GeoPark Announces First Quarter 2020 Operational Update

OIL AND GAS PRODUCTION UP 16% TO RECORD LEVELS PLAYBOOK AND TOOLS FOR THE DOWNTURN:
$163 MILLION CASH POSITION
$75 MILLION IN NEW FUNDING
60-65% WORK PROGRAM REDUCTION
$200+ MILLION OF INVESTMENT AND COST REDUCTIONS IMPLEMENTED 65% HEDGED OIL PRODUCTION IN 2Q2020
CASH FLOW POSITIVE PRODUCTION AT $20-30 PER BARREL

Bogota, Colombia – GeoPark Limited (“GeoPark” or the “Company”) (NYSE: GPRK), a leading independent Latin American oil and gas explorer, operator and consolidator with operations and growth platforms in Colombia, Peru, Argentina, Brazil, Chile and Ecuador, today announced its operational update for the three-month period ended March 31, 2020 (“1Q2020”).
All figures are expressed in US Dollars and growth comparisons refer to the same period of the prior year, except when otherwise specified.

Highlights
Keep Team Safe and Healthy / Continuity of Field Operations

• Protocols, preventive measures and crisis response plans in place across six-country platform
• Field teams reduced to minimum with back-up teams and contingencies in place
• Office functions moved to home
• Supporting local communities with safety, medical and food supplies

Low Breakeven Oil & Gas Production Base

• 90% oil and gas production cash flow positive at $20-30 per bbl Brent oil price
• Principal Llanos 34 block (GeoPark operated, 45% WI) oil fields with breakeven price of approximately $15-17 per bbl1
• New CPO-5 block (GeoPark non-operated, 30% WI) with breakeven price of approximately $6-7 per bbl2

Self-Funded 2020 Investment and Work Program Reduction
• 2020 work program reduced by 60-65% (or $110-130 million) to $70-80 million
• Targeting 43,000-44,000 boepd average production and operating netbacks of $210-230 million assuming Brent of $30 per bbl3

Decisive and Ongoing Cost Reductions
• Further improving GeoPark’s leading cost efficiencies with ongoing cost-cutting initiatives at operating, G&A and capital investment levels
• Voluntary salary and bonus reduction by management, Board of Directors and employees (20-50% reductions)
• Temporary suspension of quarterly cash dividends and share buybacks
• To date, total capital and cost reductions nearly $200 million

→ Read the full press release.