GeoPark Ltd. Q4 FY2024 earnings call

• 2024 was a year of significant achievements despite challenges, including sustaining cash generation, a game-changing acquisition in Vaca Muerta, increased production in Vaca assets, a transformational exploration discovery in Vaca Muerta, and highest annual shareholder cash return.
• In Colombia, focus on water flooding and polymer flooding projects in Llanos 34 block, optimizing production in Llanos 34 and CPO-5 blocks, and advancing exploration in Putumayo basin and other assets.
• In Vaca Muerta, continue development at Mata Mora Norte block, with pad nine completed and pad twelve drilling, and plan to drill second exploration pad in Confluencia in H2 2025; partner Phoenix to bring second rig to area by early 2026 to reach a gross plateau of ~40,000 barrels a day in Mata Mora.
• Committed to strong balance sheet, disciplined capital allocation, and evaluating new growth opportunities for long-term value.

GeoPark's total oil and gas production for 2024 averaged almost 34,000 barrels a day equivalent, a 7% decrease from 2023 due to production disruptions and natural decline in Colombian fields. The acquired Vaca Muerta assets had an average production of over 15,000 barrels a day gross in the fourth quarter of 2024, which was 19% higher than the third quarter and almost 50% higher than at transaction announcement. Vaca assets delivered approximately $25 million of EBITDA net to GeoPark in Q4 and ~$100 million net on a full-year pro forma basis. Pro forma 2P reserves reached nearly 160 million barrels, a 41% year-on-year increase driven by the Vaca Muerta acquisition, extending the reserve life index to 13 years on a 2P basis.

• In Colombia, expect continued progress in water flooding and polymer flooding projects in Llanos 34 block, optimize production in Llanos 34 and CPO-5 blocks, and advance exploration in Putumayo basin and other assets.
• In Vaca Muerta, continue development at Mata Mora Norte block with pad nine completed and pad twelve drilling, drill second exploration pad in Confluencia in H2 2025, and partner Phoenix to bring second rig to area by early 2026 to grow production to a gross plateau of ~40,000 barrels a day in Mata Mora.

• Regulatory approval delays for the Argentina acquisition, which could impact the reporting of consolidated production and financial figures.
• Well cost pressure in Vaca Muerta due to efforts to keep well costs under control while increasing well density for productivity.
• Natural decline rates in Colombia's general production, although capital expenditure plan is focused on arresting decline.

Q: What are the next steps in terms of possible M&A after the Repsol transaction did not work out?

A: Jaime Caballero said regularly monitoring M&A, focusing on discipline and patience, looking for opportunities that fit strategy and create value.

Q: Given the challenges posed by natural decline rates in Colombia's general production, the capital expenditure plan of $50 million US dollars and the addition of 20 new wells annually seems sufficient to mitigate these declines and sustain production.

A: Jaime Caballero said CapEx deployment in Colombia is to arrest decline in Llanos 34 and CPO-5 blocks, transitioning from development drilling to well work and occasional development drilling; second priority is pursuing best exploration prospects, with CapEx evolving based on exploration results.