The government of Ecuador has renegotiated an oil contract with PetroOriental S.A., a Chinese-owned company, for Block 14 in Orellana province. The updated agreement, signed on January 7 by Minister of Environment and Energy Inés Manzano and PetroOriental’s executive president Ma Wenjie, extends the contract until 2040.
The new terms include an investment commitment of approximately $36 million between 2026 and 2040. These funds will be allocated to exploration activities, increasing production, social programs, and environmental compensation efforts in the Ecuadorian Amazon.
Minister Manzano stated: “This process guarantees the extension of the contractual term, which enables long-term investments, maximizes reserve recovery and ensures operational stability of the field, prioritizing social responsibility and environmental commitment in every activity.”
Key points from the renegotiation include drilling five new wells, reconditioning two existing wells through zone changes, and implementing an injection optimization project. The estimated cumulative production is expected to reach 8.4 million barrels of oil by 2040. About $6 million will be invested specifically in health, industrial safety, environment initiatives, and community social programs.
Under the revised contract terms, more than 86% of oil revenues from this block will go to the state.
The government says these changes are designed to provide legal security for investors while strengthening international confidence in Ecuador’s hydrocarbon sector. The aim is to boost national productivity and generate sustainable benefits for citizens.
