Latin American oil and gas explorer GeoPark has called off its planned $530m acquisition of Repsol's upstream oil and gas production assets in Colombia.

GeoPark had signed binding share purchase agreements to acquire the assets in November 2024.

The agreements involved acquiring 100% of Repsol Colombia O&G, which holds a 45% non-operated interest in the CPO-9 Block in the Meta Department (operated by Ecopetrol with a 55% stake), as well as Repsol’s 25% stake in SierraCol Energy Arauca (Llanos Norte) in the Arauca Department, Columbia.

The termination took place after Repsol’s partner in SierraCol Energy Arauca exercised its pre-emptive rights under the LLC agreement to acquire a 25% interest in the Llanos Norte assets in Arauca Department, affecting the agreed transaction terms.

The two assets had the potential to produce approximately 16,000boepd net to Repsol.

GeoPark had anticipated that the acquisition would align with its 'North Star' growth strategy. The strategy focuses on securing value accretive access to significant assets in major plays and proven basins to build and deliver a “highly profitable”, “dependable” and sustainable oil and gas portfolio across Latin America.

The Repsol assets in Colombia were expected to provide immediate and long-term production, reserves and cash flow, with low capital investment intensity and low-risk growth potential.

The terminated deal was also seen as a strategic complement to GeoPark's recent entry into the Vaca Muerta play in Argentina, which would have contributed to country risk diversification.

In November 2024, GeoPark, alongside Phoenix Global Resources, began production at the Confluencia Norte Block in the Vaca Muerta formation, Rio Negro, Argentina.

This followed their agreement in May 2024 to acquire interests in four blocks in the Neuquén Basin in Argentina.