The acquisition involves fixed payment of $81mn at closing, in addition to two other installments of $15mn each in June 2019 and June 2020

A leading independent Latin oil and gas company GeoPark Limited announced its plan to acquire LG International Corporation. GeoPark Limited  has operations in Colombia, Peru, Argentina, Brazil and Chile.

According to Business Wirethe acquisition will boost GeoPark’s equity interest to 100% in its Chilean and Colombian establishments. These establishments have “hydrocarbon blocks and associated oil and gas production and reserves, including the Llanos 34 block (GeoPark operated, 45% WI) in Colombia.”

James F. Park, chief executive officer of GeoPark, said: “LGI has been an exceptional strategic partner for GeoPark for over eight years and we are grateful for their support and guidance, which were instrumental in the early development of our regional portfolio of assets and our tremendous growth in recent years.

“We have made many good friends in the LG organisation and are confident that our partnership will continue to grow and lead to important new opportunities in the future. We are also pleased to be able to increase our ownership in our key operating companies, bringing more income to our bottom line.”

The transaction was expected to close by November 28, 2018.