In a filing with Colombia's financial regulator on Sunday, Colombia's largest private oil company Pacific Rubiales Energy Corp would be buying Petrominerales Ltd for COP1.6 billion or USD1.55 billion. The acquisition would be financed in cash and assumption of debt.

The filing read, "The financing of the acquisition will take place through available cash and bank credit lines, including an acquired commitment of a US$1.3 million short term bank loan that the company hopes to refinance once the acquisition is complete."

Pacific Rubiales would be paying shareholders of the oil producer and explorer COP11 per ordinary share, which would amount to COP935 million. Petrominerales' shareholders would also get a common share per ordinary share in Pacific Rubiales' newly-formed company Exploreco International LLC. The acquisition deal would also have Pacific Rubiales absorbing the oil producer's COP640 million net debt that includes convertible bonds.

Pacific Rubiales's acquisition was reportedly strategic in nature, as it would be gaining 5% of Oleoducto Central SA and 9.65% of Oleoducto Bicentenario. The two are Colombia-based pipelines.