GeoPark Activates Venezuela Contract as Gilinski Moves Toward Control

GeoPark activated its 25-year production contract for Venezuela’s Bare Block and completed a related share acquisition expected to give Grupo Gilinski majority control once the shares are issued.

The plan approval, agreements with PDVSA Petróleo S.A. (PPSA) and other required authorizations were secured within the contract’s 120-day milestone window. GeoPark will operate Bare with a 65% net participating interest and fund 100% of capital expenditures under approved work programs.

The acquisition covers the remaining 95% interest in the contract-holding company, purchased from Panamerican Energy Holdings S.A., a Grupo Gilinski entity. GeoPark instructed its transfer agent to issue 42,135,872 common shares to Panamerican for the stake. The acquisition involved no cash payment. That issuance would put Grupo Gilinski at about 56.3% of GeoPark’s outstanding common shares, making it the company’s controlling shareholder.

GeoPark has assessed about 300 to 400 wells for possible reactivation. Operational control of Bare has not yet transferred; GeoPark expects to complete the handover before the end of 2026. It expects to begin financial consolidation of the block after gaining operational control.

“Our focus now fully shifts to operational execution, starting with a safe and disciplined takeover,” GeoPark CEO Felipe Bayon said.

The transaction terms require Grupo Gilinski to start a tender offer no later than 90 days after closing. The offer is set at $12.22 per share, for up to $100 million in total. It has not commenced; its terms and timetable are expected when it launches.

Grupo Gilinski could receive as many as 5,421,589 additional shares if specified milestones are met by Dec. 1, 2026. That would raise its expected stake to about 58.4%.