Macro EnvironmentThe underperform rating is maintained due to a challenging macro environment for the oil and gas industry in Colombia, along with lower production estimates and higher lifting costs.
Political And Fiscal RisksInvestor risk aversion to Ecopetrol has been driven by politicization concerns, with risks such as potential divestiture of the Permian assets and fiscal challenges.
Structural ChallengesStructural challenges for Ecopetrol include a lack of a clear investment proposition since the 2021 acquisition of Interconexion Electrica and the task of stabilizing declining production in Colombia.