The Colombian government has granted the country’s first geothermal exploration permit, allowing a private developer to evaluate underground heat resources for potential electricity generation near the border between the departments of Caldas and Antioquia. The Ministry of Mines and Energy approved the five-year permit for the El Barranquero project, located between the municipalities of Samaná and Nariño.
Authorities said the authorization marks the beginning of the exploration phase rather than the construction of a power plant. The project will determine whether the geothermal resource can support commercial electricity generation and eventually become part of Colombia’s national power system.
What the geothermal exploration project includes
Geothermal energy uses heat stored beneath the Earth’s surface to generate electricity or provide direct heating. Engineers drill wells into underground reservoirs of hot water or steam, then bring those fluids to the surface to drive turbines connected to electric generators. Because the Earth’s interior continuously produces heat, geothermal plants can generate electricity around the clock without depending on sunlight or wind conditions.
The permit authorizes geophysical, geological and geochemical studies to identify underground reservoirs capable of producing geothermal energy. The developer will also prepare numerical reservoir models and drill exploratory wells to measure temperatures, rock properties and the availability of geothermal fluids before deciding whether the resource is commercially viable.
The Ministry of Mines and Energy said the exploration program represents an estimated investment of 38.556 billion Colombian pesos (about US$9.6 million). According to the Colombian Geological Survey, the El Barranquero area has an estimated geothermal potential of 133.79 megawatts, although only the exploration campaign will determine how much of that resource can be developed for electricity generation.
The permit also requires environmental monitoring and engagement with local communities throughout the exploration stage. Authorities said any future development would need to obtain environmental licenses and complete additional regulatory procedures before construction could begin.
Why geothermal energy could diversify Colombia’s electricity supply
Geothermal plants generate baseload electricity continuously, unlike solar and wind facilities, whose output fluctuates with weather conditions. Energy authorities consider geothermal power one of several technologies that could diversify Colombia’s electricity matrix alongside hydroelectric, wind and solar generation while strengthening the reliability of the national grid.
Minister of Mines and Energy Edwin Palma stated that the permit reflects the government’s commitment to diversifying the country’s energy portfolio and reducing reliance on a single generation source. He added that the exploration program will provide the technical information needed to determine whether geothermal generation is feasible at the site.
Although Colombia has studied geothermal resources for decades, the country had not previously issued an exploration permit under the current regulatory framework. Industry analysts say the authorization moves geothermal development from preliminary studies to field exploration, where companies can evaluate whether identified resources justify future investment.
Should the exploration confirm commercially viable geothermal reservoirs, developers must still secure environmental licensing and subsequent regulatory authorizations before constructing a power plant. The results of the five-year exploration program will determine whether the project advances to the next stage and whether geothermal energy can contribute to Colombia’s future electricity supply.