Ecuador in Talks to Transfer 301-Mile OCP Oil Pipeline, Assets, and Liabilities to State Control

(Reuters) — Ecuador is holding talks to transfer a private oil pipeline operated by OCP, as well as its associated infrastructure, liabilities and assets, to state control, the government announced in a statement on Friday.

Ecuador's energy ministry said in a statement that the government and OCP signed a mediation agreement for the move.

OCP's contract to operate a 485-km (301 miles) pipeline in Ecuador ends this month. The transfer to state control was originally been scheduled for Jan. 20 but has been facing delays, according to the government statement.

OCP did not immediately respond to a request for comment.

The construction of the pipeline required a $1.4 billion investment from private capital, according to data from OCP.

The pipeline can transport about 450,000 barrels per day, though it has been operating below that capacity.

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