recognized for improving its business environment.
Ease of Doing Business (2010)
Index which compares 183 economies worldwide and measures regulation regarding business and the protection of ownership rights. A lower value indicates greater ease of doing business.Source: World Bank, Doing Business Report 2010
Colombia
Ecuador
Brazil
Argentina
Panama
Peru
Mexico
Chile
0 20 40 60 80 100 120 140
138
129
118
77
56
51
49
37
Ranking
Colombia is the country with the best environment
to do business in Latin America, according to the
2010 World Bank Doing Business Report.
Thou
sand
s
Source: Ministerio de Educación Nacional, Observatorio Laboral
0 10 20 30 40 50 60 70 80 90 100
Bogota Other Cities
2003 2006 20092004 2007 2010*
Computer Science
Industrial
Others
Electronics and Telecommunications
Civil
Mechanical
Enviromental
Electrical
Mining and Metallurgy
91.8
54.6
38.9
38.9
30.6
18
17.1
10.8
4.4
110
Thousands
Bogota is becoming a major center for this industry:
86% of oil and gas service companies in Colombia are located in Bogota.
There are more than 300 companies operating in the city.
The number of new companies has grown 40% since 2005, with a majority of companies from abroad.
A Dynamic Oil and Gas Services Industry
Services for the oil and gas industry have grown by an annual average compounded rate of 31% in the past fi ve years. Total sales in 2009 were approximately US$3 billion.
Oil and Gas Services Revenues in Colombia (2005-2009)
Note: Constant exchange rate of US$1 = COP$2,000Source: Superintendencia de Sociedades (2005-2009). Invest in Bogota calculations
0.5
1.0
1.5
2.0
2.5
3.0
3.5
02005 2006 2007 2008 2009
2.93.1
2.1
1.6
1.0US$
Bill
ions
Bogota has a wide range of multinational players...
...and strong institutional support for the industry.
We are the investment promotion agency for Bogota and Cundinamarca, a public-private
partnership between the Bogota Chamber of Commerce, the Bogota City Government and
the Government of Cundinamarca.
Our mission is to support investors that are exploring opportunities in Bogota and
Cundinamarca.
In 2009 we were ranked as the top non- OECD investment promotion agency in the World
by the World Bank.
We have a multidisciplinary team with sector-specific expertise, which allows us to provide
prospective investors with value added advice and information.
We offer, free of charge, and in absolute confidentiality, services for investors during each
stage of their investment process.
Exploratory Phase General, sector and company specific information.
Coordination of fact-finding visits.
Meetings with government and regulatory authorities.
Visits to existing investors.
Meetings with professional service firms.
Meetings with educational and training institutions.
Start-Up Phase Advice during start-up.
Support with permits and regulations.
Contacts with potential suppliers, clients or partners.
Development of tailor made training programs, including Talk to the World, the city’s
English language training program.
Operational Phase Follow up of your company’s development.
Support in reinvestment-related activities.
Networking with other companies.
Continuous monitoring and improvement of business climate.
Invest in Bogota
Please contact us at:
Email: [email protected]: +57 (1) 742-3030Fax: +57 (1) 742-3050Address: Carrera 7 N.° 71-21, Torre B, Of. 901Bogota, Colombia
www.investinbogota.org
Operating Companies
In addition to Ecopetrol, which produces 60% of the country’s oil, there is a large number of multinational operating companies that require services.
Main Sector Entities
Service Companies
Numerous multinational oil and gas services companies are located in Bogota; there is also a critical mass of experienced local companies.
www.anh.gov.cowww.minminas.gov.co
www.campetrol.org www.acipet.com
Bogota has a wide range of multinational players...
...and strong institutional support for the industry.
We are the investment promotion agency for Bogota and Cundinamarca, a public-private
partnership between the Bogota Chamber of Commerce, the Bogota City Government and
the Government of Cundinamarca.
Our mission is to support investors that are exploring opportunities in Bogota and
Cundinamarca.
In 2009 we were ranked as the top non- OECD investment promotion agency in the World
by the World Bank.
We have a multidisciplinary team with sector-specific expertise, which allows us to provide
prospective investors with value added advice and information.
We offer, free of charge, and in absolute confidentiality, services for investors during each
stage of their investment process.
Exploratory Phase General, sector and company specific information.
Coordination of fact-finding visits.
Meetings with government and regulatory authorities.
Visits to existing investors.
Meetings with professional service firms.
Meetings with educational and training institutions.
Start-Up Phase Advice during start-up.
Support with permits and regulations.
Contacts with potential suppliers, clients or partners.
Development of tailor made training programs, including Talk to the World, the city’s
English language training program.
Operational Phase Follow up of your company’s development.
Support in reinvestment-related activities.
Networking with other companies.
Continuous monitoring and improvement of business climate.
Invest in Bogota
Please contact us at:
Email: [email protected]: +57 (1) 742-3030Fax: +57 (1) 742-3050Address: Carrera 7 N.° 71-21, Torre B, Of. 901Bogota, Colombia
www.investinbogota.org
Operating Companies
In addition to Ecopetrol, which produces 60% of the country’s oil, there is a large number of multinational operating companies that require services.
Main Sector Entities
Service Companies
Numerous multinational oil and gas services companies are located in Bogota; there is also a critical mass of experienced local companies.
www.anh.gov.cowww.minminas.gov.co
www.campetrol.org www.acipet.com
