GeoPark acquires private Colombian explorers

By OGJ editors

GeoPark Holdings Ltd. has acquired Winchester Oil & Gas SA and La Luna Oil

Co. Ltd., private exploration and production companies operating in Colombia, for $30 million cash adjusted for working capital.

The agreement also provides for certain contingent payments from production revenues as a result of successful future exploration.

GeoPark said it is acquiring the Winchester and Luna assets to form a nucleus around which it plans to build a meaningful long-term business in Colombia and to complement its expanding upstream business in Chile and Argentina.

The acquisition of Winchester-Luna provides GeoPark with 5-75% interests in eight blocks totaling 131,000 gross acres in the Llanos, Magdalena, and Catatumbo basins. GeoPark will operate two of the blocks. It plans to spend $20-30 million and drill 10 wells in Colombia in 2012.

The blocks produce 800 b/d net (1,230 b/d gross) from a net 2 million b/d of net proved and probable reserves and contain a mix of low-risk development potential and attractive exploration upside.

GeoPark operates nine blocks totaling 4 million gross acres in Chile and Argentina that produce 9,200 b/d of oil equivalent. GeoPark’s 2012 work program of $100-120 million in Chile includes drilling 17-20 wells and shooting 600 sq km of 3D and 147 line-km of 2D seismic surveys.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...