Risk Management
Risk Governance
Canacol’s risk management framework is entrusted to the executive team, who are accountable for consistently reviewing policies and processes to identify, evaluate, and diligently govern Canacol’s risk profile. The tracking and development of the risk and opportunity management system fall under the purview of the Quality and Risk Coordination within the ESG department, reporting to the Executive Team. The Executive Team is tasked with continually reviewing policies and processes to identify, evaluate, and effectively govern Canacol’s risk profile. Ensuring an efficient management of risks, the Board of Directors oversees, through its Audit and ESG Committees, the supervision of risks and opportunities. These committees play a crucial role in the oversight and incorporating risk management criteria in the Company´s development of products and services.
The execution or application of the guidelines outlined in the risk and opportunity management system is the responsibility of each vice president, managerial office, and/or highest authority accountable for the specific process or sub-process.
Risk Management Process
Canacol reconoce la importancia primordial de la gestión de riesgos para garantizar la protección del medio ambiente, los intereses de las partes interesadas, la creación de valor a largo plazo y la sostenibilidad de nuestro negocio. Todos los años llevamos a cabo una revisión exhaustiva de nuestros planes de gestión de riesgos, continuidad empresarial y recuperación en caso de catástrofe. Esto incluye sesiones de formación y simulacros de incidentes para mejorar la preparación.
Nuestro proceso de gestión de riesgos se adhiere a la norma ISO 31000 y sigue un proceso cíclico de cinco pasos. Seguimos de cerca este proceso y lo comunicamos sistemáticamente a nuestras partes interesadas. Se realizan revisiones trimestrales de los riesgos, junto con auditorías internas y externas de nuestro proceso de gestión de riesgos, proporcionando una garantía independiente sobre la eficacia de los procesos de gestión de riesgos y de cumplimiento. Además, Canacol lleva a cabo una evaluación anual para identificar y revelar los riesgos potenciales que pueden afectar a nuestro negocio, garantizando así un conocimiento profundo de nuestra exposición al riesgo.
Para la implementación de los lineamientos establecidos en el sistema de gestión de riesgos y oportunidades, Canacol ha definido tres líneas de acción:
1. Primera línea: Corresponde a las vicepresidencias, gerencias y/o máximas autoridades de cada departamento, quienes son responsables de identificar, gestionar y asumir los riesgos dentro de sus respectivos ámbitos.
2. Segunda línea: Está a cargo de la Gerencia de ESG y la Coordinación de Calidad y Riesgos, cuyo rol es supervisar la gestión de riesgos y asegurar el cumplimiento de los estándares establecidos. Esta línea se encarga también de definir los controles necesarios, vigilar su aplicación y mantener informada a la Alta Dirección.
3. Tercera línea: Se ejecuta anualmente a través de una auditoría interna, que proporciona una evaluación independiente sobre la efectividad de la gestión de riesgos y el cumplimiento de los procesos en toda la organización
Canacol lleva a cabo dos acciones enmarcadas en nuestro proceso de gestión de riesgos:
- Análisis de sensibilidad: procedimiento que prueba el resultado particular de cualquier conjunto dado de insumos bajo un conjunto dado de supuestos. Es importante en el análisis de riesgos porque es una herramienta útil para calibrar el resultado de todo tipo de escenarios y acontecimientos. Los analistas que realizan análisis de sensibilidad se ocuparán, en última instancia, de determinar cómo los cambios en uno o más inputs podrían afectar al resultado de interés.
- Pruebas de estrés: técnica de simulación utilizada en activos, carteras o posiciones de interés para determinar sus reacciones ante distintos acontecimientos que no suelen reflejarse en los análisis de valor o de riesgo más tradicionales. Las pruebas de estrés se utilizan para calibrar cómo determinados factores de tensión (acontecimientos, riesgos, megatendencias) o circunstancias extremas podrían afectar a una empresa o sector.
Strategic Risk Management
In 2024, we identified the main strategic risks as follows:
|
Risk |
Description |
Mitigation Actions |
|
Regasification of imported Gas in Cartagena |
The increase in the regasification capacity of the Cartagena plant could affect Canacol's sales volume for imported gas. Liquefied Natural Gas (LNG) competes in the Spot market of natural gas in the Caribbean coast by volume and price, additionally it has the new connection between transporters facilitating access to the market in the interior of the country. On the other hand, the government is pushing to make the commercialization of imported gas more flexible for non-regulated and regulated market users. |
Define the commercial strategy in the Spot market based on international LNG price indicators. |
|
Responsiveness in environmental procedures according to changes in project planning. |
Reaction capacity in environmental procedures according to changes in project planning due to delays in obtaining approval of applications, licenses and Management Plans with Governmental Entities. |
Establishment of schedules and timelines that meet the deadlines established by the authorities for the processing of studies for the feasibility of projects and at the same time comply with the deadlines established by the company. Prioritization of projects in accordance with the Annual Activity Plan, working hand in hand with the Planning area, seeking synchronization with the other areas of the company. A new mechanism was established for the viability of projects, which consists of evaluating a package of prospects, to carry out early feasibility negotiations, in which prioritization is flexible and can be more easily adapted to the changes required by the company. Generation of prescouting and scouting reports. Implementation of Lightship tracking tool. Presentations for operations, planning, management and presidency meetings to disclose the progress of projects. Ongoing monitoring and presence before state agencies to see the progress of project approvals or requests for additional information. Ensure the participation of all stakeholders to ensure proper communication with environmental authorities to monitor the possible request for new environmental public hearings. |
For more information, please review our Policy of Management of Risks and Opportunities.
Risk Culture
We are committed to fostering a robust risk culture by providing regular and ongoing training to our Board of Directors and our employees on risk management practices. This includes integrating risk criteria into our product development and approval processes, as well as establishing risk management Key Performance Indicators (KPIs) for all employees.
In addition, we engage in company-wide initiatives to promote effective risk management. This includes quarterly dissemination of risk management updates on our website, conducting reviews and assessments of potential risks that may impact business continuity and field operations. We also establish and adhere to multi-year work plans, categorized by area, which align with the risks identified in our ESG priorities. Furthermore, we prioritize the identification and treatment of potential risks to our operations.
Canacol promotes measures where employees are immersed in risk management processes. On a quarterly basis, each area of the Company must perform an internal analysis of the specific risks involved in the area's procedures. Subsequently, the Company's risk leader performs an evaluation of these risks and plans for their treatment and mitigation actions. On the other hand, in the event of changes in the risk matrix and/or in any other risk management process, all Canacol personnel are trained to ensure the proper development of the risk management process.
Risk management is linked to Canacol's ESG strategy, which is why employee participation is a priority, and has an impact on financial incentives associated with employee performance on an annual basis.
Emerging Risks
The identification, planning, evaluation, and mitigation of long term and emerging risks are crucial for investors and stakeholders to gauge Canacol’s capacity to understand long term risks, recognize their potential impacts on the business, and effectively plan and execute mitigation actions in response to identified risks.
Click on the link for more details about the Emerging Risk Statement.
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