Ecopetrol S.A. (EC): Marketing Mix Analysis [Dec-2025 Updated]

You're looking to cut through the noise and see exactly how Ecopetrol S.A. is positioning itself as the energy transition accelerates into late 2025, and honestly, it's a fascinating balancing act. We need to map their bedrock business-crude sales that averaged near $78/bbl in the first half-against their aggressive pivot, which includes a $5.5 billion capital expenditure plan focused on low-carbon growth, aiming for 500 MW in renewables capacity. I've distilled their entire market approach-what they sell, where they sell it, how they promote it, and the pricing reality-into a precise four-part breakdown below so you can see the strategy clearly.

Ecopetrol S.A. (EC) - Marketing Mix: Product

You're looking at the tangible offerings from Ecopetrol S.A. as of late 2025, which is a mix of traditional hydrocarbons and a rapidly expanding clean energy portfolio. The core product line, honestly, hasn't changed its fundamental nature, but the supporting products are shifting fast.

Crude oil and natural gas exploration and production (E&P) remains the bedrock of Ecopetrol S.A.'s output. The 2025 plan was set to sustain organic production in the range of 740,000-745,000 barrels of oil equivalent per day (boed). This production mix is weighted heavily toward liquids, targeting output where 78% is crude oil, 17% is natural gas, and the remaining 5% are white products. To support this, the 2025 investment for the E&P segment was approximately 17.2 trillion pesos. Drilling activity for 2025 included plans for 455-465 development wells, with the majority, about 79%, in Colombia, plus 10 planned exploratory wells.

The downstream segment focuses on transforming that crude into essential refined products. Ecopetrol S.A. operates the Barrancabermeja and Cartagena refineries, with a projected combined throughput for 2025 targeted between 415,000 and 420,000 barrels per day (bpd). Beyond standard fuels, the company is moving into lower-carbon products. For instance, test production of Sustainable Aviation Fuel (SAF) began at the Cartagena refinery in October 2024. Looking further out, a new SAF plant is planned for the Barrancabermeja refinery, requiring an investment between $500 million and $700 million, with production expected to reach 6,000 barrels of SAF per day by 2030.

The product portfolio is actively diversifying into non-conventional renewables. While the initial internal target mentioned 500 MW capacity by 2025, the latest strategic goal Ecopetrol S.A. is working toward is 900 MW of self-generated renewable power by the close of 2025. As of late 2025, the operational renewable capacity stood at an impressive 420 MWp, comprising 11 solar farms totaling 380 MWp and two wind farms adding 40 MWp. Furthermore, Ecopetrol S.A. recently concluded negotiations in November 2025 to potentially acquire seven solar projects totaling up to 88.2 MWp from Grenergy Renovables, which would push them closer to that 900 MW goal.

Here's a quick look at the scale of the renewable capacity additions:

Ecopetrol S.A. also maintains a presence in petrochemicals and basic chemicals, holding leading positions in the petrochemicals segment within Colombia, supplying materials for domestic and international industrial use. The specific 2025 production volumes for these products aren't as readily available as the upstream figures, but the market positioning is clear.

In the emerging hydrogen space, Ecopetrol S.A. is actively developing products. The company currently produces around 130,000 tonnes of primarily grey hydrogen annually for use in refining processes, like desulfurization. A pilot project using a 50kW electrolyser at the Cartagena Refinery was run in 2022 to test green hydrogen production. For future commercial scale, a planned 5-MW electrolyser facility at the Cartagena Refinery aims to produce 800 tonnes of renewable H2 annually once commissioned by 2026. This is part of a broader Low-Carbon Hydrogen Strategic Plan.

You can see the product focus is a balancing act, really.

• Core E&P production target: 740,000-745,000 boed.
• Refinery throughput target: 415,000-420,000 bpd.
• Renewable capacity goal: 900 MW by year-end 2025.
• Planned Green H2 production: 800 tonnes/year by 2026.

Ecopetrol S.A. (EC) - Marketing Mix: Place

The distribution strategy for Ecopetrol S.A. centers on leveraging its extensive, owned infrastructure to ensure product flow across Colombia and facilitate international trade. This physical network is the backbone of getting crude oil, natural gas, and refined products to market.

Extensive pipeline network (Cenit) is the primary distribution backbone across Colombia.

Cenit Transporte y Logística de Hidrocarburos S.A.S., an Ecopetrol subsidiary, operates the core logistics system. This network spans approximately 9,000-kilometer (5,592-mile) of oil and multipurpose pipelines. For 2026, investments in the transportation segment, which includes integrity and reliability projects across Cenit and other associated pipelines, are budgeted at about COP 1.5 trillion. The expected transported volumes for 2026 are targeted between 1,110,000 and 1,120,000 barrels per day. To enhance supply security, Cenit filed preliminary plans for a US$100 million Medellín Bypass pipeline project, valued at roughly 385 billion (bn) pesos.

The distribution backbone is supported by strategic storage and logistics hubs. Ecopetrol subsidiaries maintain a storage capacity of 9 million barrels at the Coveñas maritime terminal. Furthermore, the company is advancing plans to deploy a Floating Storage and Regasification Unit (FSRU) at the Coveñas Marine Terminal to handle LNG imports.

Strategic refining centers at Barrancabermeja and Cartagena for domestic supply and export.

Ecopetrol's two main refining complexes are critical for domestic supply and export commitments. For 2026, the combined refinery throughput is forecast to be maintained between 410,000 and 420,000 barrels per day. The Cartagena Refinery alone has a processing capacity of 210,000 bpd. Investments in this segment for 2026 are close to COP 1.7 trillion, focusing on reliability and sustainability improvements. As part of sustainability efforts at the Cartagena Refinery, its integrated solar farm is expected to generate 34 GWh of energy per year.

The distribution of refined products from these centers involves significant internal logistics. For example, the Cartagena Refinery has contracts to ship 150,000 barrels per month of ultra-low-sulphur diesel (ULSD) and 150,000 barrels per month of regular gasoline to alternate ports for wholesale marketing.

Direct sales to major industrial clients and international traders for crude and gas exports.

International commercial subsidiaries play a key role in moving volumes to global markets. Ecopetrol US Trading, based in Houston, generated an EBITDA of USD 37.1 million in the first quarter of 2024 from the sale of 16.7 million barrels of crude oil and products. The company is also exploring options to import approximately 100 Gbtud of natural gas via the regasification system to cover projected 2025 deficits.

The distribution of refined products domestically is also managed through direct channels and a retail presence. The 2025 production plan included 5% allocated to refined products.

Retail distribution through a network of service stations, often co-branded or independently operated.

While specific numbers for the service station network size aren't explicitly detailed for late 2025, the retail component is supported by the refined products output. The 2025 investment plan allocated capital to maintain operational reliability at the refineries to reduce product imports.

International presence in key basins: US Gulf Coast, Brazil, and Peru for E&P activities.

Ecopetrol's upstream activities support its distribution network through international assets. In 2026, Ecopetrol plans to drill 5% of its development wells in the U.S.. The company's subsidiary, ISA, has energy transmission assets in Brazil and Peru, with an expansion commissioned in Peru (ISA REP Expansion 21).

The distribution footprint can be summarized by the flow volumes and investment allocations:

The company's logistical reach is also demonstrated by its energy transition infrastructure investments, which are separate from the core hydrocarbon transport but support operational placement:

• Installed renewable energy capacity in operation reached 234 MW by the end of 3Q 2025.
• The La Iguana Solar Farm, supplying the Barrancabermeja refinery, has a capacity of 26 MW.
• The Cartagena Refinery's solar eco-park is planned to generate 34 GWh of energy per year.

Ecopetrol S.A. (EC) - Marketing Mix: Promotion

You're looking at how Ecopetrol S.A. communicates its value proposition across its diverse portfolio, which is heavily weighted toward both hydrocarbon stability and the energy transition. The promotion strategy, as of late 2025, is deeply intertwined with its financial guidance and sustainability commitments, aiming to reassure investors and the public simultaneously.

Strong emphasis on Environmental, Social, and Governance (ESG) reporting and sustainability initiatives forms a core part of Ecopetrol S.A.'s external messaging. The company published its first 2024 Financial Sustainability Report in November 2025, a key communication piece that consolidated prior disclosures under the Task Force on Climate-related Financial Disclosures (TCFD) and the Sustainability Accounting Standards Board (SASB) metrics, now incorporating reference elements from the International Sustainability Standards Board (ISSB) framework. This move signals a commitment to standardized, transparent reporting. Furthermore, as of October 09, 2025, Ecopetrol S.A.'s S&P Global ESG Score stood at 62 within the OGX Oil & Gas Upstream & Integrated industry classification. The company also highlights its commitment to achieving a reduction of approximately 300,000 tons of CO2e by 2025 as part of its broader decarbonization targets.

Investor relations roadshows are actively highlighting the approved 2025 Annual Investment Plan, which is set between 24 and 28 trillion pesos. This budget is framed around capital discipline while aggressively funding the energy transition. Specifically, approximately 6.5 trillion pesos, representing 24% of the total 2025 budget, is allocated to projects in the Energy Transition and Energy Transmission and Roads businesses, alongside other corporate investments. This focus is designed to support the narrative of a balanced energy company, projecting an estimated EBITDA margin of 39% for 2025, assuming a Brent price of $73/barrel. The projected transfers to the Nation from this plan are approximately 35 trillion pesos.

Corporate social responsibility (CSR) programs are communicated under the banner of the SosTECnibilidad® pillar. For 2025, Ecopetrol S.A. is committing approximately 2.3 trillion pesos to these initiatives. These funds are directed toward tangible community development and environmental stewardship, focusing on areas like climate change mitigation, sustainable territory development, innovation, science and technology, biodiversity, and ecosystem services. This investment level shows a defintely tangible commitment beyond regulatory compliance.

Digital communication campaigns are strategically deployed to position natural gas as a crucial transition fuel while showcasing renewable energy growth. Ecopetrol S.A. is pushing its gas development, with investments estimated between 3.1 and 3.3 trillion pesos in 2025, targeting production of approximately ~700 million cubic feet of natural gas, where 85% is earmarked as gas supply for the country. On the renewable front, the company is promoting that it aims to have 900 MW of renewable power generation in its portfolio by the close of 2025. This target is being bolstered by recent acquisitions, such as the Statkraft portfolio, which adds 614 MW of solar and 750 MW of wind capacity, effectively exceeding the stated 2025 goal.

Public relations efforts are focused on managing the narrative around national energy security and self-sufficiency, particularly concerning natural gas supply. The commitment to gas self-sufficiency is backed by the gas investment figures mentioned above, directly linking Ecopetrol S.A.'s operational plans to national stability. The company's overall production mix guidance for 2025 shows natural gas contributing 17% of the total expected output of 740,000 to 745,000 barrels of oil equivalent per day.

Here's a quick view of key promotional and financial metrics for 2025:

The communication strategy leverages these concrete numbers to build confidence. You can see the commitment to the future through the renewable MW targets and the gas supply figures, which directly address national needs. The financial projections, like the 39% EBITDA margin, serve to anchor the transition story in near-term profitability.

• S&P Global ESG Score (Oct 2025): 62
• 2024 Financial Sustainability Report published incorporating ISSB elements.
• Gas supply contribution target: 85% of ~700 million cubic feet from 2025 gas investment.
• Renewable capacity added via Statkraft acquisition: 614 MW solar and 750 MW wind.

Ecopetrol S.A. (EC) - Marketing Mix: Price

Price for Ecopetrol S.A. is fundamentally tied to global commodity markets, though domestic sales are influenced by Colombian governmental policy. You see this split clearly when looking at their realized prices versus regulated sales.

Crude oil and gas prices are pegged to international benchmarks, primarily Brent for crude and Henry Hub-related indices for gas. For 2025 planning, Ecopetrol S.A. based its financial strategy on an assumed average Brent price of USD 73/barrel. However, market volatility meant actual realized prices fluctuated; for instance, Brent crude was trading around $65 per barrel in April 2025, with WTI near $62 a barrel. The crude oil basket differential for the first quarter of 2025 was USD 6.26/bl, an improvement of 25% compared to the first quarter of 2024. By the second quarter of 2025, the crude trading differential reached -USD 3.7/Bl. Natural gas sales prices saw a slight dip in the first half of 2025, moving from 27.1 USD/Bl to 26.9 USD/Bl.

Realized crude oil price averaged near $78/bbl in the first half of 2025, reflecting market volatility.

Domestic fuel prices are subject to government regulation and stabilization funds in Colombia. Given the Colombian government owns 88% of Ecopetrol S.A., fiscal policy directly impacts realized pricing and profitability. For example, in the first quarter of 2025, the company reported a 1.2 trillion peso hit to its bottom line due to a higher tax burden from a presidential decree. The pricing structure for the domestic market must balance national fiscal needs with consumer affordability, which is why you see the government as a major recipient of funds.

Here's a look at the financial flows related to pricing and government take:

Pricing for petrochemicals and refined products is competitive, based on regional market rates. Ecopetrol S.A. is focused on maximizing the value from its downstream assets, which involves optimizing throughput against regional supply dynamics. The targeted average refinery load for 2025 was set between 415,000 and 420,000 barrels per day (bpd). Following major maintenance at the Barrancabermeja refinery, throughput reached 405 mbd during the first half of the year. The 2025 investment budget allocated approximately 1.6 trillion pesos to the refining segment, partly aimed at reducing product imports.

Investment in low-carbon solutions is priced for long-term value creation, not immediate margin. These investments are strategic, aiming to complement the energy matrix and support future operational stability rather than immediate profit generation from the asset itself. You can see this in the capital allocation:

• Energy Transition business line investment in 1Q25: USD 170 million (or COP 0.7 trillion).
• This represented 14% of the total capital expenditures for the Ecopetrol Group in 1Q25.
• The company is pursuing a target of 900 MW of self-generated renewable energy.
• In late November 2025, Ecopetrol S.A. negotiated the acquisition of solar projects totaling up to 88.2 MWp capacity.

For the 2026 plan, which reflects the long-term view, approximately COP 7.1 trillion is slated for energy transition initiatives.