Latest news with #FarmOutAgreement
Yahoo
22-05-2025
- Business
- Yahoo
GeoPark Exits Vaca Muerta Deal, Focuses on Strategic Growth Plans
GeoPark Limited GPRK recently announced the termination of its previously disclosed agreement with Phoenix Global Resources, which involved acquiring a non-operated working interest in four unconventional blocks in Argentina's Vaca Muerta. The deal, governed by a FarmOut Agreement, included an 'Outside Date' clause that allowed either party to withdraw by May 13, 2025. Phoenix exercised this option, leading to the transaction's cancellation. Despite the withdrawal, GeoPark remains undeterred and focused on its long-term strategy built around sustainable, profitable growth in Latin America's energy sector. In April 2024, GeoPark made a strategic move by offering to buy a non-operated working interest in Argentina's Neuquen Basin's Vaca Muerta Formation. The acquisition was expected to close in the third quarter of 2024, pending regulatory approval and would add over 5,000 barrels of oil equivalent per day to GeoPark's production. The $200 million deal, with an additional $110-$120 million earmarked for exploration over two years, was decided to be funded through cash, credit facilities and new financing while maintaining a net debt-to-adjusted EBITDA ratio below 1.1x. GeoPark reaffirmed its commitment to its "North Star" strategic pillars — developing big assets in prolific basins with a disciplined and dependable approach. With $330 million in cash, a net leverage ratio under 1.0x and a hedging program covering 87% of its 2025 volumes, the company is well-positioned to pursue other strategic avenues. GeoPark continues to strengthen its core by maximizing returns from high-value projects in its current portfolio, pursuing inorganic growth through carefully evaluated opportunities within its core geographies and maintaining strategic flexibility, considering options such as share buybacks, debt reduction or dividends based on prevailing market conditions. Hamilton, Bermuda-based GeoPark is an explorer, operator and consolidator of oil and gas. The company operates primarily in Chile, Colombia, Brazil and Argentina. Currently, GPRK has a Zacks Rank #5 (Strong Sell). Investors interested in the energy sector might look at some top-ranked stocks like Prairie Operating Co. PROP, Global Partners LP GLP and Expand Energy Corporation EXE. While Prairie Operating and Global Partners currently sport a Zacks Rank #1 (Strong Buy) each, Expand Energy carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here. Houston-based Prairie Operating is an independent energy company engaged in the development and acquisition of proven, producing oil and natural gas resources principally in the United States. The Zacks Consensus Estimate for PROP's 2025 earnings indicates 389.05% year-over-year growth. Global Partners is a Delaware limited partnership formed by affiliates of the Slifka family. Global Partners owns, controls or has access to one of the largest terminal networks of refined petroleum products in New England. The Zacks Consensus Estimate for GLP's 2025 earnings indicates 17.84% year-over-year growth. Expand Energy is a leading U.S.-based natural gas producer formed through the merger of Chesapeake Energy Corporation and Southwestern Energy Company. The Zacks Consensus Estimate for EXE's 2025 earnings indicates 444.68% year-over-year growth. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Global Partners LP (GLP) : Free Stock Analysis Report Geopark Ltd (GPRK) : Free Stock Analysis Report Prairie Operating Co. (PROP) : Free Stock Analysis Report Expand Energy Corporation (EXE) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
14-05-2025
- Business
- Yahoo
GeoPark Provides Update on Transaction in Vaca Muerta, Argentina
BOGOTA, Colombia, May 14, 2025--(BUSINESS WIRE)--GeoPark Limited ("GeoPark" or the "Company") (NYSE: GPRK), a leading independent energy company with over 20 years of successful operations across Latin America, announces today that Phoenix Global Resources ("Phoenix"), the counterparty to the transaction through which GeoPark agreed to acquire a non-operated working interest in four unconventional blocks in Vaca Muerta (Argentina), has decided to withdraw from the agreement. As a result, the acquisition will not be completed by GeoPark. As previously referenced during GeoPark's 1Q2025 Results Conference Call, and in accordance with the terms of the FarmOut Agreement, either party had the right to withdraw from the transaction following the contractually defined "Outside Date" of May 13, 2025. Notwithstanding this development, GeoPark remains firmly committed to its long-term North Star strategy—anchored in profitable, dependable, and sustainable growth through the development of Big assets, in Big plays, within Big basins. This strategy is underpinned by a solid cash balance, currently at $330 million, conservative net leverage ratio below 1.0x, a robust hedging program that now covers approximately 87% of 2025 volumes, and a disciplined capital allocation framework—which provides the Company with the flexibility to pursue other strategic opportunities and continue advancing the following core priorities: Strengthening the Core Business - The Company remains focused on executing its 2025 organic work program, prioritizing high-return projects to maximize returns and cash generation from its core portfolio Pursuing Value-Accretive Growth - Inorganic growth opportunities within GeoPark's defined geographies of interest continue to be actively evaluated, aiming to complement the existing portfolio and support long-term value creation Strategic Optionality - GeoPark continues to evaluate a range of value-enhancing alternatives, including dividends, share buybacks, and potential debt reduction, depending on market conditions GeoPark appreciates the continued trust and support of its shareholders and stakeholders. The Company remains committed to maintaining open communication while pursuing disciplined growth opportunities that generate long-term value for all its stakeholders. NOTICE Additional information about GeoPark can be found in the "Invest with Us" section on the website at CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION This press release contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this press release can be identified by the use of forward-looking words such as ''anticipate,'' ''believe'', ''could,'' ''expect,'' ''should,'' ''plan,'' ''intend,'' ''will,'' ''estimate'' and ''potential,'' among others. Forward-looking statements that appear in a number of places in this press release include, but are not limited to, statements regarding the intent, belief or current expectations, regarding various matters including its growth strategy, the advancement of the Company's core priorities, the Company's pursuit of disciplined growth opportunities and the generation of long-term value for the Company's stakeholders. Forward-looking statements are based on management's beliefs and assumptions, and on information currently available to the management. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors. Forward-looking statements speak only as of the date they are made, and the Company does not undertake any obligation to update them in light of new information or future developments or to release publicly any revisions to these statements in order to reflect later events or circumstances or to reflect the occurrence of unanticipated events. For a discussion of the risks facing the Company which could affect whether these forward-looking statements are realized, see the Company's filings with the U.S. Securities and Exchange Commission (SEC). View source version on Contacts For further information, please contact: INVESTOR RELATIONS: Maria Catalina Escobar Shareholder Value and Capital Markets Directormescobar@ Miguel Bello Investor Relations Officermbello@ Maria Alejandra Velez Investor Relations Leadermvelez@ MEDIA: Communications Departmentcommunications@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
14-05-2025
- Business
- Business Wire
GeoPark Provides Update on Transaction in Vaca Muerta, Argentina
BOGOTA, Colombia--(BUSINESS WIRE)--GeoPark Limited ('GeoPark' or the 'Company') (NYSE: GPRK), a leading independent energy company with over 20 years of successful operations across Latin America, announces today that Phoenix Global Resources ('Phoenix'), the counterparty to the transaction through which GeoPark agreed to acquire a non-operated working interest in four unconventional blocks in Vaca Muerta (Argentina), has decided to withdraw from the agreement. As a result, the acquisition will not be completed by GeoPark. As previously referenced during GeoPark's 1Q2025 Results Conference Call, and in accordance with the terms of the FarmOut Agreement, either party had the right to withdraw from the transaction following the contractually defined 'Outside Date' of May 13, 2025. Notwithstanding this development, GeoPark remains firmly committed to its long-term North Star strategy—anchored in profitable, dependable, and sustainable growth through the development of Big assets, in Big plays, within Big basins. This strategy is underpinned by a solid cash balance, currently at $330 million, conservative net leverage ratio below 1.0x, a robust hedging program that now covers approximately 87% of 2025 volumes, and a disciplined capital allocation framework—which provides the Company with the flexibility to pursue other strategic opportunities and continue advancing the following core priorities: Strengthening the Core Business - The Company remains focused on executing its 2025 organic work program, prioritizing high-return projects to maximize returns and cash generation from its core portfolio Pursuing Value-Accretive Growth - Inorganic growth opportunities within GeoPark's defined geographies of interest continue to be actively evaluated, aiming to complement the existing portfolio and support long-term value creation Strategic Optionalit y - GeoPark continues to evaluate a range of value-enhancing alternatives, including dividends, share buybacks, and potential debt reduction, depending on market conditions GeoPark appreciates the continued trust and support of its shareholders and stakeholders. The Company remains committed to maintaining open communication while pursuing disciplined growth opportunities that generate long-term value for all its stakeholders. NOTICE Additional information about GeoPark can be found in the 'Invest with Us' section on the website at CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION This press release contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this press release can be identified by the use of forward-looking words such as ''anticipate,'' ''believe'', ''could,'' ''expect,'' ''should,'' ''plan,'' ''intend,'' ''will,'' ''estimate'' and ''potential,'' among others. Forward-looking statements that appear in a number of places in this press release include, but are not limited to, statements regarding the intent, belief or current expectations, regarding various matters including its growth strategy, the advancement of the Company's core priorities, the Company's pursuit of disciplined growth opportunities and the generation of long-term value for the Company's stakeholders. Forward-looking statements are based on management's beliefs and assumptions, and on information currently available to the management. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors. Forward-looking statements speak only as of the date they are made, and the Company does not undertake any obligation to update them in light of new information or future developments or to release publicly any revisions to these statements in order to reflect later events or circumstances or to reflect the occurrence of unanticipated events. For a discussion of the risks facing the Company which could affect whether these forward-looking statements are realized, see the Company's filings with the U.S. Securities and Exchange Commission (SEC).
