Finance
Carlyle to sell colombian oil firm SierraCol to philippine's prime infrastructure
Published by Global Banking & Finance Review®
Posted on March 11, 2026
2 min readLast updated: March 11, 2026
Quick Summary
Carlyle Group, which formed SierraCol in 2020 after acquiring Occidental’s Colombian onshore assets, has agreed to sell it to Enrique K. Razon Jr.’s Prime Infrastructure Capital. SierraCol stabilized production and delivered strong cash flow, while Prime Infra expands energy infrastructure footprint
Carlyle Sells Colombian Oil Firm SierraCol to Philippines' Prime Infrastructure
Overview of the SierraCol Acquisition Deal
LONDON, March 11 (Reuters) - Private equity group Carlyle has agreed to sell its Colombian oil producer SierraCol to Prime Infrastructure Capital, the infrastructure unit of Filipino businessman Enrique K. Razon Jr., for an undisclosed sum, the U.S. company said on Wednesday.
Background of the SierraCol Transaction
Carlyle, which set up SierraCol in 2020 after buying assets from Occidental Petroleum, had sought around $1.5 billion for the Colombian firm, sources had told Reuters in 2025.
Carlyle’s Broader Oil and Gas Strategy
Elsewhere in the oil and gas sector, Carlyle in January reached a non-binding, initial agreement to buy most international assets from sanctioned Russian firm Lukoil and merge its European refining vehicle Moeve with Portuguese energy firm Galp's downstream business.
Insights from Carlyle Leadership
"This is where our track record is strong and I expect to continue that. We have a clear playbook for executing complex carve-outs and strengthening these businesses," said co-head of Carlyle International Energy Partners (CIEP), Bob Maguire.
He said CIEP had no fixed views on how much investment to allocate to downstream or upstream acquisitions.
Challenges in Asset Acquisition
CIEP managing director Parminder Singh told Reuters that it has been tough to extract assets from the bigger players in the current market as majors are keen to boost their own oil and gas reserves while retrenching on low-carbon projects.
SierraCol’s Performance and Financials
Carlyle said it has invested around $1 billion in SierraCol since 2020, mainly spending on the firm's existing assets to stabilise its net production at around 45,000 barrels of oil equivalent per day and reduce operational emissions.
SierraCol's gross output of 77,000 barrels of oil equivalent per day makes up around 10% of Colombia's overall production.
SierraCol had $205 million in free cashflow for the 12 months to October 2025 and net debt of $618 million, according to its website.
About Prime Infrastructure
Prime Infrastructure runs energy, waste and water infrastructure.
(Reporting by Shadia Nasralla; Editing by Tomasz Janowski)
Key Takeaways
- •Carlyle invested around $1 billion since 2020 to stabilize SierraCol at ~45 kboed and cut emissions; SierraCol now produces ~77 kboed, ~10 % of Colombia’s output. (sierracolenergy.com)
- •Carlyle had been seeking about $1.5 billion for SierraCol, which had free cash flow of $172 m and net debt ~$511 m to $618 m. (investing.com)
- •Prime Infrastructure, under Enrique Razon Jr., is rapidly expanding in energy—recent deals include ₱50 b gas‑asset acquisition (~$850 m) and hydropower stakes—positioning it as a major regional infrastructure player. (milbank.com)
References
Frequently Asked Questions about Carlyle to sell Colombian oil firm SierraCol to Philippine's Prime Infrastructure
1Who is acquiring SierraCol from Carlyle?
Prime Infrastructure Capital, led by Enrique K. Razon Jr., is acquiring SierraCol from Carlyle.
2How much oil does SierraCol produce?
SierraCol's gross output is around 77,000 barrels of oil equivalent per day, about 10% of Colombia's total production.
3When did Carlyle establish SierraCol?
Carlyle set up SierraCol in 2020 after acquiring assets from Occidental Petroleum.
4How much has Carlyle invested in SierraCol since 2020?
Carlyle has invested around $1 billion in SierraCol since 2020.
5What sectors does Prime Infrastructure operate in?
Prime Infrastructure operates in energy, waste, and water infrastructure sectors.