- Gran Tierra Met Production Guidance with 2022 Total Company Average Production of Approximately 30,800 BOPD
- Fourth Quarter 2022 Total Company Average Production of Approximately 32,600 BOPD, an Increase of 10% from Fourth Quarter 2021
- Strong Exit with Total Company Average Production During
December 2022 of Approximately 33,800 BOPD - Moqueta Development Campaign Underway with Second Development Well Spud
- First Moqueta Development Well Yielding Encouraging Results
- Bought Back 23 Million Gran Tierra Shares of Common Stock During 2022
Message to Shareholders
Operations Update:
- Production
- During fourth quarter 2022, Gran Tierra’s total average production was approximately 32,600 BOPD.
December 2022 total Company average production was approximately 33,800 BOPD.- Gran Tierra’s total average production for the full year 2022 was approximately 30,800 BOPD which is within the Company’s prescribed guidance.
Colombia Development :- Moqueta Development Campaign:
- Testing began on the first Moqueta well which was spud on
November 28, 2022 . FromDecember 23, 2022 , toJanuary 9, 2022 , the Moqueta-24 well has been producing on a jet pump at a stable average rate of 1,312 BOPD (28-degree API gravity) and 193 bbl of water ("BWPD") with a gas-oil ratio of 170 standard cubic feet per stock tank bbl. - On
January 3, 2023 , the Company spud its second development well in the Moqueta field. This well is expected to reach its planned total depth bymid-January 2023 .
- Testing began on the first Moqueta well which was spud on
Acordionero Development :- Waterflood success at Acordionero resulted in
December 2022 total Company average production for this field of approximately 17,800 BOPD, the highest level since the second quarter of 2019. - Water injection at Acordionero reached a new record of over 60,000 BWPD in
December 2022 .
- Waterflood success at Acordionero resulted in
Suroriente Development :- As a result of the successful increase in water injection, expansion of facilities, and minimal disruptions, the Suroriente Block produced an average of 8,700 BOPD gross (4,500 BOPD WI) in the fourth quarter of 2022, the highest level since the second quarter of 2015 despite not drilling a well since the first quarter of 2018.
- As a result of the successful increase in water injection, expansion of facilities, and minimal disruptions, the Suroriente Block produced an average of 8,700 BOPD gross (4,500 BOPD WI) in the fourth quarter of 2022, the highest level since the second quarter of 2015 despite not drilling a well since the first quarter of 2018.
- Moqueta Development Campaign:
Shareholder Returns:
- Share Buybacks: Pursuant to Gran Tierra’s current normal course issuer bid, Gran Tierra purchased approximately 23 million shares during 2022, representing about 6.2% of shares outstanding as of
June 30, 2022 .
Debt Repayment:
- As part of Gran Tierra’s focus on significant debt reduction, the Company reduced its total debt by
$87.6 million in 2022 and by a further$122.5 million in 2021, for a reduction of total debt of$210.1 million over the past two fiscal years.
Corporate Presentation:
Gran Tierra’s Corporate Presentation is available on the Company website at www.grantierra.com.
Contact Information
For investor and media inquiries please contact:
President & Chief Executive Officer
Executive Vice President & Chief Financial Officer
Vice President, Investor Relations
+1-403-265-3221
info@grantierra.com
About
Gran Tierra’s
Forward Looking Statements and Legal Advisories:
This press release contains opinions, forecasts, projections, and other statements about future events or results that constitute forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and financial outlook and forward-looking information within the meaning of applicable Canadian securities laws (collectively, “forward-looking statements”). The use of the words “expect,” “plan,” “can,” “will,” “should,” “guidance,” “forecast,” “signal,” “progress,” and “believes,” derivations thereof and similar terms identify forward-looking statements. In particular, but without limiting the foregoing, this press release contains forward-looking statements regarding: the Company’s expected future production (including as a result of our testing results), the Company’s drilling program, the Company’s potential debt repayments and share repurchases. The forward-looking statements contained in this press release reflect several material factors and expectations and assumptions of Gran Tierra including, without limitation, that Gran Tierra will continue to conduct its operations in a manner consistent with its current expectations, pricing and cost estimates (including with respect to commodity pricing and exchange rates), and the general continuance of assumed operational, regulatory and industry conditions in
Among the important factors that could cause actual results to differ materially from those indicated by the forward-looking statements in this press release are: Gran Tierra’s operations are located in
The forward-looking statements contained in this press release are based on certain assumptions made by Gran Tierra based on management’s experience and other factors believed to be appropriate. Gran Tierra believes these assumptions to be reasonable at this time, but the forward-looking statements are subject to risk and uncertainties, many of which are beyond Gran Tierra’s control, which may cause actual results to differ materially from those implied or expressed by the forward-looking statements. In particular, the unprecedented nature of the current economic downturn, pandemic and industry decline may make it particularly difficult to identify risks or predict the degree to which identified risks will impact Gran Tierra’s business and financial condition. All forward-looking statements are made as of the date of this press release and the fact that this press release remains available does not constitute a representation by Gran Tierra that Gran Tierra believes these forward-looking statements continue to be true as of any subsequent date. Actual results may vary materially from the expected results expressed in forward-looking statements. Gran Tierra disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
Presentation of Oil and Gas Information
References to a formation where evidence of hydrocarbons has been encountered is not necessarily an indicator that hydrocarbons will be recoverable in commercial quantities or in any estimated volume. Gran Tierra’s reported production is a mix of light crude oil and medium and heavy crude oil for which there is not a precise breakdown since the Company’s oil sales volumes typically represent blends of more than one type of crude oil. Well test results should be considered as preliminary and not necessarily indicative of long-term performance or of ultimate recovery. Well log interpretations indicating oil and gas accumulations are not necessarily indicative of future production or ultimate recovery. If it is indicated that a pressure transient analysis or well-test interpretation has not been carried out, any data disclosed in that respect should be considered preliminary until such analysis has been completed. References to thickness of “oil pay” or of a formation where evidence of hydrocarbons has been encountered is not necessarily an indicator that hydrocarbons will be recoverable in commercial quantities or in any estimated volume.
Source:
2023 GlobeNewswire, Inc., source