Colombia's Ecopetrol gets gov't OK for ISA stake sale to boost finances

lunes 13 de abril de 2015 22:43 GYT
 

BOGOTA, April 13 (Reuters) - Colombia's state-run oil company Ecopetrol said it has received government approval to sell its stake in power transmission company Interconexion Electric (ISA) to finance investment plans.

Ecopetrol, which owns a 5.32 percent stake in ISA, had asked for approval for the sale, which is expected to raise around $183 million, as a fall in oil prices slashes its cash flow and its investment budget.

Colombia is under pressure to keep up investment in oil with reserves set to run out in less than seven years unless significant new discoveries are made.

Ecopetrol's shares have roughly halved since late 2013. Juan Carlos Echeverry took over as CEO a week ago, replacing Javier Gutierrez who had been at the helm for more than eight years. (Reporting by Peter Murphy and Nelson Bocanegra; Editing by Edwina Gibbs)