Ecopetrol Takes Out Half-Billion USD Loan From Banco Santander

Ecopetrol S.A. (BVC: ECOPETROL; NYSE: EC) has announced that the Ministry of Finance and Public Credit (“MHCP”) authorized the company to execute a loan agreement of up to $500 million USD with Banco Santander, S.A., through Resolution 0910 dated April 25, 2025. The term of the loan will be five years, payable at maturity, and the interest rate will be indexed to the SOFR rate.

The funds from this operation are intended to be allocated to non-investment expenses, as per the resolution issued by the MHCP and the company’s 2025 financing plan, and help reach the Gross Debt/EBITDA target for the year.

To obtain the MHCP authorization, the company complied with all required internal procedures and approvals. The MHCP reviewed and authorized the terms of the draft agreement, which will be governed by the laws of the State of New York.

Photo credit: Ecopetrol/Flickr.