Shearman & Sterling has advised Ecopetrol, S.A. on its joint acquisition with Korea National Oil Corporation of Offshore International Group, Inc., a company headquartered in the United States. The transaction was valued at US$900 million.

Ecopetrol is the largest integrated oil company in Colombia and is among the four largest oil companies in Latin America. In Colombia, the company accounts for 60% of the total national production. It is also involved in exploration and production activities in Brazil, Peru, and in the United States.

The main asset of Offshore International Group is Petro-Tech Peruana, S.A., which is engaged in exploration and development of hydrocarbon production and in gas processing activities in Peru, particularly with respect to offshore resources. Petro-Tech Peruana owns what is considered to be one of the largest offshore areas in South America.

The Shearman & Sterling team advised Ecopetrol on all legal and regulatory issues arising in connection with the acquisition, including the negotiation and the drafting of the purchase agreement and the shareholders agreement, as well as advising on the tax aspects of the transaction.

The Shearman & Sterling team representing Ecopetrol was composed of associates Nathan Sawyer (New York-M&A) and Nora Pines (New York-M&A) for M&A issues and partner Laurence Bambino (New York-Tax) for tax advice, and coordinated by partner Fernando Mantilla-Serrano (Paris-International Arbitration).