S&P rates Ocensa notes BBB

Standard & Poor's said it assigned a BBB rating to Oleoducto Central, SA (Ocensa)'s upcoming senior unsecured notes.

The proceeds will be used from this issuance mainly to finance Project Potencia 135, which is an expansion project intended to increase the transport capacity of the pipeline, S&P said.

The BBB corporate credit rating on Ocensa and the proposed notes are the same as that of its ultimate parent, Ecopetrol SA, as Ocensa is viewed as a core subsidiary of Ecopetrol, the agency said.

The BBB stand-alone credit profile assessment on Ocensa reflects its satisfactory business risk profile and modest financial risk profile, S&P said.

The ratings incorporate the industry's low industry risk and moderately high country risk, the agency said.

They also reflect a very low degree of commodity pressures, the company's strong market position and the effective barriers to industry entry, S&P added.

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