Geopark Ltd · NYSE:GPRK
Geopark — Investor Presentation (October 2014)
24 slides from Geopark's investor presentation, October 2014
Slide 1: Delivering on Plan and Driving Growth
Delivering on Plan and Driving Growth October 2014
Slide 2: Legal Disclaimer
Legal Disclaimer The material that follows comprises information about GeoPark Limited (“GeoPark”) and its subsidiaries, In light of our Rio das Contas acquisition, we have included unaudited Pro forma condensed combined as of the date of the presentation. It has been prepared solely for information
Slide 3: Latin American Asset Base Performance and Opportunity
Latin American Asset Base Performance and Opportunity 25,000 PRODUCTION GROWTH TRACK-RECORD 9,814 CAGR ‘06– ‘13: 58% BOE/D COLOMBIA 20,425 20,000 LARGE RISK-BALANCED PROJECT INVENTORY 3,619 Production Assets: 20,425 boe/d (1H14) PERU BOE/D Development Assets: 3P Reserves of 180-200 MMboe Exploration
Slide 4: Proven Plan, Team and Approach
Proven Plan, Team and Approach BUSINESS MODEL & ORGANIZATIONAL INTEGRATED VALUE SYSTEM: CAPABILITIES STRUCTURE & EFFICIENCIES S.P.E.E.D. EXPLORER SAFETY OPERATOR PROSPERITY ENVIRONMENT CONSOLIDATOR EMPLOYEES RISK MANAGEMENT VALUE-ADDING SYNERGIES CULTURE CAPITAL ALLOCATION COMMUNITY DEVELOPMENT 4
Slide 5: Colombia Leading E&P Story in Colombia Today
Colombia Leading E&P Story in Colombia Today • Acquired three companies in 2012 – and in 2 years, drilled 57 wells, discovered 11 new oil fields (6 operated) and increased production by 4+ times • Quickly built value by introducing new paradigms - both CARIBBEAN SEA above and below the ground - with
Slide 6: Colombia Discoveries from Introducing New Geological Play-Type
Colombia Discoveries from Introducing New Geological Play-Type 3D Seismic Area (249 km2) – 2012/13 Oil Fields LLANOS 34 BLOCK Exploration Prospects (GEOPARK Chenchena Chiricoca Tilo Prospect 3D Seismic Program Prospect OPERATED) Prospect Max Discovered 2012 Discovered fields: 5 • Max • Tua Tigana •
Slide 7: Chile Low Risk Development and Exploration in Proven Area
Chile Low Risk Development and Exploration in Proven Area • First private oil and gas producer in Chile • Large fully-operated land base across the ARGENTINA Magallanes basin, with existing reserves, production and cash flow • New expanded acreage in TdF to replicate proven exploration model in Fell
Slide 8: Chile Large Inventory of New Opportunities
Chile Large Inventory of New Opportunities Cerro Iturbe Aonikenk discovered 2010 discovered 2008 FELL BLOCK TIERRA Alakaluf DEL FUEGO BLOCKS Ache discovered 2008 discovered 2014 1 Pantano Oeste discovered 2014 Molino discovered 2013 Konawentru REPLICATING FELL discovered 2013 BLOCK SUCCESS IN Guanac
Slide 9: Brazil Positioned to Grow and Capture Opportunities
Brazil Positioned to Grow and Capture Opportunities • Largest producing gas field in Brazil: fully-developed, VENEZUELA cash flow producing, low-risk asset • Partnership with Petrobras COLOMBIA • 9 exploration blocks in proven basins • Tecpetrol partnership to acquire new projects POTIGUAR 10 Blocks
Slide 10: Brazil Secure Cash Flow and Exploration Opportunities
Brazil Secure Cash Flow and Exploration Opportunities PRODUCTION ASSET EXPLORATION BLOCKS San Francisco Reconcavo Seismic Gas Plant Gas Pipeline Brazil’s Largest Producing Gas Field Potiguar Seismic MANATI FIELD RECONCAVO, POTIGUAR & SERGIPE-ALAGOAS CAMAMU-ALMADA (Onshore Rift Basins) (Offshore Rift
Slide 11: Peru New Country Entry / Transformational Acquisition
Peru New Country Entry / Transformational Acquisition COLOMBIA • Large acreage position in one of most prolific basins in Latin America (produced over 1 billion bbls) • Discovered oil field with opportunity to bring near term cash flow ECUADOR • Similar play-type exploration prospects mapped under 3
Slide 12: Peru Discovered Oil and Big Upside
Peru Discovered Oil and Big Upside SITUCHE CENTRAL FIELD MORONA BLOCK P1 2P 3P Discovery Wells Situche Central 2X and 3X (Short term tests of 2,400 bopd Oil Field and 5,200 bopd of 34-37° API oil) Exploration Prospects Exploration Leads 3D Seismic Program SC 3X SC 2X MARAÑON BASIN TERTARY CRETACEOUS
Slide 13: Large Diversified Inventory of Reserves and Resources
Large Diversified Inventory of Reserves and Resources DRIVERS OF ORGANIC GROWTH 10 BLOCKS 10 BLOCKS 0.8 MM ACRES COLOMBIA 0.1 MM ACRES • 30 blocks in 12 basins in 5 countries / 5.5 MM acres • 3P reserve development opportunities: 180-200 MMboe • Exploration resource opportunities: 500 to 1.0 billion
Slide 14: Drilling and Investing to Grow: 50-60 Wells / $220-250 MM in 2014
Drilling and Investing to Grow: 50-60 Wells / $220-250 MM in 2014 HISTORY OF EXECUTION AND DELIVERY CAPEX AND ACQUISITIONS ($MM) 2014 CAPEX 361 $70-80 MM 303 140 COLOMBIA 111 221 82 82 106 128 PERU 95 BRAZIL 56 56 39 63 139 139 8 32 86 72 2014 CAPEX 31 24 42 $10-15 MM 2009 2010 2011 2012 2013 2013 1
Slide 15: Operational Track-Record Leads to Financial Track-Record
Operational Track-Record Leads to Financial Track-Record INCREASING SALES INCREASING CASH GENERATION REVENUES ($MM): 62+% / YEAR ADJUSTED EBITDA ($MM): 60+% / YEAR (CAGR ’10 – ’13) (CAGR ‘10– ’13) 198 387 338 167 250 121 125 216 63 112 80 41 2010 2011 2012 2013 2013 1H14 2010 2011 2012 2013 2013 1H1
Slide 16: Innovative Funding Strategy and Well-Funded Balance Sheet
Innovative Funding Strategy and Well-Funded Balance Sheet OVER $1 BILLION RAISED FROM DIVERSIFIED SOURCES NYSE LISTING 2014: WIDER INVESTOR BASE AND LIQUIDITY International Bond Market * Commercial Bank Lending Multilateral Banking Institutions *Strong long term alignment of management with sharehol
Slide 17: Selecting and Investing in Best Shareholder Value-Adding Projects
Selecting and Investing in Best Shareholder Value-Adding Projects CAPITAL ALLOCATION TRACK-RECORD AND DISCIPLINE VALUE PER SHARE AND BOTTOM-LINE PERFORMANCE FOCUS Economic Metrics: • Efficient use of capital: IRR EXECUTION • Critical mass: NPV • Explore • Return on equity: ROCE • Operate • Value add
Slide 18: Outlook: Secure Consistent Growth with Big Upside Opportunity
Outlook: Secure Consistent Growth with Big Upside Opportunity BUSINESS MODEL COMPETITIVE ADVANTAGE • Larger-scale risk-balanced portfolio approach • Multiple attractive projects in multiple hydrocarbon / geographical regions • Local talented decentralized management – unified by operational and fina
Slide 19: Finding, Closing and Building Value on New Projects
Finding, Closing and Building Value on New Projects Successful Acquisitions and Execution • Rapid execution and investment on acquired assets • Track-record converting assets and building value Active Long-term Pipeline of Projects • Technical approach to identify opportunities in most prolific basi
Slide 20: Uniquely-Positioned Oil and Gas Investment Vehicle
Uniquely-Positioned Oil and Gas Investment Vehicle • Oil-Finding and Operating Know-How • Solid Asset Base with Cash Flow and Upside • Operational and Financial Track Record • Access to Capital • New Project Inventory & Alliances • Capital Allocation and Project Efficiencies PORTFOLIO PROVIDES SECUR
Slide 21: Company Directory
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Slide 22: Das
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Slide 23: Contacts
Contacts Andrés Ocampo Chief Financial Officer Pablo Ducci Capital Markets Sofía Chellew Investor Relations Santiago, Chile Nuestra Señora de los Ángeles 179, Las Condes, Santiago, Chile Phone: +(56 2) 2242 9600 Email: [email protected] www.geo-park.com
Slide 24: Kia
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