Ecopetrol S.A. EC, the majority state-owned oil company in Colombia, has announced the acquisition of renewable energy development companies in Colombia from Statkraft. Per the terms of the agreement, Ecopetrol will purchase 10 wind and solar energy project development companies from Statkraft, a major European firm specializing in renewable energy production.
Ecopetrol mentioned that the portfolio of projects under these companies could have a total capacity of up to 1.3 gigawatts (GW). This would be utilized by EC for its domestic energy needs. The sale of these renewable energy development companies also marks Statkraft’s exit from the South American nation. In October 2024, Statkraft mentioned that it would divest certain assets in India, Croatia and the Netherlands. The company intends to maintain its investment focus on a few key global markets.
Statkraft’s portfolio of projects in Colombia was spread across the La Guajira, Sucre, Córdoba, Caldas, and Magdalena departments, of which one is currently operational. Some of the projects are expected to begin operations between 2026 and 2027. However, as of now, several of these projects do not have a specified time frame for commencement of operations.
Earlier this year, EC announced its plan to obtain $2 billion of additional debt to fund inorganic investments in 2025. The company is also eyeing other renewable energy projects in Colombia, such as the Windpeshi project, a 205-megawatt wind project developed by Enel SpA.
EC’s Zacks Rank and Key Picks
EC currently carries a Zacks Rank #5 (Strong Sell).
Some better-ranked stocks from the energy sector are Diversified Energy Company plc DEC, Expand Energy Corporation EXE and RPC, Inc. RES, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Diversified Energy Company is an independent oil and natural gas producer in the United States. The company is primarily engaged in the production, transportation, and marketing of natural gas and natural gas liquids. The rising demand for natural gas as a cleaner-burning fuel and an uptick in the commodity’s prices are expected to positively impact the company’s bottom line.
Expand Energy is a leading U.S.-based natural gas producer formed through the merger of Chesapeake Energy Corporation and Southwestern Energy Company. Natural gas is expected to play an increasingly important role in the energy transition journey. Expand Energy is poised to benefit from the rising demand for natural gas as a cleaner-burning fuel. The recent rise in natural gas prices is also anticipated to positively impact EXE’s profitability.
RPC generates strong and stable revenues through a diverse range of oilfield services, including pressure pumping, coiled tubing and rental tools. RPC is strongly committed to returning value to shareholders through consistent dividend payments and share buybacks, making it an attractive choice for investors seeking steady returns.
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Ecopetrol S.A. (EC): Free Stock Analysis Report Diversified Energy Company PLC (DEC): Free Stock Analysis Report RPC, Inc. (RES): Free Stock Analysis Report Expand Energy Corporation (EXE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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