Parex abandons Guapo-1 exploration well at VIM-1

Executive Summary

• Parex Resources reported a 11% increase in Q4 2025 average production, reaching 48,606 boe/d, driven by new wells at LLA-32 and LLA-74.
• The company abandoned the Guapo-1 exploration well at VIM-1 after determining hydrocarbon production was not commercial, with a net drilling cost of approximately $12 million.
• Operations continue in the Putumayo basin with two active rigs supporting the initial stages of the 2026 drilling program.

Key Details

• Q4 2025 Production: Average production was 48,606 barrels of oil equivalent per day (boe/d).
• Production Growth: This represents an 11% increase from Q3 2025.
• Production Drivers: Strong performance was supported by new wells at LLA-32 and LLA-74.
• Production Trends: November reflected elevated initial production rates, while December was more representative of stabilized production performance.
• Guapo-1 Well Status: The exploration well at VIM-1 (50% WI) was spudded in October 2025 and reached a target depth of approximately 15,000 feet.
• Guapo-1 Outcome: Logging operations determined that hydrocarbon production was not commercial; the well was subsequently abandoned.
• Guapo-1 Cost: The well was drilled at a net cost of roughly $12 million.
• 2026 Drilling Program: Operations are continuing in the Putumayo basin with two active rigs.
• Active Locations: Activities are ongoing at LLA-32 and Capachos alongside the Putumayo basin operations.