Geopark Ltd · NYSE:GPRK
Geopark — Investor Presentation (March 2024)
26 slides from Geopark's investor presentation, March 2024
Slide 1: Corporate Presentation March 2024
CORPORATE PRESENTATION March 2024
Slide 2: Disclaimer
GeoPark CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION The information contained herein has been prepared by GeoPark solely for informational purposes. No representation or warranty, either expressed DISCLAIMER or implied, is provided in relation to the accuracy, completeness or relia
Slide 3: Long-Term Value Proposition
LEADING INDEPENDENT LATAM E&P COMPANY LONG-TERM VALUE PROPOSITION ENDURING PRINCIPLES AND APPROACH Energy Oil & Gas Latin America GeoPark Approach Building the Right Team Leading Oil and Gas Finders Proven Team and Unique Culture Drilling Success Rate*** 81% 21 Year Track Record SPEED = ESG+ BRAZIL
Slide 4: Right Neighborhoods
RIGHT NEIGHBORHOODS 4
Slide 5: Llanos 34 - A World-Class Asset
RIGHT NEIGHBORHOODS LLANOS 34 - A WORLD-CLASS ASSET Chiricoca KEY METRICS VENEZUELA VENEZUELA Chachalaca Llanos Basin LLA-34 Tilo COLOMBIA LL-34 Max ECUADOR COLOMBIA Tigana PERU BRAZIL ECUADOR BRAZIL PERU Guaco Tarotaro 53,660 94% 9.7 kgCO2e/BOE 9.0 Years* Tua Gross BOPD Production efficiency Low em
Slide 6: CPO-5 - Unlocking the Upside
RIGHT NEIGHBORHOODS CPO-5 - UNLOCKING THE UPSIDE KEY METRICS VENEZUELA Llanos 34 Block CPO-5 Perico 1 Exploration Well Jacana Field Cabrestero Block COLOMBIA ECUADOR BRAZIL PERU Mariposa Field Halcon 1 Exploration Well 22,733 8 2.3x 6.6 Years GeoPark Producing Oil Fields Gross BOPD Producing Product
Slide 7: Llanos Basin Champion
RIGHT NEIGHBORHOODS LLANOS BASIN CHAMPION 2024 CAMPAIGN HIGH GROWTH POTENTIAL IN WELL-KNOWN BASIN LLANOS BASIN 3-4 Exploration Wells GeoPark Exploration Blocks LLANOS 32 TOTAL ACREAGE 24-33 Development and Appraisal Wells GeoPark Producing Blocks Consolidated Activity GeoPark Producing Oil Fields LL
Slide 8: Putumayo & Oriente - Underexplored Proven Basin
RIGHT NEIGHBORHOODS PUTUMAYO & ORIENTE - UNDEREXPLORED PROVEN BASIN KEY HIGHLIGHTS PUTUMAYO KEY HIGHLIGHTS ORIENTE PUT-36 VENEZUELA COLOMBIA MECAYA 1,658 2,838 PLATANILLO Gross BOPD Gross BOPD Putumayo & (4Q2023) Oriente Basin (4Q2023) PUT-9 ECUADOR BRAZIL PERU OTA PIPELINE PUT-8 92% 115% COATI COLO
Slide 9: New Growth Fairways
2023 EXPLORATION DRILLING CAMPAIGN SUCCESS OPENED NEW PLAYS NEW GROWTH FAIRWAYS • Initial drilling activities started in 2H2023 • No oil-water contact identified Three New High- • Combined traps (structural & stratigraphic) • Important catalysts for reserve replacement and production growth Potentia
Slide 10: Solid and Profitable
SOLID AND PROFITABLE 10
Slide 11: Low-Cost & Efficient Operator
SOLID AND PROFITABLE LOW-COST & EFFICIENT OPERATOR PRODUCTION GROWTH (BOEPD) ON THE GROUND OPERATIONAL EXPERIENCE 10% CAGR CONSOLIDATED (2013-2024E) 16% CAGR COLOMBIA (2013-2024E) 35,500-39,000* 120+ MM 300+ Net BOE Produced Gross Wells Drilled (2006-2023) (2013-2023) 9 Rigs 480+ / 2,400+ 2013 2014
Slide 12: Cost & Capital Efficiency Leads to Superior Results
SOLID AND PROFITABLE COST & CAPITAL EFFICIENCY LEADS TO SUPERIOR RESULTS CASH GENERATION 2-4x CAPEX IN EVERY OIL PRICE ENVIRONMENT Operating Netback ($MM) = Ajusted EBITDA + G&A/G&G 593 3.5x CAPEX ($MM) 2.5x 470-600 ~3x Operating Netback/CAPEX Ratio (x times) 503 3.5x 447 3.2x 398 2.7x 3.7x 352 2.1x
Slide 13: Differentiated Returns - Improving Returns on Capital Employed
SOLID AND PROFITABLE DIFFERENTIATED RETURNS - IMPROVING RETURNS ON CAPITAL EMPLOYED ROACE - LATAM JUNIOR E&P’s - LAST TWELVE MONTHS 2 0 1 9 V S 2 0 2 3 50.4% R O A C E 50.4% 37.1% 39.0% 35.7% 31.0% 20 19 20 23 21.1% 18.7% 13.6% 11.7% GeoPar k Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Peer 7 Source:
Slide 14: 2024 Work Program - Disciplined Capital Allocation
SOLID AND PROFITABLE 2024 WORK PROGRAM - DISCIPLINED CAPITAL ALLOCATION 2024 WORK PROGRAM HIGHLIGHTS 2024 CAPEX BREAKDOWN ($80-90/BBL BRENT) $50-60 MM $150-200 MM 35,500-39,000* 35-45 BOEPD Production Gross Wells $100-140 MM (Assuming no production from the 2024 exploration drilling program) ~70-80%
Slide 15: 2024 Free Cash Flow & Returns
SOLID AND PROFITABLE 2024 FREE CASH FLOW & RETURNS STRONG FREE CASH FLOW* GENERATION 2024E Free Cash Flow** ($MM) at $80-90 per BBL (Brent) 420-550 (100-140) (50-60) (145-160)*** (27-30) 90-160 Adjusted EBITDA Development & Appraisal Capex Exploration Capex Cash Taxes Mandatory Debt Service Payments
Slide 16: Strong Balance Sheet with Safety Nets in Place
SOLID AND PROFITABLE STRONG BALANCE SHEET WITH SAFETY NETS IN PLACE ASSETS AND SAFETY NETS LIABILITIES WELL-STRUCTURED, LOW-COST & LONG-MATURING DEBT PROFILE $133 MM Hedges in Place Securing Cash & Cash Equivalents Base Oil Price (December 31, 2023) $275 MM debt $1.8 BN* Proven Team and Track reduct
Slide 17: Hedging Program Secures Base Oil Price
SOLID AND PROFITABLE HEDGING PROGRAM SECURES BASE OIL PRICE APPROACH 12-15 30-50% MONTHS 28% AVERAGE HEDGING RATIO (2024) % PRODUCTION % Tenor Hedge Target On track with target HEDGE BOOK OVERVIEW 120 $112.6 $110.6 Hedged Production CEILING $94.7 $97.0 $99.3 (BBL/D) 100 CEILING CEILING $91.8 $92.0 C
Slide 18: Returning Value to Shareholders
SOLID AND PROFITABLE RETURNING VALUE TO SHAREHOLDERS 10 YEARS OUTPERFORMING BRENT RETURNED MORE THAN 45% OF MARKET CAP SINCE 2019 21 0% $69 MM $7.5 MM 6.15% Quarterly Cash Total Distributed $30 MM Dividend 11 0% Dividend 2019 - 2023 Annually Yield* +30% 10 % $156 MM $31.2 MM Up to $50 MM 20% of Shar
Slide 19: SPEED (ESG+) Since Day One
- Cte ‘ : : ml \ GEOPARK ——. SPEED (ESG+) SINCE DAY
Slide 20: Environment & Social - Employer and Neighbor of Choice
SPEED SINCE DAY ONE ENVIRONMENT & SOCIAL - EMPLOYER AND NEIGHBOR OF CHOICE GHG EMISSIONS INTENSITY REDUCTION TARGETS WELLBEING & BIODIVERSITY QUALITY OF LIFE Contribute SCOPES 1 & 2 (GEOPARK OPERATED) BASELINE: 2020 Contribute to meeting to stopping deforestation basic needs Short Term Medium Term L
Slide 21: Governance - Diverse and Experienced Board
SPEED SINCE DAY ONE GOVERNANCE – DIVERSE AND EXPERIENCED BOARD INDEPENDENT BOARD MEMBERS EXECUTIVE BOARD MEMBERS Audit Audit Compensation SPEED Nomination & Nomination & Corporate Corporate Technical Technical Governance Governance SPEED Compensation Strategy & Risk Strategy & Risk SPEED SYLVIA ESCO
Slide 22: GeoPark Named 'ESG Leader'
SPEED SINCE DAY ONE MSCI:RATINGS EVOLUTION ESG RATING DISTRIBUTION GEOPARK NAMED ‘ESG LEADER’ 39% ESG Leader 26% CARBON DISCLOSURE PROJECT: 17% 13% Beginning the Journey 4% 0% 0% CCC B BB BBB A AA AAA Climate Change 2022: Score C Climate Change 2023: Score B Universe: MSCI ACWI Index constituents, O
Slide 23: We Make Assets Better
WE MAKE ASSETS BETTER 23
Slide 24: Creating Value Through Acquisitions
WE MAKE ASSETS BETTER CREATING VALUE THROUGH ACQUISITIONS LLA34:GROSS OIL PRODUCTION PROFILE SINCEACQUISITION CPO-5:GROSS PRODUCTION PROFILE SINCEACQUISITION FROM ZERO PRODUCTION TO 70,000 BOPD IN 10 YEARS SIGNIFICANT EXPLORATION INVENTORY & POTENTIAL UPSIDE TO CONTINUE GROWING PRODUCTION & RESERVES
Slide 25: Multiple Opportunities Across Latin America
WE MAKE ASSETS BETTER MULTIPLE OPPORTUNITIES ACROSS LATIN AMERICA GEOPARK APPROACH STRONG TRACK RECORD OF CREATING VALUE THROUGH ACQUISITIONS COLOMBIA • Geology first: best basins, best rocks, best play ECUADOR types selected by G&G Team BRAZIL • Achieve scale with value: production and reserves wit
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