Parex's October production at 49,300 boepd

Executive Summary

• Parex Resources and strategic partner Ecopetrol have effectively established a 50/50 strategic alliance across the Llanos Foothills basin, with Parex acting as the operator.
• The company has secured regulatory approvals and finalized agreements for key exploration prospects, specifically the Niscota block (Florena Huron well) and the Farallones block, with initial civil works and drilling plans scheduled for 2026.
• Operational performance remains strong, with November 2025 production sustaining approximately 50,300 boepd, positioning the company to meet the midpoint of its fiscal year 2025 annual guidance.

Key Details

• Strategic Alliance: Parex and Ecopetrol have laid the foundation for a 50/50 strategic partnership across the Foothills basin (stretching from Gibraltar in the north to Farallones in the south), with Parex serving as the operator.
• Niscota Block Agreement:
  • Ecopetrol received regulatory approval to extend the Piedemonte Convenio into a portion of the Niscota block.
  • Parex acquired a 50% participation share in future production of the extended area.
  • In exchange, Parex agreed to drill the Florena Huron exploration well on a 100% capital basis.
  • The well will be drilled to the north of the producing Florena field.
  • Parex plans to commence initial and civil works to spud the Florena Huron exploration well in its 2026 program.
• Farallones Block Update:
  • All regulatory approvals for the Farallones exploration prospect have been received.
  • Initial works are underway.
  • Parex agreed to drill the Farallones exploration well on a 100% capital basis.
  • Parex plans to commence civil works to spud the Farallones exploration well in its 2026 program.
• Production Metrics (Q4 2025):
  • October 2025 average production: 49,300 boepd.
  • November 2025 average production: 50,300 boepd.
  • Q4 2025 year-to-date average production: 49,700 boepd.
  • Production driven by strong new wells LLA-32 and LLA-74.
  • Year-to-date 2025 average production: 44,550 boepd.
  • Fiscal Year 2025 annual average production guidance: 45,000 boepd (range: 43,000 to 47,000 boepd); Parex expects to achieve the midpoint.
• 2026 Guidance: Parex plans to release its 2026 guidance after markets close on January 19, 2026.

Notable Quotes

• "Parex has long maintained a Colombia-focused gas strategy, and today's announcement underscores our commitment to expanding meaningful gas development in the country. With effectively all Foothills agreements and regulatory approvals complete, Parex and Ecopetrol have laid the foundation for a 50/50 strategic partnership across the Foothills basin... with Parex as operator." — Imad Mohsen, President and CEO
• "Through this partnership, we will leverage our shared Colombian expertise, apply modern technology and attract additional foreign investment for years to come, with the collective goal of finding resources and delivering new volumes of natural gas to the domestic market." — Imad Mohsen, President and CEO