Gran Tierra has a large, diversified development and exploration portfolio in Colombia. The Company’s planned 2022 capital program is a balanced program between development and optimization of existing assets and potentially high-impact exploration. Gran Tierra expects to allocate approximately 70% of its 2022 capital program towards development activities in its core assets: $70 million for the Acordionero field (14-16 development wells) in the Middle Magdalena Valley Basin and $40 million and $30 million respectively to the Costayaco (4-5 development wells) and Moqueta (3 development wells) fields in the Putumayo Basin. The Moqueta work program is expected to commence in the second half of 2022 and is planned to continue into 2023. The remaining 30% of the capital program is expected to be allocated toward exploration-related activities throughout the Company’s portfolio, including up to 6-7 new exploration wells: 4 wells in Colombia and 2-3 wells in Ecuador. The exploration program is designed to focus on short-cycle time, near-field prospects in proven basins with access to infrastructure.

The Company’s Base Case 2022 capital budget of $220-240 million is expected to be fully funded from the Base Case 2022 cash flow forecast of $270-290 million, based on an assumed $70.00/bbl Brent oil price. Gran Tierra remains focused on generating strong free cash flow and accelerated debt repayment. The Company’s midpoint 2022 EBITDA3 guidance of $370 million is well above the midpoint of 2022 capital expenditures guidance of $230 million.

Gran Tierra has 100% working interest in and operatorship of the Company's major assets in Colombia and Ecuador. This full control gives the Company the flexibility to quickly optimize its development and exploration programs with changes, either up or down, in oil prices.

Gran Tierra expects its credit facility to be paid down to a balance of under $70 million by December 31, 2021 and, with 2022 expected free cash flow and recovery of taxes receivable, to be fully paid off in the first half of 2022.

KeyFacts Energy: Gran Tierra Colombia country profile   l   Ecuador country profile