Aylwin Mendoza Luksic & Valencia, Larrain y Asociados and Ashurst advised on the deal
GeoPark Limited (“GeoPark” or the “Company”) (NYSE: GPRK), a leading independent Latin American oil and gas explorer, operator and consolidator with operations and growth platforms in Colombia, Peru, Argentina, Brazil and Chile, today announced an agreement to acquire the LG International Corporation (“LGI”) interest in GeoPark’s Colombian and Chilean operations and subsidiaries.
This acquisition will increase GeoPark’s equity interest to 100% in its Colombian and Chilean businesses, which consist of multiple hydrocarbon blocks and associated oil and gas production and reserves, including the Llanos 34 block (GeoPark operated, 45% WI) in Colombia. This acquisition will also help streamline financial, tax, organizational, and cost structures.
The acquisition price includes a fixed payment of $81 million payable at closing, plus two equal installments of $15 million each, to be paid in June 2019 and June 2020, respectively. Additionally, three contingent payments of $5 million each could be payable over the next three years, subject to certain production thresholds being exceeded. Closing of this transaction is expected by November 28, 2018.
Aylwin Mendoza Luksic & Valencia advised GeoPark with a team led by Pedro Aylwin (Pictured).
Larrain y Asociados advised LG International with a team including Carlos Ignacio Larrain, Ricardo Peña and José Antonio Larrain.
Ashurst advised LG International with Stuart James, Chris Barry, Richard Shi, James Campbell (Energy / Corporate), Michael Neary, Matthew Haist, Misha Daha (Banking & Finance)
Involved fees earner: Pedro Aylwin Chiorrini – Aylwin, Mendoza, Luksic & Valencia; Carlos Larrain – Larraín y Asociados; Ricardo Peña V. – Larraín y Asociados; José Antonio Larrain H. – Larraín y Asociados; Stuart James – Ashurst; Christopher Barry – Ashurst; Richard Shi – Ashurst; Michael Neary – Ashurst; Matthew Haist – Ashurst; Misha Daha – Ashurst;