Casanare

The Llanos Orientales were cattle country for centuries before British Petroleum found oil beneath them. When major discoveries began in the 1980s—Cusiana, Cupiagua, and later fields—Casanare transformed from ranching frontier to petroleum powerhouse. Today the department produces 128,777 barrels daily (16% of national output) and holds Colombia's second-highest GDP per capita at $11,130. Oil royalties exceed 2 trillion pesos annually. Yet peak production has passed: fields that pumped over 170,000 barrels daily in the mid-2010s now decline as reserves mature.

Casanare hedged its bets with agriculture. The tropical savannas support 2.28 million cattle (8% of national inventory) and produce 34% of Colombia's rice. Palm oil plantations have expanded around Villanueva, making Casanare one of six major producing departments. The Orinoco Basin beneath the savanna holds one-third of Colombia's freshwater reserves, but oil activities have degraded water quality and intensified drought impacts. Perenco drilled three new wells across Paravare and Chaparrito in October 2024; SierraCol consolidated its position with the Caracara and LL-22 acquisitions.

By 2026, Casanare will test whether oil wealth can fund its own succession. Declining reserves mean royalty revenues will shrink unless new exploration succeeds. If agricultural diversification scales—rice, palm, cattle modernization—and water management improves, Casanare could model post-petroleum transition for the Llanos. If not, the department that enriched Colombia with oil may find itself stranded when the wells run dry.