BOGOTA, Colombia, June 29,
2017 /CNW/ -- Ecopetrol S.A (BVC: ECOPETROL; NYSE: EC)
("Ecopetrol" or the "Company") reports that on June 30, 2017 it will repay in advance its entire
syndicated bank loan contracted with the international banking. The
credit has a nominal value of USD$ 1,925
million which original due is February 2020.
This early payment is the result of the Company's solid cash
position, which by the end of the first quarter of 2017 amounted
more than USD $ 6,000 million. The
solid cash position is the result of efficiencies and savings
achieved by the Ecopetrol Business Group (Grupo Empresarial
Ecopetrol [GEE]), which from 2015 to date total more than USD
$ 1,500 million.
As a result of this early payment operation, credit metrics
improve, including the Debt/Ebitda1 indicator reported
to March 31, 2017 from 2.6 to 2.3
times. In addition, the Group's cash position will remain sound,
allowing it to adequately address fluctuating crude price
scenarios, maintaining the pace of investment for organic growth
opportunities, as well as being able to realize potential inorganic
growth for the acquisition of reserves.
The early payment is in line with the objectives of the 2020
business plan and confirms the company's commitment to continue to
improve its credit rating and increase the return for its
shareholders.
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This release contains statements that may be considered
forward looking statements within the meaning of Section 27A of the
U.S. Securities Act of 1933 and Section 21E of the U.S. Securities
Exchange Act of 1934. All forward-looking statements, whether made
in this release or in future filings or press releases or orally,
address matters that involve risks and uncertainties, including in
respect of the Company's prospects for growth and its ongoing
access to capital to fund the Company's business plan, among
others. Consequently, changes in the following factors, among
others, could cause actual results to differ materially from those
included in the forward-looking statements: market prices of oil
& gas, our exploration and production activities, market
conditions, applicable regulations, the exchange rate, the
Company's competitiveness and the performance of Colombia's economy and industry, to mention a
few. We do not intend, and do not assume any obligation to update
these forward-looking statements.
For further information, please contact:
Head of Corporate Finance and Investor Relations
(A)
Lina María Contreras
Mora
Phone: (+571) 234 5190
E-mail: investors@ecopetrol.com.co
Media Relations (Colombia)
Jorge Mauricio Tellez
Phone: (+ 571) 234 4329
E-mail: mauricio.tellez@ecopetrol.com.co
1 Last twelve months Ebidta.
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SOURCE Ecopetrol S.A.