LIMA, Oct 1 (Reuters) - Peru’s state-run energy company Petroperu announced it will partner with GeoPark Limited on the development of an oil block that holds some 55 million barrels of proven and probable light crude reserves.
GeoPark will operate the project, in Peru’s Amazonian region of Loreto, and make initial investments leading up to production, Petroperu said in a statement late on Wednesday.
The oil block, called Morona or Block 64, also contains estimated oil reserves of 200 million barrels, Petroperu said.
Petroperu has not produced oil in some 20 years and did not offer details on each firm’s stake in the project or its cost.
The state-run company is now only involved in the refining, transportation, storage and commercialization of oil products.
GeoPark, which started listing on the New York Stock Exchange earlier this year, already operates in Argentina, Brasil, Chile, and Colombia.
Its net profit rose 80 percent to $131 million in the second quarter from the same period a year ago, according to a company statement.
Late last year President Ollanta Humala announced plans to sell up to 49 percent of Petroperu on the Lima bourse to raise capital.
He hopes to transform Petroperu into a bigger energy player, part of his delayed goals of boosting domestic production.
Reporting By Mitra Taj; Editing by Michael Perry