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🇵🇾 Paraguay /Energy & Infrastructure

Colombia’s GeoPark and Venezuela sign 25-year contract to operate oil block

From ABC Color · () Spanish

Translated from Spanish and summarized by DistantNews. Read the original for the full story.

At a glance

Newswire Official statement New plan
  • Colombian oil company GeoPark and Venezuela signed a 25-year contract to operate the Bare block in the Orinoco oil belt.
  • The block has about 1,100 wells and current gross production of 11,000 barrels per day, with potential capacity of up to 95,000 barrels per day.
  • The agreement follows new Venezuelan oil deals involving Chevron and Italy’s ENI as the government seeks to increase production.

GeoPark has secured a 25-year role in Venezuela’s Orinoco oil belt, entering the country through an agreement to operate the Bare block. The contract was signed in Caracas by the Colombian company and Venezuela’s state oil firm PDVSA.

Jaime Gilinski, chairman of the Gilinski Group, GeoPark’s majority shareholder, described the agreement as more than a question of ownership or percentages. He said the company was betting that private investment and the national interest could work together through transparent cooperation with PDVSA.

Acting President Delcy Rodríguez attended the signing and welcomed GeoPark’s arrival. She said she was pleased that a Colombian company would join the plan to revive Venezuela’s oil industry and increase production. PDVSA Executive Vice President Jovanny Martínez also signed the document, in the presence of Oil Minister Paula Henao and state oil company president Héctor Obregón.

This 25-year agreement represents much more than a figure in a participation percentage. It represents our belief that, by working hand in hand with PDVSA, with transparency and confidence in the future, the Bare field can become an example of how responsible private investment and the national interest can move forward together.

· Jaime GilinskiHe described GeoPark’s approach to operating the Bare block at the signing ceremony.

The Bare block contains about 1,100 wells. It currently produces 11,000 barrels of oil per day and could reach as much as 95,000 barrels per day, according to the government’s announcement.

The deal follows Chevron’s announcement that it plans to invest up to $7 billion in Venezuela over the next five years and aims to double its production there. Venezuela also signed a 25-year contract with Italy’s ENI to operate the Junín block. The GeoPark transaction makes the Gilinski Group, which owns 20% of the company’s shares, its controlling shareholder.

I am excited that a Colombian company is also joining that plan to revive our oil industry and increase production.

· Delcy RodríguezVenezuela’s acting president welcomed GeoPark’s entry into the Orinoco oil belt.
About this summary

Originally published by ABC Color in Spanish. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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