Gran Tierra Energy(GTE)2025-02-24 12:10Production and Operations - Total production of oil, natural gas, and NGLs for the year ended December 31, 2024, was 10,207,636 boe, a decrease of 10% from 9,526,270 boe in 2023[76] - Colombia accounted for approximately 85% of total production, with the Acordionero field contributing 44% of the company's total production in 2024[81] - The company drilled 30 wells in 2024, with 10 productive development wells and 6 productive exploration wells in Colombia and Ecuador[78] - As of December 31, 2024, the company had 1,652 gross oil wells and 1,699 gross natural gas wells across its operations in Colombia, Canada, and Ecuador[79] - Developed acreage as of December 31, 2024, totaled 1,185,443 gross acres, with 330,025 acres in Colombia and 855,418 acres in Canada[80] Financial Performance - Average sales price of oil per boe for 2024 was 66.86 in 2023, reflecting a decrease of approximately 9%[76] - Operating expenses of oil per boe increased to 21.14 in 2023, representing a rise of about 2.3%[76] - The company reported that 97% of its revenues are tied to the U.S. dollar price of Brent crude oil, with foreign currency risks primarily related to the Colombian peso[307][308] - At December 31, 2024, Gran Tierra Energy's credit facility remained undrawn, compared to $36.4 million drawn at the end of 2023, indicating improved liquidity management[309] - A 10% change in interest rates would not materially affect the value of Gran Tierra Energy's investment portfolio, which is focused on preservation of principal and liquidity[310] Risk Management - The company employs financial hedging instruments to manage commodity price risks and stabilize future cash flows[87] - The oil and gas industry is highly competitive, with significant competition from local and multinational companies impacting the company's ability to acquire properties and secure resources[91] Regulatory and Contractual Framework - Gran Tierra Energy operates in Colombia, Ecuador, and Canada, with a focus on oil and gas properties under various contracts with local authorities[94][100][103] - In Colombia, the company operates under contracts with the ANH, allowing it to retain rights to produce all reserves and income from exploration blocks, with production periods lasting up to 24 years[97][99] - The company holds three Participation Contracts in Ecuador, which were extended by two years in Q2 2021, allowing for exploration periods typically lasting four years[101] Workforce and Employment - As of December 31, 2024, Gran Tierra Energy had 431 full-time employees, an increase from 351 in 2023, with the majority located in Colombia[106] - The company emphasizes equal opportunity employment and has programs to increase gender and diversity representation among its workforce[109] Environmental Management - The company has implemented a web-based reporting system for tracking environmental compliance incidents and corrective actions, reflecting its commitment to environmental management[105] - Gran Tierra Energy's environmental management system is ISO14001:2015 certified, demonstrating compliance with international best practices[105]