Occidental Reopens Colombian Oil Field

Los Angeles-based Occidental Petroleum Corp. said it resumed oil production at its oil field in Cano Limon, Colombia, on Friday after an eight-day shutdown caused by guerrilla attacks on the 410-mile pipeline that connects the field with a Caribbean shipping depot. In two ambushes, guerrillas killed 30 Colombian soldiers sent to protect workers trying to repair the pipeline. Although Oxy estimated that each day of downtime cost it $100,000 in lost oil revenue, a spokesman said the company should be able to make up all or part of the lost deliveries by the end of the year. The 150 workers and contractors who had been evacuated from the site have returned to work. Word that Oxy could not deliver on some of its oil contracts caused a short-lived spike in oil futures prices earlier this month, a reflection of the importance of Colombian oil to Gulf Coast refiners. Colombian oil now represents about 5% of all imports to the United States. Oxy shares declined 31 cents to close at $24.19 on the New York Stock Exchange.