GeoPark Announces Exclusive Binding Agreement to Acquire Repsol Exploration and Production Assets in Colombia
GeoPark has signed Sale and Purchase Agreements with Repsol to acquire their upstream oil and gas assets in Colombia. The $530 million acquisition includes a 45% non-operated stake in the CPO-9 Block and a 25% interest in Llanos Norte, collectively producing about 16,000 boepd. The assets are located in the prolific Llanos Basin, where GeoPark already operates successfully. The deal will be funded through cash and a $345 million non-recourse debt facility arranged by Macquarie Bank The transaction aligns with GeoPark's 'North Star' growth strategy and complements their recent entry into Argentina's Vaca Muerta play.
GeoPark ha firmato Accordi di Vendita e Acquisto con Repsol per acquisire i loro asset petroliferi e di gas upstream in Colombia. L'acquisizione di 530 milioni di dollari include una partecipazione non operativa del 45% nel Blocco CPO-9 e un interesse del 25% in Llanos Norte, che producono collettivamente circa 16.000 boepd. Gli asset si trovano nella prolifica Bacino Llanos, dove GeoPark opera già con successo. L'affare sarà finanziato tramite contante e un 345 milioni di dollari di debito non recourse organizzato da Macquarie Bank. La transazione è allineata con la strategia di crescita 'North Star' di GeoPark e complementa il loro recente ingresso nel giacimento Vaca Muerta in Argentina.
GeoPark ha firmado Acuerdos de Compra y Venta con Repsol para adquirir sus activos de petróleo y gas upstream en Colombia. La adquisición de 530 millones de dólares incluye una participación no operada del 45% en el Bloque CPO-9 y un interés del 25% en Llanos Norte, que producen en conjunto aproximadamente 16,000 boepd. Los activos se encuentran en la prolífica Cuenca de Llanos, donde GeoPark ya opera con éxito. El acuerdo se financiará a través de efectivo y un 345 millones de dólares en una línea de crédito sin recurso organizada por Macquarie Bank. La transacción se alinea con la estrategia de crecimiento 'North Star' de GeoPark y complementa su reciente entrada en el yacimiento Vaca Muerta en Argentina.
GeoPark는 Repsol과 계약을 체결하고 콜롬비아의 상류 석유 및 가스 자산을 인수합니다. 5억 3천만 달러에 달하는 이번 인수에는 CPO-9 블록에서의 45% 비운영 지분과 Llanos Norte에서의 25% 지분이 포함되며, 이 두 자산은 함께 약 16,000 boepd를 생산합니다. 이 자산은 GeoPark가 이미 성공적으로 운영하고 있는 생산적인 Llanos 분지에 위치해 있습니다. 이번 거래는 현금과 Macquarie Bank에서 마련한 3억 4천5백만 달러 규모의 비상환 채무를 통해 자금이 조달될 것입니다. 이 거래는 GeoPark의 'North Star' 성장 전략과 일치하며, 최근 아르헨티나의 Vaca Muerta 지역 진출을 보완합니다.
GeoPark a signé des contrats de vente et d'achat avec Repsol pour acquérir leurs actifs pétroliers et gaziers en amont en Colombie. L'acquisition de 530 millions de dollars comprend une participation non opérée de 45 % dans le bloc CPO-9 et un intérêt de 25 % dans Llanos Norte, produisant collectivement environ 16 000 boepd. Les actifs sont situés dans le prolifique bassin des Llanos, où GeoPark opère déjà avec succès. L'accord sera financé par des liquidités et une facilité de dette non recourse de 345 millions de dollars organisée par Macquarie Bank. La transaction est alignée avec la stratégie de croissance 'North Star' de GeoPark et complète leur récente entrée dans le champ de Vaca Muerta en Argentine.
GeoPark hat Verkaufs- und Kaufverträge mit Repsol unterzeichnet, um deren upstream Öl- und Gasvermögen in Kolumbien zu erwerben. Der Kaufbetrag von 530 Millionen Dollar beinhaltet einen 45% nicht operativen Anteil am CPO-9 Block und ein 25% Interesse an Llanos Norte, die zusammen etwa 16.000 boepd produzieren. Die Vermögenswerte befinden sich im ergiebigen Llanos-Becken, wo GeoPark bereits erfolgreich operiert. Das Geschäft wird durch Bargeld und eine von Macquarie Bank arrangierte 345 Millionen Dollar nicht rückverfolgbare Schuldfazilität finanziert. Die Transaktion steht im Einklang mit GeoParks Wachstumsstrategie 'North Star' und ergänzt den kürzlichen Einstieg in das Vaca Muerta-Gebiet in Argentinien.
- Immediate addition of 16,000 boepd production
- Assets located in proven Llanos Basin where GeoPark has existing operations
- Low capital investment intensity with significant growth potential
- Secured $345 million debt facility with robust hedging strategy
- Strategic diversification across assets and countries
- Substantial $530 million acquisition cost increasing debt burden
- Transaction subject to regulatory approvals and partner preemptive rights
- Non-operated position in key assets limiting operational control
Insights
This strategic acquisition marks a significant expansion for GeoPark in Colombia's Llanos Basin, adding approximately 16,000 boepd net production for a consideration of
The transaction aligns with GeoPark's portfolio diversification strategy, complementing their recent Vaca Muerta entry. The low capital intensity nature of these assets, coupled with built-in hedging protection, suggests potential for strong free cash flow generation. The non-operated status in established producing blocks reduces operational risks while maintaining exposure to upside potential.
The acquisition strengthens GeoPark's position in Colombia's most productive oil region, partnering with state oil company Ecopetrol. The assets' location in the prolific Llanos Basin, where infrastructure is well-developed, should enable efficient monetization of reserves. The deal provides immediate production with exploration upside, reducing the risk typically associated with pure exploration plays.
Working with Ecopetrol as operator brings additional strategic advantages, including potential cost synergies and reduced political risk. The hedging strategy attached to the debt facility provides important downside protection, particularly relevant given oil price volatility and the cyclical nature of the industry.
The potential acquisition would incorporate high-quality assets located in the prolific Llanos Basin, one of Colombia’s most productive oil regions where GeoPark already has a successful oil-finding track record and is a well-established operator both above and below ground. The agreements include the acquisition of
This acquisition firmly fits within GeoPark’s growth strategy – “North Star”- by securing value accretive access to big competitively advantaged assets, in big plays, and big proven basins to build and deliver a highly profitable, dependable, and sustainable oil and gas portfolio across
The consideration for the potential acquisition at full scope is approximately
The transaction is subject to the fulfillment of certain conditions precedent and customary regulatory approvals, including the waiver or non-execution of the preemptive rights by Repsol’s current partners. Hence, no assurances can be given about the transaction’s final scope and/or that it will ultimately be completed. Due to confidentiality terms in the agreement, GeoPark is not able to provide further information to the market on this acquisition until the transaction is effectively closed, or terminated, as the case may be.
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1 Production at Repsol’s working interest before royalties and economic rights.
NOTICE
Additional information about GeoPark can be found in the “Invest with Us” section on the website at www.geo-park.com.
CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION
This press release contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this press release can be identified by the use of forward-looking words such as ‘‘anticipate,’’ ‘‘believe,’’ ‘‘could,’’ ‘‘expect,’’ ‘‘should,’’ ‘‘plan,’’ ‘‘intend,’’ ‘‘will,’’ ‘‘estimate’’ and ‘‘potential,’’ among others.
Forward-looking statements that appear in a number of places in this press release include, but are not limited to, statements regarding the intent, belief or current expectations, regarding various matters, including, expected production, reserves and the closing of the acquisition. Forward-looking statements are based on management’s beliefs and assumptions, and on information currently available to the management. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors.
Forward-looking statements speak only as of the date they are made, and the Company does not undertake any obligation to update them in light of new information or future developments or to release publicly any revisions to these statements in order to reflect later events or circumstances, or to reflect the occurrence of unanticipated events. For a discussion of the risks facing the Company which could affect whether these forward-looking statements are realized, see filings with the
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INVESTORS:
Maria Catalina Escobar
Shareholder Value and Capital Markets Director
mescobar@geo-park.com
Miguel Bello
Investor Relations Officer
mbello@geo-park.com
Maria Alejandra Velez
Investor Relations Leader
mvelez@geo-park.com
MEDIA:
Communications Department
communications@geo-park.com
Source: GeoPark Limited
FAQ
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What assets are included in GeoPark's Repsol Colombia acquisition?
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