Introduction> Our bussines > Growth 2019

GROWTH IN 2019

RevenueOperating profit
Thousand dollarsThousand dollars
2019$628,9072019$ 210,675
2018$ 601,1612018$ 256,492
2017$ 330,1222017$ 78,996
Adjusted EBITDAAverage daily production
Thousand dollarsboepd
2019$ 363,335201940,046
2018$ 330,556201836,027
2017$ 175,776201727,586
2P Reserves*Blocks
mmboe
2019197.3201931**
2018189.3201825
2017159.2201724
Countries with operationsPermanent employees
201962019439
201852018458
201752017405

*2P reserves in 2019 and 2018 are stated in terms of GeoPark participation, while those for 2017 are reserves stated in terms of GeoPark participation after royalties in kind.

**Blocks not subject to approval or confirmation by relevant authorities.

DISCOVERIES

COLOMBIA

Guaco, a new oil field in the Llanos 34 block, located in the third fault trend, the largest and westernmost fault trend in the block.

BRAZIL

Acquisition of four new exploration blocks in the Reconcavo and Potiguar basins, which cover a total area of 30,731 acres (124 km2). Located close to GeoPark’s recent light oil discovery in Praia dos Castelhanos.

CHILE

Successful drilling and testing at the Jauke 1 exploration well in the Fell block. The Jauke gas field is part of the Dicky geological structure which has the potential for various drilling opportunities.

ACQUISITIONS

Our asset portfolio is solid, sustainable and diversified throughout Latin America, and grows organically as well as through new acquisitions.

COLOMBIA

New blocks awarded

As part of bidding rounds held by the National Hydrocarbons Agency (ANH) we were awarded five new blocks in partnership with Hocol (a 100% subsidiary of national oil company Ecopetrol): Llanos 86, Llanos 87, Llanos 104, Llanos 123 and Llanos 124. GeoPark will be the operator of the new blocks and will own a 50% share. In partnership with Parex we also acquired the Llanos 94 block, located on the same fault trend as the Llanos 34 block.

ACQUISITION OF AMERISUR RESOURCES PLC

The acquisition of Amerisur is in line with the GeoPark strategy of continuous expansion and which aims at the long-term goal of producing 100,000 boepd. In November 2019 we announced the acquisition of Amerisur, a growing and debt-free company with a positive cash flow and low operating costs. The acquisition provided a significant increase in the number of short, medium and long-term opportunities for GeoPark, as well as increasing its reserves, production and cash flow. Through the Amerisur acquisition 13 production, development and exploration blocks were incorporated (12 blocks in the Caguan-Putumayo basin and the non-operated CPO-5 block in the Llanos basin), the Oleoducto Binacional Amerisur (an oil export pipeline from Colombia to Ecuador) and valuable partnerships with multinational companies Oxy (Occidental Petroleum Corporation) and ONGC Videsh (Oil and Natural Gas Corporation), India’s national oil company and the operator of the CPO-5 block. (In the “Employees” chapter we detail all the preparatory work undertaken for the Amerisur acquisition).

ECUADOR
In 2019, GeoPark added a new country to its portfolio: Ecuador

 

In May 2019 the final papers were signed on contracts for the participation contracts on the Espejo and Perico blocks that were acquired in the Intracampos Bidding Round that took place in March 2019 in Quito, Ecuador. Espejo and Perico are attractive high-potential exploration blocks in Sucumbios province, in the northeast of the country. During the year we opened offices in Quito, created our work team, signed production sharing contracts for the Espejo and Perico blocks that were awarded to the consortium of GeoPark (50%) and Frontera (50%), and by preparing the environmental impact study (EIS) we started the process to obtain environmental permits, with the goal of carrying out 3D seismic work in 2020 and drilling our first wells in 2021.

 

The Espejo block covers an area of 15,650 acres (63 km2), while Perico covers 17,700 acres (72 km2). Both border multiple discoveries, producing oil fields and existing infrastructure, allowing us to interconnect the hydrocarbons system that stretches between southern Colombia, Ecuador and northern Peru. The Espejo block is in Shushufindi canton, Sucumbios province, a challenging area in which we will need to be particularly diligent in implementing a high-quality socioenvironmental plan and make partnerships for territorial development to work in harmony with our neighbors in the long term.

A NEW STRATEGY FOR OUR LOCAL ENVIRONMENT IN ECUADOR: “BUILDING NEIGHBORLINESS”

Our entry process in Ecuador required a number of different efforts and the corporate team involved in the project has led strategies that guarantee the implementation of best practices that are part of our SPEED value system and are in line with our organizational principles and our culture. This work is fundamental to laying the foundation of GeoPark’s work in Ecuador.

In entering Ecuador, our strategy was to pursue dialogue and citizen participation, based on the fundamental principles of respect and acknowledging our neighbors and local authorities, key participants in good neighborliness. (More information in the Community Development chapter).

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