Dividend Power Score
A single, comprehensive score designed to measure the true strength of a company’s dividend.
This score combines three essential pillars of dividend quality:
Consistency – Measures how reliable the dividend has been over time, focusing on payment history, stability, and the absence of cuts or suspensions.
Payability – Assesses the company’s financial ability to sustain its dividend, taking into account cash flow, earnings coverage, balance sheet strength, and overall financial health.
Growth – Evaluates the long-term growth of both the dividend and the company’s share price, highlighting businesses that consistently increase payouts while creating shareholder value.
Higher scores identify companies that have historically delivered dependable income alongside sustained dividend growth and long-term capital appreciation.
Company Overview
Parex Resources Inc. is an independent oil and natural gas exploration and production company focused primarily on Latin American energy markets, with a core concentration in Colombia. The company operates in the upstream energy industry, specializing in the acquisition, exploration, development, and production of conventional oil and natural gas reserves. Its revenues are primarily driven by crude oil production and sales, with a smaller contribution from natural gas.
Founded in 2009, Parex was established to pursue growth opportunities in underexplored and emerging hydrocarbon basins. Over time, the company evolved into one of the largest independent oil producers in Colombia by focusing on disciplined capital allocation, low-cost operations, and organic reserve replacement. Its strategic advantage has historically been its technical expertise in conventional reservoirs, strong balance sheet, and ability to operate without reliance on long-term debt.
Business Operations
Parex’s operations are organized around upstream exploration and production activities, with its core assets located in multiple Colombian basins, including the Llanos Foothills, Llanos Basin, Middle Magdalena, and Putumayo Basin. The company generates revenue through the sale of crude oil and natural gas, with production volumes tied to a combination of operated and non-operated blocks. These activities are conducted through wholly owned and jointly operated subsidiaries.
The company controls a portfolio of producing fields, development projects, and exploration acreage, supported by owned infrastructure and access to regional pipeline systems. Parex conducts operations through its principal subsidiary, Parex Resources Colombia Ltd., and works with national and regional partners where required by licensing agreements. The company does not operate refineries or downstream assets, maintaining a pure-play upstream business model.
Strategic Position & Investments
Parex’s strategic direction emphasizes sustainable free cash flow generation, reserve replacement through organic exploration, and maintaining financial flexibility. The company prioritizes low breakeven assets and has historically returned capital to shareholders through share buybacks and dividends while continuing to invest in core Colombian assets. Growth initiatives focus on near-field exploration, infrastructure optimization, and selective acreage additions.
Major investments have primarily taken the form of asset and acreage acquisitions within Colombia, including the acquisition of Verano Energy Corp., which expanded Parex’s production base and exploration inventory. The company has also invested in seismic data acquisition and drilling technologies to improve recovery factors. Parex’s portfolio remains concentrated in conventional oil, with limited exposure to unconventional or offshore developments.
Geographic Footprint
Parex Resources’ operational footprint is heavily concentrated in Colombia, which represents the vast majority of its production, reserves, and capital expenditures. The company’s headquarters are located in Calgary, Alberta, Canada, where corporate management, technical oversight, and capital markets functions are based.
Within South America, Parex maintains a broad presence across multiple Colombian regions, supported by field offices and logistics hubs near producing assets. The company does not currently operate producing assets outside Colombia, but its international influence extends through participation in global energy markets via crude oil exports and engagement with international service providers.
Leadership & Governance
Parex is led by an experienced management team with extensive backgrounds in international exploration and production. The leadership philosophy emphasizes operational discipline, technical rigor, and long-term value creation, supported by conservative financial management and a decentralized operational structure.
Key executives include:
- Imad Mohsen – President & Chief Executive Officer
- Leonard A. Cross – Chief Financial Officer
- Paul McWha – Executive Vice President, Exploration
- Javier Aguilar – Executive Vice President, Operations
- Liza McClelland – Vice President, Legal & General Counsel
The board of directors provides oversight with a focus on governance, risk management, and alignment with shareholder interests, consistent with Canadian public company standards.