We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
GeoPark's CPO-9 Block Acquisition Halted by Ecopetrol's Move
Read MoreHide Full Article
GeoPark Limited (GPRK - Free Report) recently announced that it would not be able to move ahead with the planned acquisition of the CPO-9 block in Colombia because Ecopetrol S.A. (EC - Free Report) exercised its preemptive rights. Under the Joint Operating Agreement, EC, the operator of the block with a 55% working interest, had the preemptive right to acquire the remaining 45% non-operated interest held by Repsol, S.A. (REPYY - Free Report) .
GPRK’s initial acquisition plan dates back to Nov. 29, 2024, when the company made an announcement to obtain REPYY’s upstream oil and gas assets in Colombia.
Overview of GPRK’s Initial Acquisition Plan
As a leading energy company in Latin America, GeoPark, carrying a Zacks Rank #3 (Hold) at present, had announced the acquisition of a 45% working interest in the CPO-9 Block and a 25% working interest in SierraCol Energy Arauca LLC.
Per its ambitious “North Star” strategy, GPRK had the target to acquire high-valued and advantaged assets in the Llanos Basin to deliver a highly profitable and sustainable portfolio across Latin America. The proposed acquisition was also about boosting the company’s production and cash flow levels.
However, the invocation of preemptive rights by Ecopetrol, a leading petroleum company focused on identifying opportunities within the eastern Llanos Basin of Colombia,shifts the asset’s trajectory.
Opportunities Still Open in Arauca’s Llanos Norte Project
Although the acquisition of the CPO-9 block has been interrupted by the EC, GPRK retains its option to acquire another venture. The company is still eyeing a 25% stake in SierraCol Energy Arauca LLC, located in the Arauca Department, where the partners are yet to exercise their preemptive rights, leaving an option with GeoPark to proceed with its acquisition.
The Arauca acquisition will align with GPRK’s strategy to strengthen its presence in Latin America’s dynamic energy sector. With a strong financial structure, the company is well positioned to pursue strategic acquisitions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
GeoPark's CPO-9 Block Acquisition Halted by Ecopetrol's Move
GeoPark Limited (GPRK - Free Report) recently announced that it would not be able to move ahead with the planned acquisition of the CPO-9 block in Colombia because Ecopetrol S.A. (EC - Free Report) exercised its preemptive rights. Under the Joint Operating Agreement, EC, the operator of the block with a 55% working interest, had the preemptive right to acquire the remaining 45% non-operated interest held by Repsol, S.A. (REPYY - Free Report) .
GPRK’s initial acquisition plan dates back to Nov. 29, 2024, when the company made an announcement to obtain REPYY’s upstream oil and gas assets in Colombia.
Overview of GPRK’s Initial Acquisition Plan
As a leading energy company in Latin America, GeoPark, carrying a Zacks Rank #3 (Hold) at present, had announced the acquisition of a 45% working interest in the CPO-9 Block and a 25% working interest in SierraCol Energy Arauca LLC.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Per its ambitious “North Star” strategy, GPRK had the target to acquire high-valued and advantaged assets in the Llanos Basin to deliver a highly profitable and sustainable portfolio across Latin America. The proposed acquisition was also about boosting the company’s production and cash flow levels.
However, the invocation of preemptive rights by Ecopetrol, a leading petroleum company focused on identifying opportunities within the eastern Llanos Basin of Colombia,shifts the asset’s trajectory.
Opportunities Still Open in Arauca’s Llanos Norte Project
Although the acquisition of the CPO-9 block has been interrupted by the EC, GPRK retains its option to acquire another venture. The company is still eyeing a 25% stake in SierraCol Energy Arauca LLC, located in the Arauca Department, where the partners are yet to exercise their preemptive rights, leaving an option with GeoPark to proceed with its acquisition.
The Arauca acquisition will align with GPRK’s strategy to strengthen its presence in Latin America’s dynamic energy sector. With a strong financial structure, the company is well positioned to pursue strategic acquisitions.