GeoPark-signs-offtake-agreement-with-Vitol-in-Colombia

GeoPark signs offtake deal with Vitol in Colombia

BOGOTA, May 10, 2024 – Colombia-based GeoPark has signed an offtake and prepayment agreement with Dutch commodities trading firm Vitol for a minimum of 20,000 bopd, GeoPark announced on Thursday.

Oil will be sourced from the Llanos 34 Block in Colombia. As part of the agreement, GeoPark will obtain immediate access to committed funding from Vitol for up to USD 300 million, with an option to increase by another USD 200 million, in prepaid future oil sales throughout the offtake contract.

The agreement will start on July 1, 2024, and will last a minimum of 20 months which can be extended to a total of up to 36 months. Funds committed by Vitol will be made available until June 30, 2025, subject to certain conditions.

The Llanos 34 Block is GeoPark’s key asset in Colombia. It is located in the prolific Llanos Basin, in the country’s northeast, and consists of heavy oilfields. GeoPark holds a 45% working interest and is the operator of the block.

Photo courtesy of GeoPark

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