Ecopetrol Extends Temporary 50% Fee Reduction Agreement for ADR Conversion in the United States

Rhea-AI Summary

Ecopetrol (NYSE:EC) has announced the extension of its agreement with JPMorgan Chase Bank N.A. to maintain a 50% reduction in ADR conversion fees for both issuance and cancellation in the United States. The fee reduction, initially implemented on January 15, 2025, will now continue through December 31, 2025, extending beyond its original July 10, 2025 end date.

Ecopetrol, Colombia's largest company and a major integrated energy player in the Americas, made this decision following positive market reception. The company maintains dominant positions in Colombia's hydrocarbon sector and has significant international presence in strategic basins across the Americas, including operations in the United States, Brazil, and Mexico.

Positive

• Extension of 50% ADR conversion fee reduction benefits investors through December 31, 2025
• Positive market reception to the initial fee reduction program
• Strong market position with 60% of Colombia's hydrocarbon production
• Diversified operations across Americas with presence in strategic basins

Negative

• None.

BOGOTA, Colombia, June 27, 2025 /PRNewswire/ -- Ecopetrol announces that, following discussions with its ADR (American Depositary Receipts) program depositary bank, JPMorgan Chase Bank N.A., it has successfully extended the agreement to reduce by 50% the conversion fees for the issuance and cancellation of ADRs in the United States. This measure, originally announced on January 15, 2025, was initially set to remain in effect until July 10, 2025. With the extension, it will now remain valid through December 31, 2025.

Given the positive reception of this initiative in the market, Ecopetrol has worked to ensure its continuation in order to support the interests of its investors.

For more information, please refer to the following link 

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Ecopetrol is the largest company in Colombia and one of the main integrated energy companies in the American continent, with more than 18,000 employees. In Colombia, it is responsible for more than 60% of the hydrocarbon production of most transportation, logistics, and hydrocarbon refining systems, and it holds leading positions in the petrochemicals and gas distribution segments. With the acquisition of 51.4% of ISA's shares, the company participates in energy transmission, the management of real-time systems (XM), and the Barranquilla - Cartagena coastal highway concession. At the international level, Ecopetrol has a stake in strategic basins in the American continent, with Drilling and Exploration operations in the United States (Permian basin and the Gulf of Mexico), Brazil, and Mexico, and, through ISA and its subsidiaries, Ecopetrol holds leading positions in the power transmission business in Brazil, Chile, Peru, and Bolivia, road concessions in Chile, and the telecommunications sector. This press release contains business prospect statements, operating and financial result estimates, and statements related to Ecopetrol's growth prospects. These are all projections and, as such, they are based solely on the expectations of the managers regarding the future of the company and their continued access to capital to finance the company's business plan. The realization of said estimates in the future depends on the behavior of market conditions, regulations, competition, and the performance of the Colombian economy and the industry, among other factors, and are consequently subject to change without prior notice. 

This release contains statements that may be considered forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. All forward-looking statements, whether made in this release or in future filings or press releases, or orally, address matters that involve risks and uncertainties, including in respect of the Company's prospects for growth and its ongoing access to capital to fund the Company's business plan, among others. Consequently, changes in the following factors, among others, could cause actual results to differ materially from those included in the forward-looking statements: market prices of oil & gas, our exploration, and production activities, market conditions, applicable regulations, the exchange rate, the Company's competitiveness and the performance of Colombia's economy and industry, to mention a few. We do not intend and do not assume any obligation to update these forward-looking statements. 

For more information, please contact: 

Head of Corporate Communications

Angela Maria De la Pava Londoño

Email: investors@ecopetrol.com.co

Head of Press

Juan Pablo Pacavita

Email: juan.pacavita@ecopetrol.com.co

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SOURCE Ecopetrol S.A.

FAQ

What is the new extension date for Ecopetrol's ADR fee reduction program?

Ecopetrol's ADR fee reduction program has been extended through December 31, 2025, from its original end date of July 10, 2025.

How much is the ADR conversion fee reduction for Ecopetrol (NYSE:EC)?

Ecopetrol is offering a 50% reduction in ADR conversion fees for both issuance and cancellation of ADRs in the United States.

Which bank manages Ecopetrol's ADR program?

JPMorgan Chase Bank N.A. serves as the depositary bank for Ecopetrol's ADR program.

What is Ecopetrol's market position in Colombia?

Ecopetrol is the largest company in Colombia, controlling over 60% of the country's hydrocarbon production and leading positions in petrochemicals and gas distribution.

Where does Ecopetrol operate internationally?

Ecopetrol operates internationally in strategic basins across the Americas, including the United States (Permian basin and Gulf of Mexico), Brazil, and Mexico, with additional presence in power transmission across South America.