GeoPark Announces Third Quarter 2023 Operational Update - GeoPark
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RESTORED INDICO FIELD PRODUCTION IN THE CPO-5 BLOCK
MORE EXPLORATION SUCCESS IN COLOMBIA AND ECUADOR
MULTIPLE EXPLORATION CATALYSTS UNDERWAY

Bogota, Colombia –  GeoPark Limited (“GeoPark” or the “Company”) (NYSE: GPRK), a leading independent Latin American oil and gas explorer, operator and consolidator, today announces its operational update for the three-month period ended September 30, 2023.

Oil and Gas Production Back Online

  • GeoPark is currently producing approximately 39,000 boepd[1]
  • 3Q2023 consolidated average oil and gas production of 34,778 boepd, below its potential mainly due to temporarily shut-in production in the CPO-5 block (GeoPark non-operated, 30% WI) in Colombia and in the Fell block (GeoPark operated, 100% WI) in Chile
  • 12 rigs currently in operation (7 drilling rigs and 5 workover rigs), including 5 drilling rigs on exploration and appraisal wells

Colombia – Llanos Basin: New Exploration Success and Drilling High-Potential Prospects

Llanos 34 Block (GeoPark operated, 45% WI):

  • The third horizontal development well initiated testing in early October 2023 and is currently producing approximately 1,800 bopd from the Mirador formation
  • GeoPark has already spudded the fourth and fifth horizontal wells, which are expected to reach total depth in November 2023
  • The block is currently producing approximately 54,200 bopd gross (vs 53,367 bopd gross in 3Q2023)

CPO-5 Block:

  • The operator spudded the Halcon 1 exploration well in late September, targeting the exploration potential of the Guadalupe formation in the northern part of the CPO-5 block, close to the southern part of the Llanos 34 block, expected to reach total depth in late October 2023
  • In late September 2023, the operator received approval from the regulator (ANH) to resume production in the Indico 6 and Indico 7 wells[2], which are currently producing 7,500-8,000 bopd gross in aggregate. These wells could potentially increase and stabilize their combined production at approximately 9,000 bopd gross before year-end, depending on reservoir performance
  • The block is currently producing approximately 23,800 bopd gross (vs 16,877 bopd gross in 3Q2023)

Llanos 123 Block (GeoPark operated, 50% WI-Hocol 50% WI):

  • The Toritos 1 exploration well reached total depth in September 2023
  • Logging information indicated hydrocarbon potential in the Barco (Guadalupe) and Gacheta formations
  • The well initiated testing activities in late September 2023 and is currently producing approximately 1,370 bopd of 14 degrees API with a 1.5% water cut from the Barco (Guadalupe) formation
  • The block is currently producing approximately 2,140 bopd gross (vs 626 bopd gross in 3Q2023)

Ecuador – Oriente Basin: New Exploration Success

Perico Block (GeoPark non-operated, 50% WI):

  • The Perico Centro 1 exploration well reached total depth in September 2023
  • Preliminary logging information indicated hydrocarbon potential in the U-sand formation
  • The well initiated testing in late September 2023 and is currently producing approximately 830 bopd of 28 degrees API with a 1% water cut
  • The block is currently producing approximately 2,400 bopd gross (vs 1,318 bopd gross in 3Q2023)

Returning More Value to Shareholders and Maintaining a Strong Balance Sheet

  • Quarterly Dividend of $0.132 per share, or $7.5 million, paid on September 7, 2023, representing an annualized dividend of approximately $30 million (or $0.52 per share), a 5% dividend yield[3]
  • Repurchased 2.2 million shares, or 4% of total shares outstanding, for $23.6 million since January 1, 2023
  • Cash and cash equivalents of $106 million[4] as of September 30, 2023

Upcoming Catalysts

  • Drilling 10-12 gross wells in 4Q2023, targeting attractive conventional, short-cycle development and exploration projects
  • Key projects include:
    • CPO-5 block: Currently drilling the Halcon 1 exploration well
    • Llanos 123 block: Currently drilling the Bisbita Centro 1 exploration well
    • Llanos 87 block (GeoPark operated, 50% WI-Hocol 50% WI): Currently drilling the Zorzal Este 1 exploration well
    • Llanos 34 block: Currently drilling 2 additional horizontal development wells
    • Perico block: Currently drilling the Perico Norte 4 appraisal well
Recent Exploration Successes and Upcoming Catalysts in the Llanos Basin in Colombia

 

→ Read the full press release.

 

[1] Estimated average production from October 10, 2023, to October 16, 2023.

[2] These two wells were drilled in late 2022 and have been shut-in following the ANH request that the operator suspend production until certain required surface facilities were completed.

[3] Based on GeoPark’s average market capitalization from September 1 to September 29, 2023.

[4] Unaudited.


Reporting Date for 3Q2023 Results Release, Conference Call and Webcast

GeoPark will report its 3Q2023 financial results on Wednesday, November 8, 2023, after the market close.

In conjunction with the 3Q2023 results press release, GeoPark management will host a conference call on November 9, 2023, at 10:00 am (Eastern Daylight Time) to discuss the 3Q2023 financial results.

To listen to the call, participants can access the webcast located in the “Invest with Us” section of the

Company’s website at www.geo-park.com, or by clicking below:

 

https://events.q4inc.com/attendee/344411932

Interested parties may participate in the conference call by dialing the numbers provided below:

United States Participants: +1 (646) 904-5544

International Participants:  +1 (833) 470-1428

Passcode: 865697

 

Please allow extra time prior to the call to visit the website and download any streaming media software that

might be required to listen to the webcast.

An archive of the webcast replay will be made available in the “Invest with Us” section of the Company’s website at www.geo-park.com after the conclusion of the live call.


For further information, please contact:

INVESTORS:

Stacy Steimel
ssteimel@geo-park.com
Shareholder Value Director
T: +562 2242 9600

Miguel Bello
mbello@geo-park.com
Market Access Director
T: +562 2242 9600

Diego Gully
dgully@geo-park.com
Investor Relations Director
T: +5411 4312 9400

MEDIA:
Communications Department
communications@geo-park.com