Articles
Business intelligence and analysis on Ecuador
Government to Tender 2,100 MW Across Three Power Projects in 2026 — Including 1,500 MW Solar Mega-Plant in Zapotillo That Would Rank Among Latin America's Largest
Ecuador's Energy Ministry announced plans to tender three major power generation projects in 2026 totaling 2,100 MW: a 400 MW natural gas combined-cycle plant, a 200 MW solar photovoltaic facility in Santa Elena, and a 1,500 MW solar mega-park in Zapotillo, Loja province. The combined investment pipeline is estimated at $2.5-3 billion and represents Ecuador's most aggressive energy diversification push since the 2016 hydroelectric expansion, directly addressing the grid vulnerability exposed by the 2024 blackout crisis.
Consortium Named Top Bidder to Nearly Double Termogas Machala Capacity From 230 MW to 430 MW, Strengthening Grid After 2024 Blackout Crisis
A consortium has been identified as the top bidder to support the revamp and expansion of the Termogas Machala natural gas-fired power plant from 230 MW to 430 MW. The project, located in El Oro province on Ecuador's southern coast, will nearly double the plant's capacity using gas from the Amistad field in the Gulf of Guayaquil, providing critical baseload power as the country recovers from the 2024 energy crisis.
$117.6 Million IDB-Backed Investment Targets 85% Renewable Power in Galapagos by 2030, 100% by 2040
The Government of Ecuador announced a $117.6 million investment to strengthen climate resilience and accelerate the energy transition in the Galapagos Islands, backed by the Inter-American Development Bank. The 'Energy Evolution' plan targets 85% renewable power by 2030 and 100% by 2040, potentially eliminating 130,411 tonnes of CO2 emissions and opening the door to carbon-market financing.
Petroecuador Declares Force Majeure at Esmeraldas Maritime Terminal After Tanker Strikes Submarine Pipeline, Disrupting Fuel Supply to Northern Ecuador
Petroecuador declared force majeure and a 60-day emergency at the Esmeraldas Maritime Terminal after the tanker 'Seaways Wheat' struck a submarine pipeline during diesel discharge on February 8, 2026, caused by adverse weather conditions. The incident disrupts programmed discharges of Premium Diesel, Ron 95 Gasoline, and Diesel Oil — threatening fuel supply to northern Ecuador's coastal and highland regions served by the terminal.
Petroecuador Awards $644.8 Million in Crude Oil Export Contracts for 14.4 Million Barrels to Unipec, Shell, and PetroChina, Plus $128 Million Spot Sale
EP Petroecuador awarded the export of 14.4 million barrels of crude oil (Oriente and Napo grades) through two international public tenders, expected to generate approximately $644.8 million. Awards went to Unipec America, Shell Western Supply and Trading, and PetroChina International. A separate spot sale of 1.44 million barrels of Oriente crude to PetroChina at a WTI differential of -$3.91/barrel is expected to bring $128 million — marking Ecuador's second spot operation of 2026.
Ecuador Commits $2.43 Billion to 23 Power Projects Adding 1,471 MW by 2030, With Solar Accounting for 963 MW and $913 Million After Worst Energy Crisis in Decades
Ecuador unveiled its 2025-2030 electric power expansion plan committing $2.43 billion across 23 projects to add 1,471 MW of new hydro, solar, wind, and geothermal capacity. Solar dominates the plan at 963 MW ($913 million), accounting for 65% of new capacity — a strategic pivot away from the hydropower dependence that caused daily blackouts of up to 14 hours and an estimated $2 billion in economic losses during the 2024 drought crisis.
Ecuador's Petroleum Paradox: $5.9B in Projected Crude Exports Nearly Matched by $5.0B Fuel Import Bill in 2026
Ecuador's Ministry of Finance projects the country will export approximately $5.926 billion in crude oil in 2026 while importing $4.981 billion in refined fuels — reducing the net petroleum benefit to just $945 million. The near-parity between crude revenue and fuel costs represents an 85% erosion from 2023 levels and exposes the structural fragility of an oil-producing nation that cannot refine enough of its own crude.
Petroecuador Awards 14.4 Million-Barrel Crude Export Contract Worth ~$645 Million to Unipec, Shell, PetroChina, and ENAP
Petroecuador awarded export contracts for 14.4 million barrels of crude oil -- 9.36 million barrels of Oriente and 5.04 million barrels of Napo grade -- to four international firms in tenders held February 5, 2026. The contracts, worth an estimated $645 million in state revenue, went to Unipec America (Sinopec subsidiary), Shell Western Supply and Trading, PetroChina International, and Chile's ENAP, reflecting Ecuador's continued diversification of crude buyers beyond its traditional China-heavy offtake base.
Elecaustro Launches Bid for 100MW Replacement Barge as Karpowership Contract Expires, Exposing Grid's Continued Rental Dependence
Elecaustro issued a competitive bid to lease a power generation barge of up to 100 megawatts to replace capacity lost when its Karpowership contract expired on January 7 after a 110-day term. The procurement underscores Ecuador's continued dependence on rented emergency generation -- 334MW across three barges and two thermal plants -- even as the government advances a $2.43 billion long-term power expansion plan targeting 1,471MW of new capacity.
Sinopec Wins $105M Petroecuador Contract for Amazon Drilling Campaign Targeting 12,000 bpd Across Orellana and Sucumbios
Petroecuador awarded a $105 million drilling services contract to China's Sinopec for a multi-well campaign across Orellana and Sucumbios provinces in the Ecuadorian Amazon. The programme targets 12,000 barrels per day of incremental production and is expected to create 2,500 local jobs. The contract deepens China's growing role in Ecuador's upstream oil sector.
Ecuador Unveils $2.43B Power Expansion Plan Targeting 1,471 MW of New Capacity Across 23 Projects With Nuclear Exploration
Ecuador's Ministry of Energy published its 2025-2030 electric power expansion plan, committing $2.43 billion across 23 generation projects totalling 1,471 MW of new capacity. Solar dominates with 963 MW, while the government disclosed plans to explore small modular nuclear reactors in the medium term -- a first for the country -- as it races to close a projected 76% demand growth gap by 2034.
Petroecuador Signs Energy Cooperation MoU With Abu Dhabi's ADNOC as Ecuador Courts Gulf Investment
Petroecuador formalised an energy cooperation framework with Abu Dhabi National Oil Company (ADNOC) through a memorandum of understanding signed by UAE Minister Sultan Al Jaber and Ecuador's Minister Ines Manzano. While non-binding, the MoU establishes a channel for collaboration on crude purchases, technical best practices, and strategic cooperation as Petroecuador confronts declining output and an urgent need for operational modernisation.
