In an August 22, 2025, report, Fitch Ratings affirmed the credit ratings for Grupo Energía Bogotá S.A. E.S.P. (GEB) and its long-term senior unsecured debt at ‘BBB’ with a negative outlook. The negative outlook is attributed to the negative outlook on the company’s controlling entity, the city of Bogotá.

The affirmation of GEB’s ratings reflects its stable cash flow, business position, and adequate liquidity. Fitch anticipates the company’s credit metrics will remain consistent with its rating over the medium term. However, the ratings also account for GEB’s reliance on dividends from subsidiaries, its ongoing growth strategy, and a high dividend payout policy.

GEB operates a diversified portfolio of regulated businesses in electricity and natural gas transport and distribution. Its primary subsidiaries, Transportadora de Gas Internacional S.A. E.S.P. (BBB/Negative) and Gas Natural de Lima y Callao S.A. (Cálidda) (BBB/Stable), are the main contributors to its EBITDA, representing more than 70% of EBITDA from controlled companies. Dividends from its non-controlling stake in Enel Colombia S.A. E.S.P. (BBB/Negative) are expected to be the main source of dividends, averaging 60%.

Fitch projects GEB’s EBITDA leverage to increase to 4.2x in 2026 from 4.0x in 2024. The company’s free cash flow is projected to remain negative in 2025 and 2026, driven by higher capital expenditures and a dividend payout ratio of approximately 70%. GEB’s investment program is estimated to total around $1.5 billion from 2025 to 2028, with 44% directed to transmission projects in Colombia and 30% to natural gas transportation.

GEB’s credit profile is comparable to its investment-grade peers. Its ‘BBB’ rating is one notch below Enel Américas S.A. (BVC: ENELAM) (BBB+/Stable) and two notches above Empresas Públicas de Medellín E.S.P. (EPM) (BVC: EPM) (BB+/Negative). Enel Américas has a more conservative capital structure and a wider geographic footprint. EPM’s rating is linked to that of its owner, the city of Medellín. GEB is rated one notch above both AES Andes S.A. (SNSE: AESANDES) (BBB-/Stable) and Promigas S.A. E.S.P. (Promigas) (BBB-/Stable), due to its business concentration in a regulated environment compared to AES Andes, and its greater business and geographic diversification compared to Promigas.

The rating of GEB is not capped by the credit profile of its controlling owner due to regulatory ring-fencing mechanisms, material minority shareholders, and strong governance practices. These factors, under Fitch’s Parent-Subsidiary Rating Criteria, allow GEB to be rated two notches above Bogotá’s consolidated profile of (BB+/Negative).

GEB’s exposure to regulatory risk is considered low to moderate, with its geographic diversification and the strong business positions of its subsidiaries mitigating a concentration in regulated businesses in Colombia. The company’s rating is also above Colombia’s Country Ceiling (BBB-) because its applicable Country Ceiling is that of Peru (A-), reflecting the significant EBITDA generated by its Peruvian subsidiary Cálidda and dividends from its stakes in Peruvian transmission companies Consorcio Transmantaro and Red de Energía del Perú. These cash flows are sufficient to cover GEB’s foreign-currency interest payments.

GEB’s liquidity is supported by cash on hand, predictable cash flow from operations, and access to capital markets. As of June 2025, the company had approximately $327 million in cash and equivalents. It faces near-term debt maturities of $259 million in the remainder of 2025 and $495 million in 2026, which Fitch expects the company to refinance successfully.

Grupo Energía Bogotá. Photo credit: Grupo Energía Bogotá/Facebook.

Aris Mining Corporation (TSX: ARIS; NYSE-A: ARMN) has announced the completion of a pre-feasibility study (PFS) for its 51%-owned Soto Norte Gold Project in Santander, Colombia. The study outlines a smaller-scale development plan than previously considered, reducing processing capacity to 3,500 tons per day (tpd) from the initial 7,000+ tpd.

Neil Woodyer, CEO of Aris Mining, commented on the new plan: “The Soto Norte PFS outlines a project that balances scale, profitability, environmental stewardship, and community input. Our plan dedicates 750 tpd—more than 20% of total capacity—for material mined by local community groups, replacing informal mills that pollute waterways with safe, licensed processing. All mine water will be collected, treated, and safely returned, safeguarding the Bucaramanga and regional water supplies and improving water quality in the local community mining areas. The PFS results highlight Soto Norte’s ability to deliver significant long-term value for shareholders and our community and government partners, while adhering to the highest standards of safety, water protection, and environmental management. With the PFS complete, we are completing environmental studies and preparing to apply for an environmental license in early 2026. Soto Norte stands out as one of the most attractive gold projects in the Americas.”

The PFS, based on a gold price of $2,600 per ounce, presents a project with a 22-year initial mine life and a processing capacity of 3,500 tpd. The study excludes any economic contribution from the 750 tpd dedicated to local community miners.

Financial Metrics: The after-tax net present value (NPV) at a 5% discount rate is estimated at $2.7 billion, with an internal rate of return (IRR) of 35.4%. The payback period from the start of operations is projected to be 2.3 years.

Costs: Initial capital is estimated at $625 million, including pre-production costs, VAT, and contingency. The projected life-of-mine cash costs are $345 per ounce of gold, with all-in-sustaining costs (AISC) of $534 per ounce.

Production: The study estimates average annual gold production of 263,000 ounces (koz) during the first ten years, with a total of 4.3 million ounces (Moz) of gold produced in concentrates over the mine’s life. It also includes significant by-product credits from silver and copper.

Resources and Reserves: The project’s proven and probable mineral reserves are 20.3 million tons at a grade of 7.00 g/t gold, containing 4.6 Moz gold. Measured and indicated mineral resources stand at 39.0 million tonnes at 5.55 g/t gold, containing 7.0 Moz gold.

The project’s design focuses on environmental and social sustainability, particularly in the municipalities of California, Suratá, and Matanza in Santander, a department of Colombia. Key features include:

• Community Processing: A portion of the plant’s capacity will be reserved to process material from local miners, providing a regulated alternative that avoids the use of mercury.
• Water Management: The plan is designed to protect local watercourses by managing clean and contact water separately. A recycling system allows for 96.5% water reuse, and the facility will not use cyanide or mercury.
• Local Employment: Peak construction is expected to create approximately 2,300 jobs, with long-term operations sustaining about 675 direct employees.
• Infrastructure: A rope conveyor will transport ore to the plant, reducing truck traffic and environmental footprint.

A complete Technical Report compliant with National Instrument 43-101 has been filed on SEDAR+ and with the US Securities and Exchange Commission (SEC) on EDGAR.

Above photo: Commissioning of the second ball mill at Segovia. Photo credit: Aris Mining/X.

The board of directors of Tecnoglass, Inc. (NYSE: TGLS, NASDAQ: TGLS) announced a quarterly dividend of $0.15 per share for the third quarter of 2025. This declaration follows the company’s established practice of a $0.60 per share annualized payout.

The dividend is scheduled to be distributed on October 31, 2025, to shareholders of record as of the close of business on September 30, 2025.

Tecnoglass, Inc., a producer of aluminum and vinyl windows and architectural glass, operates a 5.8 million-square-foot, vertically integrated manufacturing complex in Barranquilla, Colombia. The company serves residential and commercial markets in North, Central, and South America, with the United States accounting for 95% of its total revenue.

The company’s products are used in various properties, including:

• One Thousand Museum (Miami)
• Paramount Miami Worldcenter (Miami)
• Salesforce Tower (San Francisco)
• Via 57 West (New York)
• Hub50House (Boston)
• Aeropuerto Internacional El Dorado (Bogotá)
• One Plaza (Medellín)
• Pabellón de Cristal (Barranquilla)

Cook County Central Campus Health Center, Chicago. Photo credit: Tecnoglass.

Another ‘interesting’ week in Colombia – there again, when isn’t it? Headlines revolved around violence, confidence, debt, risk, and the budget – amongst other things.

FARC dissidents downed an electricity pylon near Medellín in what the governor described as a terrorist attack on Antioquia. No Colombia – Antioquia. Subtly and indirectly, the blame was pointed in Petro’s direction amidst the continued whiff of federalism. Medellín Mayor Fico Gutierrez was nowhere to be seen as he was busy in Washington trying to score points versus Gustavo Petro, having already been told not to go.

Perhaps the real tragedy is that a steel pylon makes more headlines than any of the 140 social leaders assassinated thus far in 2025 – on course for an annual record. Unfortunately, there is little political capital to be found in such tragedies.

Fedesarrollo reported a surprise drop in August consumer confidence to -2.4%. Arguably, stubborn inflation will prevent rate cuts, but overall, it doesn’t jive with packed-out shopping malls, booming vehicle sales, and increasing domestic demand, which is driving imports upwards.

We have been hearing for the longest time, from the opposition, of course, that Colombia is an investment pariah; that may be true, but this week it is struggling to stack up. The Ministerio de Hacienda completed the largest bond issue (€4.1 billion EUR) in the country’s history, but perhaps the real headlines were the total demand of €25.4 billion EUR. What could drive such madness amongst the international investment community? It could be a GDP estimate of 2.6% or record low unemployment, perhaps even the stock market, which is up 50% in dollar terms YTD and hit a record high this week. Or perhaps it is that the EMBI country’s risk levels have been at their lowest level since 2021?

What you don’t want to listen to is those who will claim that all the above is because Petro only has a year left in power. No one has a clue what will happen in June 2026, and the current lineup of presidential candidates is a rogues’ gallery of the failed and self-interested.

The 2026 budget debate was suspended for lack of quorum. Colombian politicians are as irresponsible as ever. If you are against the proposed $557 billion COP budget, then turn up, do your job, and debate it for the sake of the country. Above all, the government doesn’t have the votes to pass it if debated conventionally. The risk now is that it will be passed by decree. If it does, the blame doesn’t lie with the government, and the opposition shouldn’t come crying in 2026.

Also in Congress, Ministerio de Hacienda, German Avila was discussing a 40% haircut to the tax reform, wholly predictable; however, how that might be impacted by the above budget situation is tough to call.

Enough for today, have a wonderful end to the week.

My regards.

Roops.

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FARC dissidents arrested in Putumayo, Peru during Operation Armageddon. Photo credit: Ministerio de Defensa del Perú/Wikipedia.

Aris Mining Corporation (TSX: ARIS; NYSE-A: ARMN) has reported increased mill throughput and gold production at its Segovia Operations following the June 2025 commissioning of a second mill. The expansion has raised the installed processing capacity at the site by 50%.

The second mill was commissioned in late June, increasing the processing capacity from 2,000 tons per day (tpd) to 3,000 tpd. In July and August, milling rates averaged 2,415 tpd, a 22.5% increase from the average of 1,971 tpd in the first six months of 2025. Throughput reached approximately 3,000 tpd on multiple days in August.

Processed gold grades for July and August averaged 10.02 g/t Au. This rate reflects the use of the expanded processing capacity while maintaining gold grades.

Year-to-date gold production at Segovia as of August 31, 2025, totals 141,893 ounces, with 42,817 ounces produced in July and August. The company’s Marmato Narrow Vein zone contributed 4,936 ounces during the same period, bringing consolidated year-to-date gold production to 161,168 ounces. The company has maintained its full-year 2025 production guidance of 230,000 to 275,000 ounces.

Company and Project Information

Aris Mining, founded in September 2022, is a Latin America-focused gold mining company listed on the Toronto Stock Exchange (TSX) and NYSE American. The company operates two underground gold mines in Colombia: the Segovia Operations and the Marmato Complex, which collectively produced 210,955 ounces of gold in 2024.

With the Segovia expansion and the ongoing construction of the bulk mining zone at the Marmato Complex, Aris Mining is targeting an annual production rate of more than 500,000 ounces of gold.

Aris Mining also holds a 51% stake in the Soto Norte joint venture and owns the Toroparu gold/copper project in Guyana. A pre-feasibility study for Soto Norte has been completed, and a new Preliminary Economic Assessment (PEA) is underway for the Toroparu project.

Commissioning of the second ball mill at Segovia. Photo credit: Aris Mining/X.

Soma Gold Corp. (TSXV: SOMA) (WKN: A2P4DU) (OTC: SMAGF) has announced that Sintramienergetica, Seccional Zaragoza, the union representing the employees of Operadora Minera, S.A.S., a wholly owned subsidiary of Soma, has elected to initiate strike action, effective immediately.

The mining company says it has been engaged in negotiations and recently presented an offer that included significant increases in wages, benefits, living allowances, additional days off, and a meaningful signing bonus. Nevertheless, the union declined to respond to the latest proposal and initiated strike action, resulting in the suspension of operations at both the Cordero Mine and the El Bagre Gold Complex.

Geoff Hampson, Soma’s CEO, states, “Soma remains committed to continuing good faith negotiations and to reaching a fair and mutually beneficial resolution. Our most recent offer reflects our sincere intent to support our workforce, improve conditions, and ensure long-term stability for the operation and the community. While we are disappointed by the decision to strike, we respect the union’s rights and remain open and available to resume discussions at any time. We have proposed binding arbitration as a path forward, which was declined by the union.”

Soma Gold. Photo credit: Soma Gold/X.

Fitch Ratings has affirmed the Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs) of Transportadora de Gas Internacional S.A. E.S.P. (TGI) at ‘BBB’, according to a statement released on August 22, 2025. The company’s long-term senior unsecured debt rating was also affirmed at ‘BBB’. The rating outlook remains negative.

The affirmation of TGI’s ratings reflects a connection to its parent company, Grupo Energia Bogotá S.A. E.S.P. (GEB) (OTCMKTS: GEB; BVC: GEB), based on what Fitch describes as medium-to-high operational and strategic incentives for GEB to support TGI. The negative outlook is consistent with Fitch’s outlook on the sovereign rating for Colombia (BB+/negative), as TGI’s cash flow is generated almost entirely within the country.

The ratings also consider the company’s position in the Colombian natural gas transportation sector, regulatory risk exposure, and capital structure. Fitch noted that the ratings also account for re-contracting risk due to a lower supply of long-term gas supply contracts.

Key Rating Drivers

Parent-Subsidiary Linkage: Fitch’s analysis of the relationship between GEB and TGI indicates a high strategic linkage, a medium operational linkage, and a low legal relationship. This is assessed using a “top-down minus one” approach, where a subsidiary’s standalone credit profile (SCP) is considered one notch below that of a stronger parent. In this case, TGI’s SCP is deemed susceptible to Colombia’s operating environment due to its domestic cash flow generation. The ratings are equalized because TGI’s SCP is one notch lower than GEB’s.

GEB’s incentives to support TGI include its nearly 100% ownership and TGI’s substantial financial contribution, which accounted for approximately 45% of GEB’s operating EBITDA at year-end 2024. Fitch expects GEB to continue its strategic focus on investing in Colombia’s midstream businesses, such as TGI.

Change in Contract Dynamics: The availability of long-term gas supply contracts has diminished, affecting commercial contracting dynamics. Regulatory changes have introduced more flexibility in gas commercialization, enabling short-term transportation contracts that align with the terms of supply agreements. This has led to lower contracted capacity for TGI, but Fitch anticipates the company will be able to renew contracts with its customers. These customers are considered part of the structural demand derived from the cities of Bogotá and Medellín, as well as the Barrancabermeja Refinery operated by Ecopetrol S.A. (NYSE: EC; BVC: ECO).

As of June 2025, TGI’s contracted capacity had an average life of 2.6 years. Fitch projects that transported volume will remain at approximately 460 million cubic feet per day (Mcfpd) between 2026 and 2027, consistent with current volumes. The average life of contracts is expected to continue decreasing as legacy agreements are renewed with shorter maturities.

Business Profile: TGI is a natural gas transporter in Colombia, with a 55% market share of transported volume. Its scale and geographic footprint provide predictability to its cash flow generation. The company’s customer base is moderately concentrated, with four distribution and marketing customers representing about 81% of revenues as of June 2025. Residential and industrial sectors accounted for 93% of revenues, providing a stable consumption pattern.

Financial Discipline and Capital Expenditures: Fitch anticipates TGI will maintain its financial discipline. EBITDA leverage is projected to peak at 2.3x at year-end 2025, influenced by lower regulatory revenues from reduced contracted volumes. Leverage is expected to decline to around 2.0x in 2026 following the implementation of a new tariff scheme. The analysis assumes TGI will fund both maintenance and expansionary capital expenditures without increasing debt levels and will maintain a dividend payout ratio of 90% of the previous year’s net income. The company has also employed hedging strategies to reduce exposure to the US dollar.

TGI is considering several projects to ensure a reliable gas supply to the interior of the country, including pipeline bidirectionality, infrastructure expansion, and a new pipeline connection in La Guajira to a Floating Storage and Regasification Unit (FSRU). While the La Guajira project may pressure free cash flow in 2026 and 2027, it is expected to strengthen the gas supply network.

Peer Analysis: TGI’s credit profile is categorized as investment-grade, with predictable EBITDA generation consistent with natural gas transportation companies such as Transportadora de Gas del Peru, S.A. (TGP) (BVL: TGP). TGI is also positioned against other regional peers in the natural gas distribution and liquefied natural gas sectors, including Gas Natural de Lima y Callao S.A. (BVL: CNL), Promigas S.A. E.S.P. (BVC: PROMIGAS), and GNL Quintero S.A.

TGI is rated one notch above Promigas due to its more conservative capital structure, with leverage below 3.0x compared to Promigas’s range of 3.5x to 4.0x. TGI’s rating is one notch below TGP, as TGP’s revenue is derived from long-term ship-or-pay contracts with a remaining average life of approximately six years, while TGI’s average contract length is 2.8 years.

The ratings also reflect the strategic and operational incentives for GEB to support TGI. In 2007, GEB provided a $370 million USD shareholder loan to TGI, which was repaid in 2023. Fitch believes that GEB could provide further support if necessary.

Liquidity and Debt Structure

As of June 2025, TGI’s cash on hand was approximately $594 billion COP, an increase from $476 billion COP in December 2024. During the first quarter of 2025, the company reduced the interest rate on its “Club Deal” facility and prepaid $50 billion COP. The Club Deal loan, which refinanced an intercompany loan from GEB in 2023, is the company’s only significant debt maturity until December 2027.

Natural gas well. (Photo credit: Ken Doerr)

ANDICOM 2025, the Andes region’s largest and most important enterprise technology conference, took place last week in Cartagena, attracting an estimated 6,200 attendees from September 2 to 5. The 40th edition of the event, organized by CINTEL, named this year’s theme as “Unlocking a digital future.”

The conference agenda included discussions on artificial intelligence (AI), smart cities, and cybersecurity. Over 120 speakers were scheduled to present. Keynote speakers included physicist and author Dr. Michio Kaku. Additional participants include Spain’s Minister for Digital Transformation and Public Administration, Óscar López, and a delegation from the United Arab Emirates.

Event Focus and Speakers

According to Adriana Leal, manager of ANDICOM, the event has positioned Cartagena as a hub for technology and innovation. Leal noted the participation of Kaku, an author recognized for his work on quantum computing, and the presence of López, along with the delegation from the UAE.

Yamil Arana Padauí, governor of Bolívar, stated that ANDICOM provides an opportunity to showcase projects such as Mompox Inteligente, a local connectivity and technology initiative.

Agenda and Thematic Tracks

The pre-conference on September 2 featured three main tracks:

• CyberShield Forum: This track addresses cybersecurity, deepfakes, and cyber-resilience.
• Autonomous Agents: This segment focuses on the application of AI in corporate processes.
• CINTEL Future Cities: This track covers topics such as digital tourism, smart cities, and urban mobility.

From September 3 to 5, the main conference focused on digital evolution, the future of the IT sector, and the role of the economy in the AI era. International delegations from countries including the United States, Belgium, Spain, the United Arab Emirates, Israel, the Czech Republic, and Canada are expected to attend.

The conference also hosted three award ceremonies to recognize regional innovation: the Digital Transformation Innovation Awards (in collaboration with PwC), the Smart City Innovator Awards 2025, and the Enterprise Cybersecurity Awards (a partnership between ETEK International and CINTEL).

Business and Networking

ANDICOM’s networking initiatives include the “Meet and Business” room, which will bring together executives from 28 companies, including Coca-Cola FEMSA (NYSE: KOF), ISA (BVC: ISA), Allianz (FWB: ALV; SIX: ALV), and Arturo Calle. This space is designed to facilitate direct connections between companies seeking technological solutions and providers.

The event also features a business roundtable for one-on-one meetings between sponsors and C-level executives, with the capacity for up to 400 scheduled meetings over the four days.

Conference Statistics

• Estimated Participants: 6,s00+
• Participating Countries: 35+
• Companies Represented: 250+
• Speakers: 120+
• Academic Sessions: 80+

ANDICOM 2025. Photo credit: CINTEL.

A proposed decree by the Colombian government to reschedule future budget allocations (FBAs) for public-private partnership (PPP) projects could increase repayment risk, according to an analysis by Fitch Ratings. The measure, if broadly applied, could disrupt the predictable cash flows that are critical for timely debt servicing.

The proposed decree formalizes prior statements from public officials concerning the inflexibility of FBAs in projects experiencing delays, particularly amid growing fiscal pressure. The document outlines specific technical, legal, and financial conditions required to validate the rescheduling of FBAs. Its stated aim is to ensure sufficient funds remain available to meet PPP obligations.

Potential Impact on Credit Quality and Investor Perception

Fitch’s assessment indicates that PPPs in Colombia are typically structured with debt amortization schedules that align with multiyear budgets for FBAs and other revenue sources. The rescheduling of these allocations could disrupt this alignment.

The draft decree also introduces uncertainty regarding the Agencia Nacional de Infraestructura (ANI), a government agency, and its ability to honor its commitments for FBAs and other forms of public support for PPPs. This could negatively affect the perceived credit quality of the ANI’s obligations under concession agreements, potentially raising investor risk perception and dampening appetite for future infrastructure investments in Colombia.

Limited Immediate Impact on Rated Toll Roads

Despite these concerns, Fitch does not anticipate a material impact on the credit ratings of the Colombian toll roads it currently rates. The agency believes the decree’s scope is likely to target projects that have experienced significant delays in contractual execution. Most of the public-initiative toll roads rated by Fitch have either completed construction or are nearing completion. The agency noted that these projects would be less affected by a measure focused on addressing execution delays.

Fitch Ratings building Photo credit: Shashank457 licensed under the Creative Commons Attribution-Share Alike 4.0 International license.

Tecnoglass Inc. (NYSE: TGLS), a manufacturer of architectural glass and aluminum and vinyl windows, has amended its senior secured revolving credit facility, expanding its borrowing capacity from $150 million USD to $500 million USD. The company also reduced its borrowing costs and extended the initial maturity date of the facility by five years, to the end of 2030.

Under the amended terms, interest on borrowings will be the Secured Overnight Financing Rate (SOFR) with no floor, plus a spread of 1.25%. This represents a reduction from the prior spread of 1.50%, based on the company’s net leverage ratio.

Santiago Giraldo, Tecnoglass’s chief financial officer, commented on the change, stating, “The overwhelming support from our blue-chip banking syndicate, achieving almost twice as much in commitments versus the proposed facility amount, combined with the exceptional pricing we achieved, demonstrates the confidence in our strategic direction and operational excellence.” Giraldo added, “The expansion of our committed facility by over three times to $500 million, coupled with the five-year maturity extension to 2030, provides us with strong financial flexibility to capitalize on robust growth opportunities, particularly with our US expansion efforts, while maintaining our disciplined approach to achieving above-industry returns on invested capital. With our strong record of cash generation and this enhanced facility, we maintain one of the strongest balance sheets in our industry.”

Tecnoglass Inc. (NYSE: TGLS) produces aluminum and vinyl windows and architectural glass for the multifamily, single-family, and commercial end markets. Operating from a vertically integrated manufacturing complex in Barranquilla, Colombia, the company serves customers in North, Central, and South America, with the United States accounting for 95% of its total revenues. Tecnoglass products have been used in properties such as One Thousand Museum in Miami, Salesforce Tower in San Francisco, and Hub50House in Boston.

The credit facility was arranged by Wells Fargo Bank N.A. as administrative agent. The joint lead arrangers included BMO Bank N.A., Citibank N.A., Citizens Bank N.A., First Citizens Bank & Trust Company, and J.P. Morgan Chase Bank N.A.

Wynn, Miami. Photo credit: Tecnoglass.