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Segment information
 12 Months Ended
Dec. 31, 2018
Disclosure Of Segment information [Abstract]  
Disclosure of entity's operating segments [text block]
Note
6
Segment information
 
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker. The chief operating decision-maker, who is responsible for allocating resources and assessing performance of the operating segments, has been identified as the Executive Committee. This committee is integrated by the CEO, COO, CFO and managers in charge of the Geoscience, Operations, Corporate Governance, Finance and People departments. This committee reviews the Group’s internal reporting in order to assess performance and to allocate resources. Management has determined the operating segments based on these reports. The committee considers the business from a geographic perspective.
 
The Executive Committee assesses the performance of the operating segments based on a measure of Adjusted EBITDA. Adjusted EBITDA is defined as profit for the period before net finance cost, income tax, depreciation, amortization, certain non-cash items such as impairments and write-offs of unsuccessful efforts, accrual of share-based payment, unrealized result on commodity risk management contracts and other non-recurring events. Operating Netback is equivalent to Adjusted EBITDA before cash expenses included in Administrative, Geological and Geophysical and Other operating expenses. Other information provided, except as noted below, to the Executive Committee is measured in a manner consistent with that in the financial statements.
 
Segment areas (geographical segments):
 
Amounts in US$ '000
 
Colombia
 
 
Chile
 
 
Brazil
 
 
Argentina
 
 
Peru
 
 
Corporate
 
 
Total
 
2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue
 
 
497,870
 
 
 
37,359
 
 
 
30,053
 
 
 
35,879
 
 
 
-
 
 
 
-
 
 
 
601,161
 
Sale of crude oil
 
 
496,341
 
 
 
17,402
 
 
 
1,198
 
 
 
30,549
 
 
 
-
 
 
 
-
 
 
 
545,490
 
Sale of gas
 
 
1,529
 
 
 
19,957
 
 
 
28,855
 
 
 
5,330
 
 
 
-
 
 
 
-
 
 
 
55,671
 
Realized loss on commodity risk management contracts
 
 
(26,098
)
 
 
-
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
(26,098
)
Production and operating costs
 
 
(118,533
)
 
 
(21,899
)
 
 
(8,785
)
 
 
(25,043
)
 
 
-
 
 
 
-
 
 
 
(174,260
)
Royalties
 
 
(62,710
)
 
 
(1,473
)
 
 
(2,820
)
 
 
(4,833
)
 
 
-
 
 
 
-
 
 
 
(71,836
)
Transportation costs
 
 
(1,258
)
 
 
(1,250
)
 
 
-
 
 
 
(120
)
 
 
-
 
 
 
-
 
 
 
(2,628
)
Share-based payment
 
 
(461
)
 
 
(226
)
 
 
(37
)
 
 
(154
)
 
 
-
 
 
 
-
 
 
 
(878
)
Other operating costs
 
 
(54,104
)
 
 
(18,950
)
 
 
(5,928
)
 
 
(19,936
)
 
 
-
 
 
 
-
 
 
 
(98,918
)
Operating profit (loss)
 
 
309,357
 
 
 
(29,139
)
 
 
4,370
 
 
 
(6,739
)
 
 
(4,529
)
 
 
(16,828
)
 
 
256,492
 
Operating netback
 
 
352,672
 
 
 
15,153
 
 
 
21,306
 
 
 
8,527
 
 
 
-
 
 
 
-
 
 
 
397,658
 
Adjusted EBITDA
 
 
319,447
 
 
 
8,784
 
 
 
17,908
 
 
 
4,576
 
 
 
(7,077
)
 
 
(13,082
)
 
 
330,556
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation
 
 
(42,721
)
 
 
(28,203
)
 
 
(10,395
)
 
 
(10,640
)
 
 
(245
)
 
 
(36
)
 
 
(92,240
)
Reversal (recognition) of impairment losses
 
 
11,531
 
 
 
(6,549
)
 
 
-
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
4,982
 
Write-off
 
 
(17,665
)
 
 
(6,121
)
 
 
(2,020
)
 
 
(583
)
 
 
-
 
 
 
-
 
 
 
(26,389
)
Total assets
 
 
383,450
 
 
 
276,449
 
 
 
70,424
 
 
 
87,259
 
 
 
35,817
 
 
 
9,261
 
 
 
862,660
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Employees (average)
 
 
182
 
 
 
101
 
 
 
12
 
 
 
121
 
 
 
27
 
 
 
2
 
 
 
445
 
Employees at year end
 
 
178
 
 
 
100
 
 
 
12
 
 
 
137
 
 
 
28
 
 
 
2
 
 
 
457
 
 
Amounts in US$ '000
 
Colombia
  
Chile
  
Brazil
  
Argentina
  
Peru
  
Corporate
  
Total
 
2017
                            
Revenue  263,076   32,738   34,238   70   -   -   330,122 
Sale of crude oil  262,309   15,873   910   70   -   -   279,162 
Sale of gas  767   16,865   33,328   -   -   -   50,960 
Realized loss on commodity risk management contracts  (2,148)  -   -   -   -   -   (2,148)
Production and operating costs  (66,913)  (20,999)  (10,737)  (338)  -   -   (98,987)
Royalties  (24,236)  (1,314)  (3,134)  (13)  -   -   (28,697)
Transportation costs  (1,678)  (1,211)  -   (80)  -   -   (2,969)
Share-based payment  (248)  (170)  (39)  -   -   -   (457)
Other operating costs  (40,751)  (18,304)  (7,564)  (245)  -   -   (66,864)
Operating profit (loss)  116,290   (19,675)  4,434   (3,430)  (3,850)  (14,773)  78,996 
Operating netback  194,013   11,222   23,540   (467)  -   -   228,308 
Adjusted EBITDA  168,303   4,070   20,166   (2,183)  (3,505)  (11,075)  175,776 
                             
Depreciation  (40,010)  (23,730)  (10,809)  (159)  (139)  (38)  (74,885)
Write-off  (1,625)  (546)  (2,978)  (685)  -   -   (5,834)
Total assets  288,429   301,931   91,604   30,924   22,099   51,176   786,163 
                             
Employees (average)  164   102   12   88   13   -   379 
Employees at year end  180   102   12   92   19   -   405 
 
 
Amounts in US$ '000
 
Colombia
 
 
Chile
 
 
Brazil
 
 
Argentina
 
 
Peru
 
 
Corporate
 
 
Total
 
2016
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue
 
 
126,228
 
 
 
36,723
 
 
 
29,719
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
192,670
 
Sale of crude oil
 
 
125,731
 
 
 
18,774
 
 
 
688
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
145,193
 
Sale of gas
 
 
497
 
 
 
17,949
 
 
 
29,031
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
47,477
 
Realized gain on commodity risk management contracts
 
 
514
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
514
 
Production and operating costs
 
 
(36,607
)
 
 
(22,169
)
 
 
(8,459
)
 
 
-
 
 
 
-
 
 
 
-
 
 
 
(67,235
)
Royalties
 
 
(7,281
)
 
 
(1,495
)
 
 
(2,721
)
 
 
-
 
 
 
-
 
 
 
-
 
 
 
(11,497
)
Transportation costs
 
 
(1,111
)
 
 
(1,170
)
 
 
-
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
(2,281
)
Share-based payment
 
 
(413
)
 
 
(138
)
 
 
(71
)
 
 
-
 
 
 
-
 
 
 
-
 
 
 
(622
)
Other operating costs
 
 
(27,802
)
 
 
(19,366
)
 
 
(5,667
)
 
 
-
 
 
 
-
 
 
 
-
 
 
 
(52,835
)
Operating profit (loss)
 
 
31,463
 
 
 
(44,969
)
 
 
(645
)
 
 
370
 
 
 
(3,147
)
 
 
(11,685
)
 
 
(28,613
)
Operating netback
 
 
87,523
 
 
 
13,696
 
 
 
21,356
 
 
 
(378
)
 
 
41
 
 
 
(91
)
 
 
122,147
 
Adjusted EBITDA
 
 
66,921
 
 
 
5,159
 
 
 
17,487
 
 
 
1,848
 
 
 
(2,607
)
 
 
(10,487
)
 
 
78,321
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation
 
 
(31,148
)
 
 
(31,355
)
 
 
(12,974
)
 
 
(150
)
 
 
(130
)
 
 
(17
)
 
 
(75,774
)
Reversal of impairment losses
 
 
5,664
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
5,664
 
Write-off
 
 
(7,394
)
 
 
(19,389
)
 
 
(4,583
)
 
 
-
 
 
 
-
 
 
 
-
 
 
 
(31,366
)
Total assets
 
 
182,784
 
 
 
317,969
 
 
 
99,904
 
 
 
6,071
 
 
 
5,020
 
 
 
28,792
 
 
 
640,540
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Employees (average)
 
 
138
 
 
 
102
 
 
 
10
 
 
 
80
 
 
 
11
 
 
 
-
 
 
 
341
 
Employees at year end
 
 
146
 
 
 
102
 
 
 
10
 
 
 
77
 
 
 
10
 
 
 
-
 
 
 
345
 
 
Approximately 78% of capital expenditure was incurred by Colombia (76% in 2017 and 67% in 2016), 6% was incurred by Chile (10% in 2017 and 20% in 2016), 2% was incurred by Brazil (3% in 2017 and 9% in 2016), 7% was incurred by Argentina (8% in 2017 and 4% in 2016) and 7% was incurred by Peru ( 3% in 2017 and nil in 2016).
 
A reconciliation of total Operating netback to total profit (loss) before income tax is provided as follows:
 
Amounts in US$ '000
 
2018
 
 
2017
 
 
2016
 
Operating netback
 
 
397,658
 
 
 
228,308
 
 
 
122,147
 
Administrative expenses
 
 
(48,028
)
 
 
(38,937
)
 
 
(32,323
)
Geological and geophysical expenses
 
 
(19,074
)
 
 
(13,595
)
 
 
(11,503
)
Adjusted EBITDA for reportable segments
 
 
330,556
 
 
 
175,776
 
 
 
78,321
 
Unrealized gain (loss) on commodity risk management contracts
 
 
42,271
 
 
 
(13,300
)
 
 
(3,068
)
Depreciation
(a)
 
 
(92,240
)
 
 
(74,885
)
 
 
(75,774
)
Share-based payment
 
 
(5,446
)
 
 
(4,075
)
 
 
(3,367
)
Impairment and write-off of unsuccessful exploration efforts
 
 
(21,407
)
 
 
(5,834
)
 
 
(25,702
)
Others
(b)
 
 
2,758
 
 
 
1,314
 
 
 
977
 
Operating profit (loss)
 
 
256,492
 
 
 
78,996
 
 
 
(28,613
)
Financial expenses
 
 
(39,321
)
 
 
(53,511
)
 
 
(36,229
)
Financial income
 
 
3,059
 
 
 
2,016
 
 
 
2,128
 
Foreign exchange (loss) profit
 
 
(11,323
)
 
 
(2,193
)
 
 
13,872
 
Profit (Loss) before tax
 
 
208,907
 
 
 
25,308
 
 
 
(48,842
)
 
 
(a)
Net of capitalized costs for oil stock included in Inventories.
 
(b)
Includes allocation to capitalized projects.