Colombia Captures Mining and Oil Investments from Venezuela and Ecuador

Colombia is watching its foreign mining and oil investments boom as security gains and capitalist friendly investment rules come in to play.

The third largest oil producing nation in South America after Brazil and Venezuela seems to be on its way to the bank.

The state owned Ecopetrol is currently producing 90% of the crude oil today. There is a great scope for private players and many of them are entering the Colombian market. The target of 1 million barrels of crude a day by 2012 is pushing up direct foreign investment.

Last year alone saw $7.2 billion being invested in petroleum and mining. The mining sector foreign investments are doubling as companies look for the next big thing in unexplored markets. As per Patrick Esteruelas an analyst with the Eurasia Group, Colombia keeps popping up on the radar.

Venezuela and Ecuador have alienated many energy investors by rewriting oil contracts and increasing royalties and taxes so much that many multinationals pulled out. In contrast Colombia's outgoing president, Alvaro Uribe, offered strong incentives for investment. These are paying rich dividends to the country today.

Historically an agrarian economy, Colombia urbanised rapidly in the twentieth century, by the end of which just 22.7% of the workforce were employed in agriculture, generating just 11.5% of GDP. 18.7% of the workforce are employed in industry and 58.5% in services, responsible for 36% and 52.5% of GDP respectively.

Colombia is rich in natural resources, and its main exports include petroleum, coal, coffee and other agricultural produce, and gold. Colombia is also known as the world's leading source of emeralds.

Joel Scanlon

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Joel Scanlon

Joel relocated to Australia in 1995 from the United Kingdom and spent five years working in the mining industry as an exploration geotechnician. His role involved utilizing GIS mapping and CAD software. Upon transitioning to the North Coast of NSW, Australia, Joel embarked on a career as a graphic designer at a well-known consultancy firm. Subsequently, he established a successful web services business catering to companies across the eastern seaboard of Australia. It was during this time that he conceived and launched News-Medical.Net. Joel has been an integral part of AZoNetwork since its inception in 2000. Joel possesses a keen interest in exploring the boundaries of technology, comprehending its potential impact on society, and actively engaging with AI-driven solutions and advancements.

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