Oil and gas exploration company GeoPark has completed the acquisition of UK-based Amerisur Resources.

The acquisition, which was announced in November last year, has been completed for a cost of $314m.

GeoPark said that Amerisur is a cashflow positive, growing business with low operating costs and a strong balance sheet with zero debt. As of 30 September 2019, the company’s cash position was $36m.

The Amerisur acquisition includes 13 production, development and exploration blocks in Colombia, comprising 12 operated blocks in the Putumayo basin and the CPO-5 non-operated block in the Llanos basin, and the Oleoducto Binacional Amerisur (OBA), an export oil pipeline from Colombia to Ecuador.

Amerisur acquisition also brings valuable partnerships with Oxy and ONGC

The transaction also includes valuable partnerships with Oxy and ONGC, which is the national oil company of India and operator of the CPO-5 block.

James F. Park, Chief Executive Officer of GeoPark, commented: “Through this transaction, GeoPark continues delivering on our 17-year vision of creating from scratch, patiently and responsibly, the leading oil and gas independent across Latin America.

“The acquisition of Amerisur brings a wagon full of short, medium and long-term benefits – including light oil production, proven reserves, low breakeven cash flow, low-risk development opportunities, significant exploration resources, new strategic acreage, carried exploration drilling, a cross border pipeline, new industry partnerships and attractive operating and commercial synergies.”

According to GeoPark, Amerisur has a net light oil production of 6,865 bopd as of September last year, net proven reserves of 15 million barrels, net proven and probable reserves of 21.8 million barrels along with net unrisked exploration resources of 289 million to 566 million barrels.

In December last year, GeoPark signed an agreement with Parex Resources to acquire a 50% working interest in the Llanos 94 block in Colombia.

The Llanos 94 block, which is operated by Parex, is located on trend with GeoPark’s Llanos 34 block.