Repsol, the Spanish energy giant, has agreed to sell its upstream oil and gas assets in Colombia to GeoPark, a Latin American-focused oil and gas operator, for $530 million. The deal includes Repsol’s 45% stake in the CPO-9 Block in Meta, operated by Ecopetrol, and its 25% interest in SierraCol Energy Arauca LLC. Together, these assets produced approximately 16,000 barrels of oil equivalent per day (boepd) as of September 2024. GeoPark will fund the acquisition through cash and a debt facility arranged by Macquarie Bank.
About Repsol
Repsol, headquartered in Madrid, Spain, is a global energy company with a diversified portfolio spanning upstream oil and gas exploration, refining, and renewable energy. The company has increasingly focused on transitioning to cleaner energy sources, reducing its presence in less strategic regions, and optimizing its asset base. This divestment forms part of its broader strategy to prioritize investments in higher-margin and sustainable energy projects.
About GeoPark
GeoPark, based in Santiago, Chile, specializes in oil and gas exploration and production in Latin America. Known for its expertise in the Llanos Basin, GeoPark has a strong operational track record in Colombia. This acquisition strengthens its footprint in one of the region’s most productive basins, complementing its existing assets while leveraging its operational efficiencies. The move also aligns with GeoPark’s growth strategy, supported by prudent financial planning, including hedging mechanisms to manage price volatility.
This move aligns with Repsol’s strategy to streamline its portfolio and focus on core growth areas. GeoPark, already established in the Colombian market, views this acquisition as an opportunity to expand its presence in the prolific Llanos Basin and bolster its production base.