NEW YORK (TheStreet) -- Occidental Petroleum(OXY) - Get Report stock is increasing by 0.09% to $63.45 in midday trading on Thursday, after the company and Ecopetrol(EC) - Get Report agreed to invest up to $2 billion over the next decade to increase production at the La Cira-Infantas oil field in Colombia.
Colombia-based Ecopetrol stock is rising by 0.73% to $9.71 this afternoon.
The new round of investments will increase production in the region by more than 200 million barrels, Reuters reports.
Output from La Cira-Infantas has already increased to 40,000 barrels per day from 5,000 barrels per day in the past decade.
"The development in our alliance with Oxy has increased production at La Cira-Infantas by almost ten times," Ecopetrol CEO Juan Carlos Echeverry said, Reuters added. "We are pleased to start this new era, a key part of Ecopetrol's strategy to increase reserves and production in the coming years."
Colombia produced an average of 966,000 barrels of oil per day in August, with state-run Ecopetrol accounting for half of that output, Reuters noted.