GRAN TIERRA ENERGY INC.
For the period ended Jun 30, 2025. Filed Jul 31, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Jul 31, 2025
GTE$9.42+0.3%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-05-02.
0001273441-25-000011
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-07-31.
0001273441-25-000019
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 86 previous paragraphs and 98 current paragraphs.
30 unchanged; 44 reworded; 24 added; 12 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 22 previous and 26 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (24)
Current report
•Funds flow from operations(2)increased to $53.9 million compared to $46.2 million in the second quarter of 2024, and decreased from $55.3 million in the prior quarter
Current report
•NAR production for the second quarter of 2025 increased by 53% to 39,800 BOEPD, compared to 26,002 BOEPD in the second quarter of 2024, and increased by 3% from 38,563 BOEPD in the prior quarter as a result of the successful drilling in Simonette in Canada; Cohembi infill drilling, waterflood management and strong Acordionero performance in Colombia; and continued exploration success in Ecuador from the Iguana wells
Current report
•Sales volumes for the second quarter of 2025 increased by 52% to 38,331 BOEPD, compared to 25,191 BOEPD in the second quarter of 2024 and decreased by 2% from 39,024 BOEPD in the prior quarter. Sales volumes were negatively impacted by an accumulation of inventory in Ecuador during the Quarter which was sold in July 2025. Liftings in Ecuador occur approximately every two months
Current report
•Transportation expenses increased by 34% when compared to the second quarter of 2024 primarily due to 52% higher sales volumes attributed to new Canadian operations and higher sales volumes in Ecuador, partially offset by lower volumes transported in Colombia. Transportation expenses increased by 10% compared to the prior quarter primarily as a result of increase in volumes transported by Canadian operations
Current report
•Operating Netback(2) decreased by $1.87 per boe compared to the prior quarter with Brent Oil price decreasing by $8.27 over the same period. Operating netback(2) was $89.0 million compared to $112.9 million in the second quarter of 2024 and $96.3 million in the prior quarter
Current report
•Capital expenditures for the second quarter of 2025 were $51.2 million compared to $61.3 million in the second quarter of 2024 and $94.7 million in the prior quarter. This decrease in capital expenditure activity is in line with the Company’s budgeted capital spend for 2025
Current report
Oil, natural gas and NGL salesfor the three months ended June 30, 2025, decreased by 8% to $152.5 million compared to the corresponding period of 2024, due to a 22% decrease in Brent price, partially offset by 52% increase in sales volumes, due to sales of production from the Canadian operations acquired on October 31, 2024 and sales from positive exploration wells drilling results in Ecuador. Oil, natural gas and NGL sales for the six months ended June 30, 2025, were $323.0 million. Despite the 15% decrease in Brent price, sales for the six months ended June 30, 2025, remained comparative to the corresponding period of 2024, due to 51% increase in sales volumes, primarily attributed to sales from Canadian operations and from new exploration wells in Ecuador.
Current report
Compared to the prior quarter, oil, natural gas and NGL sales decreased by 11%, primarily due to a 11% decrease in Brent price, 2% lower sales volumes as a result of an inventory build in Ecuador, partially offset by lower differentials.
Current report
Compared to the prior quarter, operating expenses decreased by 17% from $67.4 million or by $3.17 from $19.18 per boe due to lower workover activities and lower lifting costs related to power generation, equipment rental, and the inventory build-up in Ecuador.
Current report
Transportation expenses for the three and six months ended June 30, 2025, increased by 34% and 41% to $7.6 million and $14.5 million compared to the corresponding periods of 2024, due to new Canadian operations, higher sales volumes transported in Ecuador partially offset by lower sales volumes transported in Colombia.
Current report
On a per boe basis, transportation expenses for the three and six months ended June 30, 2025, decreased by $0.30 and $0.12 to $2.18 and $2.08 compared to the corresponding periods of 2024 due to higher sales volumes from new Canadian operations.
Current report
On a per boe basis, DD&A expenses for the three and six months ended June 30, 2025 decreased by$4.53 and$3.81, respectively due to higher NAR sales volumes primarily attributed to new Canadian operations.
Current report
G&A expenses before stock-based compensation on a per boe basis for the three and six months ended June 30, 2025, decreased by $0.63 and $0.86 compared to the corresponding periods of 2024 due to higher sales volumes mainly driven by the addition of new Canadian operations. Total G&A expenses before stock-based compensation increased by 32% and 22% compared to the corresponding periods of 2024, primarily due to addition of the Canadian operations.
Current report
Compared to the prior quarter, G&A expenses after stock-based compensation increased by 29% or $0.99 per boe due to higher G&A expenses before stock-based compensation and higher stock based compensation attributed to appreciation of share price during the current quarter.
Current report
Credit Facility - Canada
Current report
Credit Facility - Colombia
Current report
During the second quarter of 2025, we drew$24.5 million under the facility to fund capital expenditures. As of June 30, 2025 the outstanding balance under the RBL Facility was$24.5 million. For the three andsix months ended June 30, 2025, the weighted-average interest rate on borrowings was 8.43%.
Current report
Under the terms of the facility, the we are required to maintain compliance with the following financial covenants:
Current report
i. consolidated net debt to consolidated adjusted EBITDA ratio that may not exceed 3.00 to 1.00, and
Current report
ii. consolidated interest coverage ratio that may not be less than 2.50 to 1.00
Current report
The principal amount of 9.50% Senior Notes is to be repaid as follows: (i) October 15, 2026, 25% of the principal amount; (ii) October 15, 2027 5% of the principal amount; (iii) October 15, 2028, 30% of the principal amount; and (iv) October 15, 2029, the remainder of the principal amount.
Current report
We were in compliance with all applicable covenants related to credit facility and Senior Notes as of June 30, 2025.
Current report
On June 4, 2025, we, through our wholly owned subsidiary, Gran Tierra UK Limited, a United Kingdom limited company, entered into an agreement to sell our wholly owned subsidiary, Gran Tierra North Sea Limited (“GTNSL”) to NEO Energy for total consideration of $7.5 million. Completion of the transaction is subject to certain customary conditions precedent, including consent from the North Sea Transition Authority in respect of the change of control of GTNSL. The transaction is expected to close in the fourth quarter of 2025.
Current report
On July 25, 2025, we, through our wholly owned subsidiary, Gran Tierra Energy Colombia GmbH, signed a mandate letter with a syndicate banks for a $200.0 million prepayment structure backed by crude oil deliveries. We are progressing toward full documentation with an expected close in Q3 2025, with funding anticipated shortly thereafter. The facility is structured to enhance financial flexibility, support long-term capital planning, and optimize our debt maturity profile. This initiative reflects our continued focus on disciplined financial management and efficient capital deployment, while preserving optionality for future opportunities.
Removed paragraphs (12)
Previous report
•Funds flow from operations(2)decreased to $55.3 million compared to $74.3 million in the first quarter of 2024, and increased from $44.1 million in the prior quarter
Previous report
•NAR production for the first quarter of 2025 increased by 49% to 38,563 BOEPD, compared to 25,845 BOEPD in the first quarter of 2024, and increased by 14% from 33,682 BOEPD in the prior quarter
Previous report
•Sales volumes for the first quarter of 2025 increased by 50% to 39,024 BOEPD, compared to 26,080 BOEPD in the first quarter of 2024 and increased by 18% from 32,970 BOEPD in the prior quarter
Previous report
•Transportation expenses increased by 51% when compared to the first quarter of 2024 primarily due to 50% higher sales volumes from new Canadian operations and higher sales volumes transported in Ecuador during the period. Transportation expenses increased by 62% compared to the prior quarter for the same reason mentioned above
Previous report
•Operating netback(2) was $96.3 million compared to $104.5 million in the first quarter of 2024 and $82.2 million in the prior quarter primarily as a result of the addition of the Canadian assets and approximately 50% of Canadian production tied to AECO gas pricing
Previous report
•Capital expenditures for the first quarter of 2025 were $94.7 million compared to $55.3 million in the first quarter of 2024 and $78.6 million in the prior quarter due to the addition of the Canadian development program and an active Ecuador exploration program in the first quarter of 2025
Previous report
Oil, natural gas and NGL salesfor the three months ended March 31, 2025, increased by 8% to $170.5 million compared to the corresponding period of 2024 due 50% increase in sales volumes and lower differentials offset by 8% decrease in Brent price and lower sales volumes in Colombia. The increase in sales volumes during the current quarter was due to sales from new Canadian operations and higher sales volumes in Ecuador as a result of successful drilling results.
Previous report
Compared to the prior quarter, oil, natural gas and NGL sales increased by 16%, primarily due to a 1% increase in Brent price, lower differentials, and an 18% increase in sales volumes as a result of full three months of operations in Canada compared to two months in prior quarter and higher sales volumes in Ecuador due to new exploration wells coming on production.
Previous report
Compared to the prior quarter, operating expenses increased by 11% from $60.8 million due to the full three months of new Canadian operations compared to two months in prior quarter, anddecreased on a per boe basis by$0.85 from $20.03 primarily due to lower lifting costs associated with lower road maintenance costs in Colombia.
Previous report
Transportation expenses for the three months ended March 31, 2025, increased by 51% to $6.9 million or $0.04 to $1.97 per boe, compared to the corresponding period of 2024, due to new Canadian operations and higher sales volumes transported in Ecuador during the current quarter.
Previous report
G&A expenses before stock-based compensation for the three months ended March 31, 2025, increased by 13% compared to the corresponding period of 2024, primarily due to addition of Canadian operations. On per boe basis, G&A expenses before stock-based compensation decreased by $1.08 due to higher sales volumes in the current quarter.
Previous report
Compared to the prior quarter, G&A expenses after stock-based compensation decreased by 14% or $1.15 per bbl for the same reason mentioned above.
Reworded paragraphs (44)
Previous wording
Key Highlights for the first quarter of 2025
Current wording
Key Highlights for the second quarter of 2025
Previous wording
•Net loss for the first quarter of 2025 was $19.3 million or $(0.54) per share basic and diluted, compared to a net loss of $0.1 million or nil per share basic and diluted for the first quarter of 2024 and a net loss of $34.2 million for the prior quarter
Current wording
•Net loss for the second quarter of 2025 was $12.7 million or $(0.36) per share basic and diluted, compared to a net income of $36.4 million or $1.16 per share basic and diluted for the second quarter of 2024 and a net loss of $19.3 million for the prior quarter
Previous wording
•Loss before income taxes for the first quarter of 2025 was $15.7 million, compared to income before income taxes of $17.3 million for the first quarter of 2024 and loss before income taxes of $21.9 million for the prior quarter
Current wording
•Loss before income taxes for the second quarter of 2025 was $8.1 million, compared to income before income taxes of $27.3 million for the second quarter of 2024 and loss before income taxes of $15.7 million for the prior quarter
Previous wording
•Brent oil price averaged $74.98 per bbl during the quarter, a decrease of 8% from the comparable period in 2024, and a 1% increase from the prior quarter. Castilla, Vasconia and Oriente differentials averaged$5.34, $2.27 and $7.65 per bbl during the quarter, a decrease of 39%, 55% and 5% from the comparable period of 2024, and an increase of 36%, 55% and 19% from the prior quarter, respectively
Current wording
•Brent oil price averaged $66.71 per bbl during the quarter, a decrease of 22% from the comparable period in 2024, and an 11% decrease from the prior quarter. Castilla, Vasconia and Oriente differentials averaged$4.73, $1.71 and $7.26 per bbl during the quarter, a decrease of 42%, 57% and 13% from the comparable period of 2024, and an increase of 11%, 25% and 5% from the prior quarter, respectively
Previous wording
•Adjusted EBITDA(2) was $85.2 million for the first quarter of 2025, a decrease from $94.8 million in the first quarter of 2024, and an increase from $76.2 million in the prior quarter
Current wording
•Adjusted EBITDA(2) was $77.0 million for the second quarter of 2025, a decrease from $103.0 million in the second quarter of 2024, and a decrease from $85.2 million in the prior quarter
Previous wording
•In the first quarter of 2025, we re-purchased 0.5 million shares of Common Stock at a weighted average price of $5.33 per share through the 2024 share re-purchase program. During the period from November 6, 2024 to April 29, 2025, we re-purchased a total of 1.1 million shares or 3% of the outstanding shares as of March 31, 2025
Current wording
•In the second quarter of 2025, we re-purchased 0.2 million shares of Common Stock at a weighted average price of $4.38 per share through the 2024 share re-purchase program. During the period from November 6, 2024 to July 28, 2025, we re-purchased a total of 1.2 million shares or 3% of the outstanding shares as of June 30, 2025
Previous wording
•Oil, natural gas and NGL sales for the first quarter of 2025 increased by 8% to $170.5 million, compared to the first quarter of 2024, primarily due to increased sales volumes partially offset by lower oil prices. Oil, natural gas and NGL sales increased by 16% from $147.3 million in the prior quarter due to higher oil and gas prices, lower differentials, and increased sales volumes
Current wording
•Oil, natural gas and NGL sales for the second quarter of 2025 decreased by 8% to $152.5 million, compared to the second quarter of 2024, primarily due to lower oil prices partially partially offset by increase in sales volumes. Oil, natural gas and NGL sales decreased by 11% from $170.5 million in the prior quarter due to lower oil and gas prices and lower sales volumes, partially offset by lower differentials
Previous wording
•Operating expenses increased by 39% to $67.4 million when compared to the first quarter of 2024, primarily as a result of new Canadian operations and ramp-up of operations in Ecuador. Operating expenses increasedby 11% from$60.8 million in the prior quarter as a result of three months of new Canadian operations opposed to two in the prior quarter
Current wording
•Operating costs per boe decreased 22% compared to the comparative period of 2024 and decreased 17% from the prior quarter. Operating expenses increased by 19% to $55.9 million when compared to the second quarter of 2024, primarily as a result of new Canadian operations and ramp-up of operations in Ecuador. Operating expenses decreasedby 17% from$67.4 million in the prior quarter primarily as a result of lower workovers and lower lifting costs related to power generation, equipment rental and inventory build-up in Ecuador
Previous wording
•Quality and transportation discounts for the first quarter of 2025 increased to $26.43 per boe compared to $15.36 per boe in the first quarter of 2024 and $25.45 per boe in the prior quarter primarily as a result of the change in production mix with the acquisition of Canadian assets
Current wording
•Quality and transportation discounts for the second quarter of 2025 increased to $22.99 per boe compared to $12.79 per boe in the second quarter of 2024 and $26.43 per boe in the prior quarter primarily as a result of the change in production mix with the acquisition of Canadian assets
Previous wording
•General and administrative (“G&A”) expenses before stock-based compensation for the first quarter of 2025 increased to $12.1 million compared to $10.8 million in the first quarter of 2024 and $10.2 million in the prior quarter due to the addition of a new Canadian operation employees and three full months of operations in the current quarter compared to two in the prior quarter
Current wording
•General and administrative (“G&A”) expenses before stock-based compensation for the second quarter of 2025 increased to $14.5 million compared to $11.0 million in the second quarter of 2024 and $12.1 million in the prior quarter, due to the addition of the new Canadian operation and timing of certain annual corporate expenses
Previous wording
EBITDA, as presented, is defined as net loss adjusted for depletion, depreciation and accretion (“DD&A”) expenses, interest expense and income tax expense or recovery. Adjusted EBITDA, as presented, is defined as EBITDA adjusted for non-cash lease expense, lease payments, foreign exchange gain or loss, stock-based compensation expense or recovery, transaction costs related to the acquisition of i3 Energy, other gain or loss and unrealized derivative instruments loss. Management uses this supplemental measure to analyze performance and income generated by our principal business activities prior to the consideration of how non-cash items affect that income and believes that this financial measure is useful supplemental information for investors to analyze our performance and our financial results. A reconciliation from net (loss) income to EBITDA and adjusted EBITDA is as follows:
Current wording
EBITDA, as presented, is defined as net loss adjusted for depletion, depreciation and accretion (“DD&A”) expenses, interest expense and income tax expense or recovery. Adjusted EBITDA, as presented, is defined as EBITDA adjusted for non-cash lease expense, lease payments, foreign exchange gain or loss, stock-based compensation expense or recovery, other loss and unrealized derivative instruments loss or gain. Management uses this supplemental measure to analyze performance and income generated by our principal business activities prior to the consideration of how non-cash items affect that income and believes that this financial measure is useful supplemental information for investors to analyze our performance and our financial results. A reconciliation from net (loss) income to EBITDA and adjusted EBITDA is as follows:
Previous wording
Funds flow from operations, as presented, is defined as net loss adjusted for DD&A expenses, deferred income tax expense or recovery, stock-based compensation expense or recovery, amortization of debt issuance costs, non-cash lease expense, lease payments, unrealized foreign exchange gain or loss, unrealized derivative instruments loss and other loss. and Management uses this financial measure to analyze performance and income generated by our principal business activities prior to the consideration of how non-cash items affect that income and believes that this financial measure is also useful supplemental information for investors to analyze performance and our financial results. A reconciliation from net loss to funds flow from operations is as follows:
Current wording
Funds flow from operations, as presented, is defined as net loss adjusted for DD&A expenses, deferred income tax expense or recovery, stock-based compensation expense or recovery, amortization of debt issuance costs, non-cash lease expense, lease payments, unrealized foreign exchange gain or loss, unrealized derivative instruments loss or gain and other loss. Management uses this financial measure to analyze performance and income generated by our principal business activities prior to the consideration of how non-cash items affect that income and believes that this financial measure is also useful supplemental information for investors to analyze performance and our financial results. A reconciliation from net loss to funds flow from operations is as follows:
Previous wording
Oil, natural gas and NGL production NAR for the three months ended March 31, 2025, increased by 49% to 38,563 BOEPD compared to the corresponding period of 2024 due to the production from the Canadian operations acquired on October 31, 2024 and positive exploration well drilling results in Ecuador. Oil, natural gas and NGL production NAR increased by 14% compared to the prior quarter as a result of the full three months of operations in Canada and the successful drilling in Ecuador.
Current wording
Oil, natural gas and NGL production NAR for the three and six months ended June 30, 2025, increased by 53% and 51%, to 39,800 BOEPD and 39,185 BOEPD, compared to the corresponding periods of 2024 due to the production from the Canadian operations acquired on October 31, 2024 and positive exploration wells drilling results in Ecuador. Oil, natural gas and NGL production NAR increased by 3% compared to the prior quarter as a result of the successful drilling in Simonette in Canada, Cohembi infill drilling, waterflood management and strong Acordionero performance in Colombia and continued exploration success in Ecuador from the Iguana wells.
Previous wording
Royalties as a percentage of production for the three months ended March 31, 2025 decreased 3% and 1% compared to the corresponding period of 2024 and the prior quarter respectively, commensurate with the decrease in benchmark oil prices and lower royalties for Canadian operations.
Current wording
Royalties as a percentage of production for the three and six months ended June 30, 2025 decreased by 5% and 4% compared to the corresponding periods of 2024 as a result of a decrease in benchmark oil prices and the price sensitive royalty regime in Colombia and Ecuador and lower royalties in new Canadian operations. Royalties as a percentage of production were comparable to the prior quarter.
Previous wording
Brent -For the three months ended March 31, 2025, Brent decreased 8% from the comparable period of 2024 and increased 1% from the prior quarter. For the three months ended March 31, 2025, Castilla, Vasconia and Oriente differentials per boe decreased to $5.34, $2.27 and $7.65 compared to $8.82, $5.05 and $8.02, respectively, in the corresponding period of 2024.
Current wording
Brent -For the three and six months ended June 30, 2025, Brent decreased 22% and 15% from the comparable periods of 2024, and decreased 11% from the prior quarter. For the three months ended June 30, 2025, Castilla, Vasconia and Oriente differentials per boe decreased to $4.73, $1.71 and $7.26 compared to $8.21, $4.00 and $8.38 in the corresponding period of 2024. For the six months ended June 30, 2025, Castilla, Vasconia and Oriente differentials per boe decreased to $5.04, $1.99 and $7.45 from $8.51, $4.52 and $8.20 in the corresponding period of 2024.
Previous wording
During the first quarter of 2025, 100% of sales from South America was priced against Brent.
Current wording
During the second quarter of 2025, 100% of sales from South America was priced against Brent.
Previous wording
Gran Tierra entered Canada with the acquisition of i3 Energy which closed on October 31, 2024, therefore no comparative data is provided for the corresponding period of 2024.
Current wording
Gran Tierra entered Canada with the acquisition of i3 Energy which closed on October 31, 2024, therefore no comparative data is provided for the corresponding periods of 2024.
Previous wording
WTI - For the three months ended March 31, 2025, WTI increased 1% from the prior quarter. During the quarter, 21% of NAR production in Canada was oil, comparable with the prior quarter.
Current wording
WTI - For the three months ended June 30, 2025, WTI decreased 11% from the prior quarter. For the three months ended June 30, 2025, 26% of NAR production in Canada was oil, compared with 21% in the prior quarter.
Previous wording
NGLs - For the three months ended March 31, 2025 the weighted average NGL price received was 18% of WTI compared to 11% percent of WTI in the prior quarter. During the quarter, 27% of production in Canada were NGLs, comparable with the prior quarter.
Current wording
NGLs - For the three months ended June 30, 2025, the weighted average NGL price received was 18% of WTI, consistent with the prior quarter. For the three months ended June 30, 2025, 24% of NAR production in Canada was NGLs, compared to 27% in the prior quarter.
Previous wording
AECO - For the three months ended March 31, 2025, AECO price increased 31% from the prior quarter. During the quarter, 52% of production in Canada was natural gas, comparable with the prior quarter.
Current wording
AECO - For the three months ended June 30, 2025, AECO price decreased 22% from the prior quarter. For the three months ended June 30, 2025 , 50% of NAR production in Canada was natural gas, compared to 52% in the prior quarter.
Previous wording
The following table shows the effect of changes in realized price and sale volumes on our oil sales for the three months ended March 31, 2025, compared to the prior quarter and the corresponding periods of 2024:
Current wording
The following table shows the effect of changes in realized price and sale volumes on our oil sales for the three and six months ended June 30, 2025, compared to the prior quarter and the corresponding periods of 2024:
Previous wording
Operating expenses for the three months ended March 31, 2025, increased by 39% to $67.4 million compared to the corresponding period of 2024 due to new Canadian operations and ramp-up of operations in Ecuador. On a per boe basis, operating expenses decreased by $1.24 to $19.18 compared to the corresponding period of 2024, primarily due to $2.76 per boe lower workover activities which were partially offset by $1.52 per boe higher lifting costs associated with Canadian operations.
Current wording
Operating expensesfor the three and six months ended June 30, 2025, on a per boe basis, decreased by $4.51 and $2.87 to $16.01 and $17.60, respectively, compared to the corresponding periods of 2024, primarily due lower workover activities and 52% and 51%, respectively, higher NAR sales volumes from new Canadian operations which were partially offset by the addition of the the operating expenses from Canadian operations in the current periods. Total operating expenses for the three and six months ended June 30, 2025, increased by 19% and 29% to $55.9 million and $123.2 million compared to the corresponding periods of 2024 due to new Canadian operations and ramp-up of operations in Ecuador.
Previous wording
We have options to sell our oil through multiple pipelines and various trucking routes. Each option has varying effects on realized sales price and transportation expenses. The following table shows the percentage of oil, natural gas and NGL volumes we sold in Canada, Colombia and Ecuador using each option for the three months ended March 31, 2025 and 2024, and the prior quarter:
Current wording
We have options to sell our oil through multiple pipelines and various trucking routes. Each option has varying effects on realized sales price and transportation expenses. The following table shows the percentage of oil, natural gas and NGL volumes we sold in Canada, Colombia and Ecuador using each option for the three and six months ended June 30, 2025 and 2024, and the prior quarter:
Previous wording
Transportation expenses increased by 62% or $0.56 per boe from $4.3 million or $1.41 per boe in the prior quarter due to the higher sales volumes transported in Ecuador during the current quarter and the three full months of Canadian operations compared to two months in prior quarter.
Current wording
Transportation expenses increased by 10% or $0.21 per boe from $6.9 million or $1.97 per boe in the prior quarter due to incremental sales volumes transported by Canadian operations resulting in higher tolls.
Previous wording
DD&A expenses for the three months ended March 31, 2025, increased by 29% due to higher costs in the depletable base for Ecuador and new Canadian operations, compared to the corresponding period of 2024. On a per boe basis, DD&A expenses decreased by$3.10 due to higher sales volumes during the current quarter.
Current wording
DD&A expenses for the three and six months ended June 30, 2025, increased by 24% and 26%, respectively, due to higher costs in the depletable base for Ecuador and new Canadian operations, compared to the corresponding period of 2024.
Previous wording
DD&A expenses increased by 14% from $63.4 million when compared to the prior quarter due to higher costs in the depletable base. On a per boe bases were comparable to prior quarter. On a per boe basis, DD&A expenses decreased by $0.34 due to higher sales volumes during the current quarter.
Current wording
DD&A expenses decreased by 5% from $72.2 million when compared to the prior quarter due to lower an inventory build-up in Ecuador and DD&A allocation to inventory. On a per boe basis, DD&A expenses decreased by $0.88 due to higher production.
Previous wording
Compared to the prior quarter, G&A expenses before stock-based compensation increased by 19% or $0.10 per boe due to the three full months of operations in Canada during the current quarter compared to two months in the prior quarter.
Current wording
Compared to the prior quarter, G&A expenses before stock-based compensation increased by 19% or $0.69 per boe due to timing of certain annual corporate expenses.
Previous wording
G&A expenses after stock-based compensation for the three months ended March 31, 2025, decreased by 18% or $2.65 per boe, compared to the corresponding period of 2024, due to stock-based compensation recovery attributed to a lower share price during the current quarter.
Current wording
G&A expenses after stock-based compensation for the three and six months ended June 30, 2025, decreased by 12% and 15% or $3.17 and $2.90 per boe compared to the corresponding periods of 2024, due to lower stock-based compensation attributed to a depreciation of share price during the current periods.
Previous wording
For the three months ended March 31, 2025, we had a $3.8 million loss on foreign exchange compared to a $0.8 million gain on foreign exchange in the corresponding period of 2024, and a $0.5 million gain on foreign exchange in the prior quarter. Accounts payable, taxes receivable and payable and deferred income taxes are considered monetary items and require translation from local currencies to U.S. dollar functional currency at each balance sheet date. This translation was the primary source of the foreign exchange gains and losses in the periods.
Current wording
For the three and six months ended June 30, 2025, we had a $3.7 million and $7.6 million loss on foreign exchange compared to a $4.4 million and $5.2 million gain on foreign exchange in the corresponding periods of 2024 and a $3.8 million loss on foreign exchange in the prior quarter. Accounts payable, taxes receivable and payable and deferred income taxes are considered monetary items and require translation from local currencies to U.S. dollar functional currency at each balance sheet date. This translation was the primary source of the foreign exchange gains and losses in the periods.
Previous wording
The following table presents the change in the U.S. dollar against the Colombian peso and Canadian dollar for the three months ended March 31, 2025 and 2024:
Current wording
The following table presents the change in the U.S. dollar against the Colombian peso and Canadian dollar for the three and six months ended June 30, 2025 and 2024 and the prior quarter:
Previous wording
Current income tax expense was $8.3 million for the three months ended March 31, 2025, compared to $3.9 million in the corresponding period of 2024, primarily due to an increase in taxable income in Ecuador, Canada and Colombia.
Current wording
Current income tax expense was $10.5 million for the six months ended June 30, 2025, compared to $46.2 million in the corresponding period of 2024, primarily due to lower taxable income.
Previous wording
The deferred income tax for the three months ended March 31, 2025, was a recovery of $4.7 million mainly due to the use of a higher enacted tax rate on Colombia tax losses. These were partially offset by higher tax depreciation relative to accounting depreciation.
Current wording
The deferred income tax for the six months ended June 30, 2025, was a recovery of $2.3 million mainly due to the use of a higher enacted tax rate on Colombia tax losses. These were partially offset by higher tax depreciation relative to accounting depreciation.
Previous wording
The deferred income tax expense for the three months ended March 31, 2024, was $13.5 million, primarily as a result of tax depreciation being higher than accounting depreciation and the use of tax losses to offset taxable income in Colombia.
Current wording
The deferred income tax for the six months ended June 30, 2024, was a recovery of $37.9 million, primarily as a result of the recognition of additional tax losses resulting from a tax planning strategy which were partially offset by tax depreciation being higher than accounting depreciation and the use of tax losses to offset taxable income in Colombia.
Previous wording
For the three months ended March 31, 2025, the difference between the effective tax rate of negative 23% and the 40% Colombian tax rate was primarily due to an increase in the non-deductible foreign translation adjustments, other permanent differences and valuation allowance. This was partially offset by an increase in the impact of foreign taxes.
Current wording
For the six months ended June 30, 2025, the difference between the effective tax rate of negative 34% and the 40% statutory tax rate was primarily due to an increase in the non-deductible foreign translation adjustments, other permanent differences and valuation allowance. This was partially offset by an increase in the impact of foreign taxes.
Previous wording
For the three months ended March 31, 2024, the difference between the effective tax rate of 100% and the 45% Colombian tax rate was primarily due to an increase in the impact of foreign taxes, increase in the valuation allowance, non-deductible stock-based compensation and other permanent differences.
Current wording
For the six months ended June 30, 2024, the difference between the effective tax rate of 19% and the 50% Colombian tax rate was primarily due to a decrease in the impact of foreign taxes, 2022 true-up related to tax planning strategy and non-taxable foreign exchange adjustments. These were partially offset by an increase in valuation allowance, other permanent differences, non-deductible stock-based compensation and non-deductible royalties in Colombia.
Previous wording
Capital expenditures during the three months ended March 31, 2025, were $94.7 million.
Current wording
Capital expenditures during the three months ended June 30, 2025, were $51.1 million.
Previous wording
During the three months ended March 31, 2025, we spud two exploration wells in Ecuador, of which one was producing as at March 31, 2025. We spud three development wells in Colombia, two development wells and one service well in Canada and they were all in-progress as of March 31, 2025.
Current wording
During the three months ended June 30, 2025, we spud three development wells and one exploration well in Colombia, of which two were producing, one was dry and one was in progress as at June 30, 2025. We spud one development well in Canada and it was in-progress as of June 30, 2025.
Previous wording
We believe that our capital resources, including cash on hand, cash generated from operations and available borrowings under our credit facilities, will provide us with sufficient liquidity to meet our strategic objectives and planned capital program for the next 12 months, given the current oil price trends and production levels. We may also access capital markets to pursue financing, including for the re-purchase of common stock or the repayment of debt in the future. In accordance with our investment policy, available cash balances are held in our primary cash management banks or may be invested in U.S. or Canadian government-backed federal, provincial or state securities or other money market instruments with high credit ratings and short-term liquidity. We believe that our current financial position provides us with the flexibility to respond to both internal growth opportunities and those available through acquisitions. We intend to pursue growth opportunities and acquisitions from time to time, which may require significant capital to be located in basins or countries beyond our current operations, involve joint ventures, or be sizable compared to our current assets and operations.
Current wording
We believe that our capital resources, including cash on hand, cash generated from operations and available borrowings under our credit facilities, will provide us with sufficient liquidity to meet our strategic objectives and planned capital program for the next 12 months and beyond, including the repayment of 25% of the principal amount of 9.50% Senior Notes due October 15, 2026, given the current oil price trends and production levels. We may also access capital markets to pursue financing, including for the re-purchase of common stock or the repayment of debt in the future. In accordance with our investment policy, available cash balances are held in our primary cash management banks or may be invested in U.S. or Canadian government-backed federal, provincial or state securities or other money market instruments with high credit ratings and short-term liquidity. We believe that our current financial position provides us with the flexibility to respond to both internal growth opportunities and those available through acquisitions. We intend to pursue growth opportunities and acquisitions from time to time, which may require significant capital to be located in basins or countries beyond our current operations, involve joint ventures, or be sizable compared to our current assets and operations.
Previous wording
In connection with the i3 Energy acquisition closing on October 31, 2024, we amended and restated the existing revolving credit facility agreement of i3 Energy Canada Ltd. with National Bank of Canada dated March 22, 2024. As a result of the amendment and restatement, among other things, the borrowing base was revised to C$100.0 million (US$69.5 million) with available commitment of a C$50.0 million (US$34.8 million) revolving credit facility comprised of C$35.0 million (US$24.3 million) syndicated facility and C$15.0 million (US$10.4 million) of operating facility. Subject to the next borrowing base redetermination which will occur on or before June 30, 2025, the revolving credit facility is available until October 31, 2025 with a repayment date of October 31, 2026, which may be extended by further periods of up to 364 days, subject to lender approval. The drawn down amounts under the revolving credit facility can either be in Canadian or U.S. dollars and bear interest rates equal to either the Canadian prime rate or U.S. Base Rate plus a margin ranging from 2.00% to 4.00% per annum or for CORRA loans and SOFR loans plus a margin ranging from 3.00% to 5.00% per annum. Undrawn amounts under the revolving credit facility bear standby fee ranging from 0.75% to 1.25% per annum. In each case, the margin or standby fee, as applicable is based on Net Debt to EBITDA ratio of Gran Tierra Canada Ltd. As of March 31, 2025, the credit facility remained undrawn.
Current wording
We, through our wholly owned subsidiary Gran Tierra Canada Ltd., have a revolving credit facility with National Bank of Canada dated March 22, 2024 with a borrowing base of C$100.0 million (US$73.0 million as of June 30, 2025) and the available commitment of a C$50.0 million (US$36.5 million as of June 30, 2025) revolving credit facility comprised of C$35.0 million (US$25.6 million as of June 30, 2025) syndicated facility and C$15.0 million (US$11.0 million as of June 30, 2025) of operating facility. The drawn down amounts under the revolving credit facility can either be in Canadian or U.S. dollars and bear interest rates equal to either the Canadian prime rate or U.S. Base Rate plus a margin ranging from 2.00% to 4.00% per annum or for CORRA loans and SOFR loans plus a margin ranging from 3.00% to 5.00% per annum. Undrawn amounts under the revolving credit facility bear standby fee ranging from 0.75% to 1.25% per annum. In each case, the margin or standby fee, as applicable is based on Net Debt to EBITDA ratio of Gran Tierra Canada Ltd. As of June 30, 2025, the outstanding balance under the facility was US$22.0 million (C$30.0 million) and the weighted-average interest rate on borrowings during the second quarter of 2025 was 6.74%. On July 22, 2025, the borrowing base was redetermined by National Bank of Canada at C$100.0 million, of which available commitment is C$50.0 million. The next borrowing base redetermination will occur on or before November 30, 2025, and the revolving credit facility is available until October 31, 2025 with a repayment date of October 31, 2026, which may be extended by further periods of up to 364 days, subject to lender approval.
Previous wording
Subsequent to March 31, 2025, we, through its wholly owned subsidiary, Gran Tierra Energy Colombia GmbH, a Swiss limited liability company, entered into a US$75 million reserve-based lending facility. Any loans incurred under the new facility will mature on April 16, 2028 and will bear interest at a rate per annum equal to, at our option, either (a) a customary base rate (subject to a floor of 1.00%) plus an applicable margin of 4.50% or (b) a term SOFR reference rate plus an applicable margin of 4.50%. Interest on base rate borrowings is payable quarterly in arrears and interest on term SOFR borrowings accrues in respect of interest periods of three or six months, at the election of the Company, and is payable on the last day of such interest period.
Current wording
On April 16, 2025, we, through our wholly owned subsidiary, Gran Tierra Energy Colombia GmbH, a Swiss limited liability company, entered into a $75.0 million reserve-based lending facility. Any loans incurred under the new facility will mature on April 16, 2028 and will bear interest at a rate per annum equal to, at our option, either (a) a customary base rate (subject to a floor of 1.00%) plus an applicable margin of 4.50% or (b) a term SOFR reference rate plus an applicable margin of 4.50%. Interest on base rate borrowings is payable quarterly in arrears and interest on term SOFR borrowings accrues in respect of interest periods of three or six months, at the election of the Company, and is payable on the last day of such interest period.
Showing the first 40 of 44 pairs. Open the source sections for the rest.