Positive Outlook for Ecopetrol

S&P has changed the outlook on Ecopetrol’s BB+ rating to positive from stable after a similar move on the Colombia sovereign. The action, says S&P, reflects the state-owned oil company’s leadership in the country’s oil and gas industry, low production costs and its proven access to the capital markets. Ecopetrol said last week it plans to invest $80bn from 2011-2020, with the aim of producing 1m barrels per day (bpd) of oil by 2015. The amount implies a significant pickup to spending in recent years, and should also boost the issuer’s capital markets needs.