Page 14 - LatAmOil Week 11 2021

LatAmOil NEWS IN BRIEF LatAmOil

The other unallocated offshore deepwater region we completely restructured our asset portfolio
lies northwest of Guyana’s offshore sector. This and organisation, we strengthened our balance
area, formerly called the Roraima block, is bor- sheet and almost doubled our cash, we provided
dered by the Kaieteur and Stabroek blocks. It is, aid and support to our neighboring communi-
however, part of a territorial dispute between ties, we moved to reduce our carbon footprint
Guyana and Venezuela, therefore potentially and social and environmental impacts, and we
struggling to generate interest. reinstated our shareholder value initiatives with
In the middle of this booming exploration share buybacks and cash dividends. Bottom-line:
activity, Guyana is mulling over a new bidding programme to $130-150mn (from prior $100- GeoPark is a better and stronger Company today
round that could see the light of day in 2022. 120mn), targeting 41,000-43,0002 boepd and well-positioned for the promising opportu-
Drilling results will be eagerly watched by the average production and operating netbacks of nities ahead. 2021 is already well underway with
services industry, as more exploration success off $330-370mn assuming Brent at $50-55 per bar- three drilling rigs at work, seismic being run to
Guyana would translate into welcomed opportu- rel. Flexible work programme, quickly adaptable identify new prospects on our high-potential
nities after the market slump of 2020. to any oil price scenario. acreage, and our team fully engaged in getting
Rystad Energy, March 15 2021 Returning Value to Shareholders: Quarterly every molecule of hydrocarbons safely, cleanly
cash dividend of $0.0205 per share ($1.25mn) and profitably out of the ground and to market.’
GeoPark reports Q4-2020 to be paid on April 13, 2021, to the sharehold- GeoPark, March 10 2021
ers of record at the close of business on March
and full-year 2020 results 31, 2021. Resumed cash dividends, having paid INDUSTRY STANDARDS
$4.9mn in full-year 2020 (quarterly and extraor-
GeoPark, a leading independent Latin Ameri- dinary). Resumed discretionary share buyback
can oil and gas explorer, operator and consoli- programme, having acquired 119,289 shares API signs MoU to advance
dator with operations and growth platforms in for $1.2mn since November 6, 2020, totaling
Colombia, Ecuador, Chile, Brazil and Argentina $4.0mn in full-year 2020. oil and natural gas industry
has reported its consolidated financial results for Decisive Actions on SPEED/ESG+: Exceeded
the three-month period and for the year ended all Health and Safety goals in 2020. Obtained standards in Guyana
December 31, 2020 Bureau Veritas certification on biosecurity
Profitable Production Growth: Annual aver- protocols to mitigate and manage the impact The American Petroleum Institute (API) has
age production of 40,192 boepd in 2020, extend- of Covid-19 in GeoPark Colombia in June and signed a Memorandum of Understanding
ing 18-year track record. Consolidated oil and again in December 2020. Signed contract to (MoU) with the Centre for Local Business
gas production of 39,304 boepd. CPO-5 block connect the Llanos 34 block (GeoPark oper- Development, Guyana’s premier organisation
(GeoPark non-operated, 30% WI) produced ated, 45% WI) to the national electricity grid, for oil and natural gas information, training and
10,310 bpd gross, 55% higher than Q3-2020. which has 68% installed hydroelectric capacity. policy advocacy. The MoU establishes a frame-
Free Cash Flow Generation: Revenue of The electrification of Llanos 34 is expected to be work for collaboration and using API’s best-
$106.7mn/Full-year Revenue of $393.7mn. Cash operational in 2022, and will help reduce carbon in-class programmes to enhance health, safety,
flow from operations of $77.1mn/Full-year Cash emissions and the cost of energy. Connected security and environmental protection in Guy-
flow from operations of $168.7mn. Adjusted the Tigana field (Llanos 34 block) to the ODCA ana’s energy sector.
EBITDA of $56.0mn/Full-year Adjusted pipeline in December 2020, further reducing “Guyana is swiftly becoming a leader in off-
EBITDA of $217.5mn. Full-year non-cash truck traffic by an estimated 205 trucks per day, shore energy development, and today’s MoU
accounting impairments in Chile, Peru, Argen- contributing to further reduce operational risk, is a reflection of the country’s growing energy
tina and Brazil of $133.9mn and write-offs of costs and carbon emissions industry,” API Segment Standards and Services
$52.7mn for an operating loss of $110.7mn/Full- Big Expansion Fairway: Certified 2P reserves Vice President Alexa Burr said. “We are honored
year Net loss of $233.0mn.Capital expenditures of 175 mmboe with a net present value (after to take this step in strengthening Guyana’s local
of $26.1mn/Full-year 2020 work programme of tax) of $2.5bn. 199% 2P reserve replacement manufacturers and suppliers and look forward
$75.3mn. in Colombia (including acquisitions). Net to deepening our collaboration on safety, health
Cost and Capital Efficiencies: Cost and debt-adjusted 2P NPV10 after tax of $31.3 per and sustainability issues.”
investment reductions of over $290mn across share ($25.5 per share corresponding to Colom- Over the past two years, API and the Centre
regional platform. Full-year Production and bia). Exploration inventory of 380-780 mmbbl4 have identified opportunities for collaboration
operating costs reduced by 26% to $125.1mn. potential recoverable resources in Colombia on training that supports local business and
Full-Year G&G, G&A and selling expenses James F. Park, CEO of GeoPark, said: “After workforce development for the oil and natural
reduced by 24% to $71.1mn. such a historically-complex year and the excep- gas industry and builds the technical capacity of
Strong Risk-Managed Balance Sheet: tional efforts by our team to prevail through and Guyanese firms to compete in the sector.
$201.9mn of Cash & cash equivalents as of succeed during 2020, we must again express our “The Centre is excited to be taking the next
Dec. 31, 2020 ($111.2mn as of Dec. 31, 2019). gratitude and admiration to the GeoPark women steps in the phased development of Guyanese
$75mn oil prepayment facility, with $50mn and men that made this all possible and contin- suppliers from base knowledge of the oil and gas
committed and no amounts drawn. $125.6mn ued us along our 18-year growth trajectory. We sector to the development of technical knowl-
in uncommitted credit lines. Long-term finan- kept our teams safe and healthy, we operated in edge and certifications allowing more local con-
cial debt maturity profile with no bond principal the field without interruption for 365 days, we tent,” said Dr. Natasha Gaskin-Peters, director
payments until September 2024. Continuously grew production, we found more oil and gas, of the Centre. “This push into formal standards
adding new hedges for the next 12 months. we beat down each and every cost, we funded means Guyanese workers and enterprises will be
Fully Funded Growth in 2021 Work Pro- all our work and obligations with our own cash- able to support the long-term growth, operations
gramme: Expanding full-year 2021 work flow, we acquired and integrated a new company, and maintenance of the sector.”

P14 www. NEWSBASE .com Week 11 18•March•2021