GeoPark Limited (“GeoPark”) (NYSE: GPRK), a leading independent energy company with over 20 years of successful operations across Latin America, announces its operational update for the three-month period ended March 31, 2025 (“1Q2025”).
The Company’s 1Q2025 operational update includes pro forma production and activity figures from four unconventional hydrocarbon blocks in Vaca Muerta, Argentina, the acquisition of which became effective on July 1, 2024, but has not closed and remains subject to regulatory approvals from the respective provincial governments. GeoPark continues to work diligently with its partner and regulatory authorities to complete the approval process.
GeoPark’s profitable, dependable, and sustainable platform continued to deliver in 1Q2025, supported by the focused execution of its 2025 Work Program. The Company’s strategic commitment to disciplined capital allocation, portfolio resilience and competitiveness has positioned GeoPark to manage the current lower Brent price environment and higher market volatility, while retaining the capability to pursue value-accretive growth.
Oil and Gas Production and Operations
- 1Q2025 pro-forma consolidated average oil and gas production of 36,279 boepd1, (29,076 boepd excluding Vaca Muerta), exceeding the 2025 guidance of 35,000 boepd and reflecting solid delivery from core operated and non-operated assets
- Production from the organic business was 8% lower than 4Q2024, primarily due to the operational suspension on January 8, 2025, of the Platanillo Block2, and the divestiture of the Llanos 32 Block (GeoPark non-operated, 12.5% WI3), announced on March 31. These impacts were partially offset by solid workover results in the CPO-5 Block (GeoPark non-operated, 30% WI)
- Production in Vaca Muerta reached a record of 17,358 boepd gross during February 2025
9 wells drilled and completed in 1Q2025 (including 4 wells drilled in Vaca Muerta)
- New exploration discovery at the Currucutu-1 well in the Llanos 123 block, producing 1,360 bopd gross
Strong Operational Delivery Underpins Resilient and Profitable Business Model
- Solid 1Q2025 production performance, exceeding base case guidance of 35,000 boepd, reflecting stable delivery across core operated and non-operated assets
- Robust hedge position, protecting approximately 70% of expected 2025 pro forma production, including Vaca Muerta, with floors of between $68–70/bbl, mitigating downside price risk
- Strong liquidity, with a cash position of $308 million4 as of March 31, 2025, providing ample flexibility to manage potential volatility
- Improved debt profile, following the successful issuance of our notes due 2030 and the repurchase of a significant portion of our notes due 2027, extending the average life of GeoPark’s debt to 4.6 years and significantly reducing near-term refinancing risk
Llanos 34 Block: Secondary Recovery Underway
- 1Q2025 average production of 18,175 boepd net (40,389 boepd gross), down 6% from 4Q2024 and in line with expected decline rates. The decrease was partially offset by solid performance from 8 workovers and 5 upsizing/deepening jobs
- Waterflooding projects contributed approximately 6,000 boepd gross, representing 15% of total block production. One new injector well began operation in April 2025
- A new generation rig has been incorporated and has reached total depth on two wells in the 2025 infill drilling campaign after spudding the first well on March 29. The rig is 20% faster and saves 25% on drilling and completion costs versus similar wells drilled in 2024, equivalent to efficiencies of $1.1 million per well. With six wells in the campaign, total estimated savings are $6.6 million and estimated completion time is reduced by 18 days
CPO-5 Block: Successful Workover Campaign Results
- 1Q2025 average production reached 6,605 bopd net (22,017 bopd gross), up 3% from 4Q2024, driven by the successful workover campaign, and despite higher-than-planned downtime due to blockades in the Indico field
- Workover campaign successfully executed in the Indico 3, 4, and 5 wells, contributing an additional 2,279 bopd gross
- 3D seismic surveys identified new prospective opportunities, which will be evaluated in the coming months, while merging with existing surveys continues to progress.
Vaca Muerta: Another Production Record in 1Q2025
- 1Q2025 average production of 15,533 boepd gross5 (reaching a record production of 17,358 boepd gross in February 2025)
- Put on production of PAD-9 (three wells of 3,200m of lateral length each) and completed drilling of PAD-12 (four wells of 3,000m of lateral length each) at the Mata Mora Norte Block (GeoPark non-operated, 45% WI)
- Initiated construction of the Central Processing Facility (CPF-2) to reach total treatment capacity of 40,000 bopd (expected by May 2026)
- Duplicar Plus Pipeline started operations, securing 19,000 gross bopd of transportation capacity
Llanos Exploration: New Discovery and Record Quarterly Production
- 1Q2025 average production reached a record of 1,894 boepd net (3,787 boepd gross), driven by continued strong performance and stable output from new wells brought online in late 4Q2024 in the Llanos 123 Block (GeoPark operated, 50% WI). Following the recent Currucutu-1 discovery, current gross production has increased further to 4,940 boepd, marking a new milestone
- Llanos 123 Block:
- Drilled and completed Currucutu-1 exploration well during April 2025, finding 79 feet of net pay and currently producing 1,360 bopd gross with a 0.6% water cut
- Tested Bisbita Oeste-1 well, currently producing 585 bopd gross
- Llanos 87 Block (GeoPark operated, 50% WI):
- Workover on the Zorzal Este-2 appraisal well was carried out in January 2025, delivering initial production over 450 bopd and currently averaging 285-300 bopd
Putumayo: Exploration Campaign Underway
PUT-8 Block6:
- The Bienparado Norte-1 exploration well spudded in December 2024 and reached total depth in the first week of January 2025. After completing testing, the well was deemed dry
- The Bienparado Sur-1 exploration well was put on production in March 2025, delivering 350 bopd during short-term testing. The well is currently shut in and under evaluation for a potential long-term testing request
Portfolio Optimization and Cost Efficiency
- On March 31, 2025, GeoPark announced the divestiture of the non-core Llanos 32 Block in Colombia and the Manati gas field in Brazil, representing ~1,500 boepd in the 2025 work plan, further aligning the portfolio with high-impact, high-materiality assets
- In parallel, the Company launched a targeted cost efficiency program expected to generate $5–7 million in annual OPEX and G&A savings through reductions in workforce, consultants, contractors, and other administrative expenses
Upcoming Catalysts 2Q2025
- Drilling 7 gross wells in Colombia and 4 gross wells in Argentina in 2Q2025, targeting conventional, unconventional, appraisal and exploration projects
- Key projects include:
- Llanos 34 Block: Drilling 6 infill wells in the Tigui area and continuing the workover campaign
- Mata Mora Norte Block: Completing and putting on production 4 wells on PAD-12
- Confluencia Sur Block (GeoPark non-operated, 50% WI): Spudding PAD-1 (4 wells of 3,000m lateral length each)
- Llanos 123 Block: Drilling 1 appraisal well
- Llanos 104 Block (GeoPark operated, 50% WI): Drilling 1 exploration well