Colombia's Natural Gas Crisis Deepens as Strait of Hormuz Closure Cuts Supply
EU Warns Energy Prices Will Stay Elevated Through 2027 As Oilprice’s South America correspondent, I cover Colombia (where I currently live), Venezuela, Ecuador, Peru, Brazil, Argentina, Chile, Bolivia, Paraguay, Guyana, Suriname and Uruguay.
I… Strife-torn Colombia is facing a severe energy crisis at a critical juncture.
Global supply of natural gas is heavily constrained due to theclosure of the Strait of Hormuzafter U.S.
This could not come at a worse time for Colombia, with the Andean country experiencing a massive surge in demand for natural gas at a time when domestic production is declining.
Therapidly growing supply shortfallwas filled by costly liquefied natural gas (LNG) imports, the future of which now appears uncertain.
These events are weighing heavily on Colombia's vulnerable economy.
Colombia's energy patch appearscaught in a death spiralwith petroleum and natural gas production declining sharply over the last decade.
During March 2026, petroleum output grew by just under 1% compared to a month prior but was 1% lower year over year to an average of 740,497 barrels per day.
This is significantly lower than the 917,210 barrels per day lifted a decade earlier for March 2016.
Declining oil production is a key contributor to Colombia's emerging energy crisis because a considerable portion of the natural gas produced in the Andean country is associated with petroleum production.
Drillers are using that associated natural gas for enhanced recovery by reinjecting it into petroleum reservoirs to boost pressure and reduce viscosity, especially for Colombia's mature heavy oil fields.
Indeed, the aging nature of Colombia's oilfields, with most having reached peak production a decade or more ago, places greater pressure on drillers to employ enhanced recovery.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
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