THE MINERAL INDUSTRY OF COLOMBIA 279 
 
Table 5.—.- Colombia: Projections of coal demand and exports 
(Million metric tons) 
Production 
Year ~. High Low 
 
 
 
Domestic 
demand 
 
 
Exports 
 
 
 
 
Total 
m 1 P 
* 
Cement 
* 
For 
coke 
. 
High 
Low 
1980              
7.1 
6.9 
6.1 
1.2 
0.89 
 
0.65 
1.0 
0.75 
1981              
 
 
7.7 
1.8 
1.10 
 
 
 
 
1982              
 
 
8.0 
1.8 
1.27 
 
 
 
 
1983              
 
 
8.6 
2.2 
1.32 
 
 
 
 
1984              
 
 
8.8 
2.2 
1.37 
 
 
 
 
1985              
19.9 
18.9 
10.9 
2.9 
1.37 
 
1.50 
9.0 
8.0 
1990              
41.1 
28.1 
13.1 
4.1 
NA 
 
2.20 
28.0 
15.0 
1995              
60.7 
34.7 
15.7 
NA 
NA 
 
2.90 
45.0 
19.0 
NA Not available. 
 
 
 
 
 
 
 
 
 
Source: Based in part on Urrutia, M., Bases para Un Plan Energetico Nacional,
Ministerio de Minas y Energia, Bogota, 
 
1977, only 12% and 15% of total output of coal were used respectively in
cement and electric power generation. Since Colombia has the largest known
coal resources in Latin America, it was expected to become a significant
coal exporter by 1985. 
Carbones de Colombia S.A. (CARBOCOL), a state-controlled company set up for
coal exploration and development, proceeded with its project to develop the
open pit mining stage of Area A of the El Cerrejón coal deposit
in
the Guajira Peninsula. Irtternational Petroleum Colombia Ltd. (INTERCOL),
an Exxon Corp subsidiary, was completing the second year of exploration in
Area R of El Cerrejón in an association contract with CARBOCOL.
Studies
were underway on the infrastructure required, especially the railroad link
to a Caribbean port siti to be selected. INTERCOL was also investigating
potential Latin American and European markets for Colombian coal 
The El Cerrejôn deposit contains an estimated 3.5 billion tons
of low-sulfur
and lowash coal. Colombia's total coal reserves of 40 billion tons includes
7 billion tons of measured reserves, 10 billion tons of inferred reserves,
and 23 billion tons classified as potential reserves. This represents 59%
of Latin America's total reserves estimated at 68 billion tons.4 
Natural Gas.—Unlike the continuing decline in output of petroleum,
production of natural gas continued its upward trend in 1978 and 1979. The
increase was owing to the startup of gas production from the Guajira Peninsula
in mid-1977. The Guajira gasfield was expected to reach its maximum yield
of 450 million cubic feet per day in 1982 - equivalent to some 700,000 barrels
per day of crude oil. During 1978 there were no significant gas discoveries
to add to the major increases in gas reserves obtained in the 3 prior years,
primarily offshore from 
Cartagena and the Guajira. However, in early 1978 a gas discovery offshore
of Galerazamba near Cartagena was confirmed with indications of potential
reserves two or three times the 3.5 billion cubic feet estimated for the
Guajira fields. Onshore, INTERCOL was developing the Coral field in the Jobo
block of the Lower Magdalena Valley. 
In 1979, Texaco and ECOPETROL eontracted El Paso Co. to study the feasibility
of building a liquefied natural gas (LNG) plant in the Guajira east of Santa
Marta to process gas from the Guajirá onshore and offshore fields.
The El Paso study concluded that the LNG plant would not be economically
feasible. Nevertheless, Guajiran gas was being sold to industrial users in
Barranquilla and Cartagena and to electric utilities along the Caribbean
coast. 
Promigas S.A. initiated studies on extending the gas pipeline from the Jobo
Tablon gasfield south to Cartagena past the Cerro Matoso nickel deposit to
Medellin and Cali with a branch to Bogota - thus bringing gas service to
the major industrial and residential centers of Colombia. 
At yearend 1979 Colombia's reserves of natural gas were reported at 5.0 trillion
cubic feet. 
Petroleum.—.Production of crude petroleum, which averaged 130,800
barrels
per day in 1978 compared with 137,600 barrels per day in 1977,. decreased
5% for the eighth consecutive year since 1970 when output peaked at 218,000
barrels per day. In 1979, estimated production was at 125,000 barrels per
day. The downward trend was projected by the Ministry of Mines and Energy
to continue until 1982 . when output would average only 89,100 barrels per
day. Production of refined petroleum products, especially motor gasoline,
also declined overall by about 5% in 1978, while output of diesel oil