Ecopetrol S.A.: Profit Distribution for Fiscal Year 2021

Rhea-AI Summary

Ecopetrol S.A. reported the approval of a total dividend of COP$280 per share during its General Shareholders' Meeting on March 30, 2022. This includes an ordinary dividend of COP$243 and an exceptional dividend of COP$37, amounting to approximately COP$11.5 trillion in total dividend distribution. Payments will be made to minority shareholders on April 21, 2022, while the majority shareholder will receive payment by September 30, 2022. The release also highlights Ecopetrol's significant role in Colombia's economy, representing over 60% of hydrocarbon production.

Positive

• Total dividend of COP$280 per share approved.
• Significant dividend distribution amounting to COP$11.5 trillion.
• Dividends reflect strong financial performance in fiscal year 2021.

Negative

• None.

BOGOTA, Colombia, March 30, 2022 /PRNewswire/ -- Ecopetrol S.A. (BVC: ECOPETROL; NYSE: EC) reports that the ordinary General Shareholders' Meeting, held on March 30, 2022, approved the profit distribution proposal submitted for its consideration. This proposal establishes that an ordinary dividend per share of two hundred and forty-three pesos (COL $243) and an exceptional extraordinary dividend, equivalent to thirty-seven pesos (COL $37) per share, for a total dividend of two hundred and eighty (COL $280) pesos per share, will be distributed, equivalent to COP$11,512,674,513,255.

The ordinary and extraordinary dividends for minority shareholders will be paid in one installment on April 21, 2022. The majority shareholder's payment will be made during the course of the year, and before September 30^th, 2022, following the recommendations from CONPES.

Ecopetrol is the largest company in Colombia and one of the main integrated energy companies in the American continent, with more than 17,000 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, 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 Capital Markets
Tatiana Uribe Benninghoff
Email: investors@ecopetrol.com.co

Head of Corporate Communications
Mauricio Téllez
Email: mauricio.tellez@ecopetrol.com.co

View original content:https://www.prnewswire.com/news-releases/ecopetrol-sa-profit-distribution-for-fiscal-year-2021-301514403.html

SOURCE Ecopetrol S.A.

FAQ

What is the total dividend approved by Ecopetrol on March 30, 2022?

The total dividend approved by Ecopetrol is COP$280 per share.

When will minority shareholders receive their dividend payments?

Minority shareholders will receive their dividend payments on April 21, 2022.

What are the components of the total dividend announced by Ecopetrol?

The total dividend comprises an ordinary dividend of COP$243 and an extraordinary dividend of COP$37 per share.

How much does Ecopetrol plan to distribute in total dividends?

Ecopetrol plans to distribute approximately COP$11.5 trillion in total dividends.

When will majority shareholders receive their dividend payments?

Majority shareholders will receive their dividend payments before September 30, 2022.