Core Viewpoint - Gran Tierra Energy Inc. (NYSE:GTE) experienced a significant share price increase of 21.1% from February 13 to February 20, 2026, driven by strategic agreements and expansion plans in Azerbaijan and Alberta [1][2]. Group 1: Strategic Agreements - Gran Tierra Energy signed an agreement with Azerbaijan's SOCAR to explore and develop oil and natural gas in the Guba-Khazaryani region, securing a 65% working interest over approximately 0.4 million gross acres, which is more than double its current acreage in Ecuador [2]. - The company plans to initiate an airborne gravity study in 2026, with seismic acquisition and drilling activities expected to start in 2027 [2]. Group 2: Management Commentary - The President and CEO of Gran Tierra Energy expressed excitement about entering Azerbaijan, highlighting the country as a compelling addition to the company's portfolio and emphasizing the stable and transparent framework for hydrocarbon development [3]. - The CEO noted Azerbaijan's established hydrocarbon province status and its critical role in European energy security, indicating the company's long-term commitment to participating in the energy value chain [3]. Group 3: Asset Transactions - On the same day as the Azerbaijan announcement, Gran Tierra Energy disclosed an agreement to sell its remaining working interest in the Simonette asset in Alberta for C$62.6 million, with the transaction expected to close in the first quarter of 2026 [2][3].

Core Viewpoint - Gran Tierra Energy has entered into an agreement with SOCAR to explore and develop oil and natural gas in Azerbaijan's Guba-Khazaryani region, pending legislative approval and other legal requirements [1][2]. Group 1: Agreement Details - The agreement grants Gran Tierra significant rights in an onshore petroleum area known for substantial oil and gas fields, surrounding a nearly 65km-long structure that has produced over 100 million barrels of oil and more than 200 billion cubic feet of natural gas [2]. - Gran Tierra will hold a 65% working interest and operate the contract area, which spans approximately 400,000 acres, more than twice the size of its holdings in Ecuador [3]. - The EDPSA includes a five-year exploration and appraisal phase, followed by 25 years for development if economically viable discoveries are made, with an option to extend development by another five years [3]. Group 2: Exploration Phase - The exploration phase is divided into two parts: an initial three-year period involving a gravity study, drilling two wells, and acquiring 250km² of 3D seismic data, followed by a subsequent two-year phase requiring the drilling of two additional wells and acquiring another 250km² of seismic data if pursued [4]. - Gran Tierra plans to start an airborne gravity study this year, with seismic surveys and drilling scheduled for 2027, financed through net cash from the company's operating activities [5]. Group 3: Strategic Importance - The president and CEO of Gran Tierra highlighted Azerbaijan's established hydrocarbon province status, major discoveries, and world-class infrastructure, emphasizing the region's historical significance in oil and gas production [6]. - The company views this opportunity as aligning with its strategy of pursuing risk-mitigated, capital-efficient growth in regions with demonstrated upside, noting Azerbaijan's critical role in European energy security [7].

Core Viewpoint - Gran Tierra Energy Inc. (NYSE:GTE) has experienced a significant increase in share price, driven by record production levels and positive financial guidance for the year 2025 [1][2]. Group 1: Company Performance - Gran Tierra Energy reported an average production of 48,235 barrels of oil equivalent per day (boepd) for December 2025, marking the highest monthly production in the company's history [3]. - The company estimates its total average production for Q4 2025 to be approximately 46,500 boepd and around 45,800 boepd for the full year [3]. - In Ecuador, Gran Tierra achieved a daily production rate of 10,000 barrels of oil per day (bopd) during the fourth quarter [4]. Group 2: Financial Guidance - Gran Tierra has guided for revenue between $590 million and $610 million, and adjusted EBITDA between $270 million and $290 million for the year ended December 31, 2025 [4]. Group 3: Exploration and Commitments - The company finalized all exploration commitments in Ecuador, highlighted by successful discoveries at Conejo in the Hollín and Basal Tena sands [4].

January 2026 DIVERSIFIED OIL & GAS PRODUCER FOCUSED ON LONG TERM VALUE CREATION www.grantierra.com GENERAL ADVISORY The information contained in this presentation does not purport to be all-inclusive or contain all information that readers may require. You are encouraged to conduct your own analysis and review of Gran Tierra Energy Inc. ("Gran Tierra", "GTE", or the "Company") and of the information contained in this presentation. Without limitation, you should read the entire record of publicly filed docum ...

Industry Overview - The Zacks Oil and Gas - Exploration and Production - Canadian industry is heavily influenced by oil and gas prices, which directly affect cash flow, spending plans, and investor confidence [1][2] - The industry faces challenges such as prolonged price weakness, infrastructure issues, and regulatory uncertainty, leading to production delays and inconsistent results [1][5] - Despite these challenges, improved market access, better pipeline utilization, and stricter capital discipline have helped stabilize margins and reduce pricing discounts [1][4] Current Market Conditions - The industry currently holds a Zacks Industry Rank of 232, placing it in the bottom 3% of 243 Zacks industries, indicating bearish near-term prospects [6][8] - Analysts have revised earnings estimates for the industry down by 22% for 2026 over the past year, reflecting a negative outlook for earnings growth potential [8] Performance Metrics - Over the past year, the industry has increased by 8.9%, outperforming the broader Zacks Oil - Energy Sector's 3.3% increase but lagging behind the S&P 500's 19.3% rise [10] Valuation - The industry is currently trading at a trailing 12-month EV/EBITDA ratio of 5.37, significantly lower than the S&P 500's 18.94 and slightly below the sector's 5.62 [14] Key Companies Canadian Natural Resources (CNQ) - Canadian Natural is one of the largest independent energy producers in Canada, with a diversified portfolio and a market capitalization of around $72 billion [17][19] - The company focuses on maximizing free cash flow and shareholder returns, maintaining financial flexibility across commodity cycles [18] InPlay Oil (IPOOF) - InPlay Oil is a Canadian light-oil producer with a market capitalization of around $272 million, producing about 18,500 barrels of oil equivalent per day [22][24] - The company emphasizes capital discipline and has a Zacks Consensus Estimate indicating 300% year-over-year growth in 2026 earnings per share [24] Gran Tierra Energy (GTE) - Gran Tierra Energy operates in Colombia, Ecuador, and Canada, controlling over 2.7 million gross acres and producing roughly 46,600 barrels of oil equivalent per day [27][28] - The company has a market capitalization of around $175 million and a Zacks Consensus Estimate indicating 28.1% growth in 2026 earnings [29]

Core Insights - Canadian Natural Resources Limited (CNQ) is one of Canada's largest independent energy producers with a diversified portfolio that includes crude oil, natural gas, and natural gas liquids, operating in Western Canada, the North Sea, and offshore West Africa [1][2] - The company has a long-life, low-decline asset base that generates reliable cash flows and maintains flexibility in capital allocation, ensuring resilience across cycles [1][10] - CNQ has demonstrated strong performance, with shares increasing by 18.5% over the past six months, outperforming both the Oil & Gas Drilling sub-industry and the broader energy sector [3][6] Financial Performance - Canadian Natural has maintained its dividend commitment for 25 consecutive years, achieving a compounded annual growth rate of 21% over this period, with a quarterly dividend of 58.75 Canadian cents, resulting in an annual yield of approximately 5.4% [5][7] - The company returned C$1.2 billion in dividends in the second quarter of 2025, significantly above the sector average of 3.8% [5][6] Strategic Acquisitions - CNQ has a strong track record of prudent acquisitions, including the $8.5 billion purchase of the Athabasca Oil Sands Project in 2017, which enhanced its asset base and cash flow generation [8][9] - Recent acquisitions, such as the Palliser Block and Montney assets, have added significant production capacity and reserves, positioning the company for sustainable free cash flow growth [9] Operational Efficiency - Canadian Natural's breakeven oil price is among the lowest in the sector, with West Texas Intermediate (WTI) breakeven levels in the low-to-mid $40 per barrel range, allowing the company to maintain cash flow even in weaker commodity price environments [10] - The company achieved an average production of about 1.42 million barrels of oil equivalent per day (BOE/d) in the second quarter of 2025, a 10.5% increase from the previous year, driven by organic developments and acquisitions [11][12] Market Position - CNQ's diversified portfolio and disciplined capital management position it as a best-in-class energy producer, with strong free cash flow and a proven ability to deliver value through various market cycles [13] - The stock's performance reflects investor confidence in its growth trajectory, making it an attractive option for those seeking reliable income and long-term growth [13]

Company Overview - Gran Tierra Energy is an independent international energy company focused on Canada, Colombia, and Ecuador[17] - Q2 2025 production was approximately 47 MBOEPD[19] - The company has repurchased almost 7.5 million shares, representing 20% of its outstanding shares since January 1, 2022[16] Reserves and Valuation - 1P reserves are estimated at 167 MMBOE with a 10-year Reserve Life Index (RLI)[20] - 2P reserves are estimated at 293 MMBOE with a 17-year RLI[20] - 1P After-Tax NPV10 is valued at US$1.4 billion, or US$19.51 per share[20] - 2P After-Tax NPV10 is valued at US$2.2 billion, or US$41.03 per share[20] Financial Objectives and Hedging - The company targets generating approximately $20 million of free cash flow based on the base case of guidance[72] - The company aims for a Net Debt to EBITDA ratio of 0.8 to 1.2 times by the end of 2026, with gross debt less than $600 million[72] - The company targets a Net Debt to EBITDA ratio of less than 1.0 times and gross debt of less than $500 million by the end of 2027[72]

Core Viewpoint - Canadian Natural Resources Limited (CNQ) is a leading independent energy producer with a diversified portfolio across North America, the U.K. North Sea, and Offshore Africa, focusing on long-life, low-decline assets to ensure predictable cash flow [1][3][4] Group 1: Growth Drivers - CNQ reported record production levels of approximately 1.58 million barrels of oil equivalent per day (BOE/d) in Q1 2025, with 79% from long-life, low-decline assets [3] - The company posted C$2.4 billion in adjusted net earnings and C$4.5 billion in adjusted funds flow during the same quarter, with a quarterly dividend payout of 58.75 Canadian cents, yielding 5.3% annually [4] - CNQ's Oil Sands Mining and Upgrading operations reported average operating costs of C$21.88 per barrel, significantly lower than its peers [5] - Strategic acquisitions, including Duvernay assets, are expected to ramp production toward 60,000 BOE/d by 2025, with reduced well costs due to efficiency gains [6] - CNQ's low breakeven WTI price in the low to mid-$40s enhances its resilience as a producer [7] Group 2: Financial Performance - CNQ reduced net debt by C$1.4 billion and generated free cash flow of C$1.85 billion in Q1 2025, maintaining a robust balance sheet [4] - The consensus revenue estimate for CNQ in 2025 is $26.96 billion, indicating a 3.6% year-over-year rise [10][17] - The Zacks Consensus Estimate for CNQ's 2025 earnings is $2.33 per share, reflecting a 7.91% year-over-year decline [17] Group 3: Risks and Challenges - CNQ's long-term debt stands at C$17.3 billion, which may restrict financial flexibility in a high-interest-rate environment [8] - Operational risks include a projected annual output cut of 31,000 barrels per day due to the ongoing AOSP turnaround [9] - The company faces increased compliance costs and reputational risks due to strict competition regulations in Canada [12]

Core Viewpoint - Gran Tierra Energy Inc. has successfully closed a new reserve-based lending facility with commitments of up to US$75 million, enhancing its liquidity and operational flexibility during a volatile market period [1][2]. Group 1: Credit Facility Details - The new credit facility has a final maturity date of 36 months from the closing date [1][6]. - The facility includes a commitment of US$75 million, which will be redetermined annually starting May 1, 2026 [6]. - Interest on the facility is based on a Term Secured Overnight Financing Rate plus a margin of 4.50% per annum [6]. - The loan is secured by economic rights over certain contracts and Gran Tierra's Colombian commercial establishment [6]. Group 2: Company Overview - Gran Tierra Energy Inc. is an independent international energy company focused on oil and natural gas exploration and production in Canada, Colombia, and Ecuador [3]. - The company is committed to developing its existing asset portfolio and pursuing new growth opportunities [3].