Latin American oil and gas group GeoPark Ltd (NYSE:GPRK) has struck a definitive agreement to buy Frontera Energy’s Colombian upstream assets in an all-cash transaction. Under the terms, GeoPark will acquire 100% of Frontera Petroleum International Holdings—the vehicle that owns Frontera’s oil and gas interests in Colombia—for $375 million upfront, with a further $25 million payable upon the achievement of specified development milestones.
The deal carves out Frontera’s infrastructure holdings as well as its exploration acreage in Guyana, focusing solely on the Colombian exploration and production portfolio. Set to take effect from January 1, 2026, the acquisition is expected to roughly double GeoPark’s production and reserves, strengthening its position as a leading independent upstream operator across Colombia and Argentina. GeoPark said the transaction would make it the largest privately held oil producer in Colombia.
As part of the agreement, GeoPark will also assume around $310 million of Frontera’s unsecured liabilities along with approximately $79 million in outstanding prepayment facilities, implying an enterprise value for the assets of about $600 million. Completion remains subject to customary regulatory approvals and closing conditions, with funding to be provided through existing cash resources and committed financing, without any equity issuance.