Gran Tierra Energy Inc. · AMEX:GTE
Gran Tierra Energy — Proxy Contest (April 2015)
30 slides from Gran Tierra Energy's proxy contest presentation, Apr 27, 2015
Slide 1: Gran Tierra Energy Inc. Investor Presentation April 2015
1 GRAN TIERRA ENERGY INC. Investor Presentation APRIL 2015
Slide 2: Disclaimer
2 GRAN TIERRA ENERGY INC. Disclaimer This presentation contains disclosure respecting contingent resources . There can be no certainty that it will be commercially viable to produce any portion of the contingent resources . Please see the appendices to this presentation for important advisories rela
Slide 3: Important Information and Where to Find It
3 GRAN TIERRA ENERGY INC. Important Information and Where to Find It Gran Tierra, Inc . , its directors and certain of its executive officers may be deemed to be participants in the solicitation of proxies from stockholders in connection with Gran Tierra’s 2015 Annual Meeting of Stockholders . Gran
Slide 4: Company Summary
4 GRAN TIERRA ENERGY INC. Company Summary PRODUCTION FROM CONTINUING OPERATIONS: 25,182 BOEPD* before inventory adjustments (FY 2014 average ) RESERVES: 49.9 MMBOE Proved ** 49.1 MMBOE Proved *** LAND: 9.9 MM acres gross at December 31, 2014 * Gross company interest **As at December 31, 2014 SEC com
Slide 5: Value Creation Strategy
5 GRAN TIERRA ENERGY INC. Value Creation Strategy Risk Managed Value Creation is Central to Gran Tierra’s Strategy Financial Flexibility • Strong balance sheet, no debt Strong Production Base • Long reserve life index Portfolio of Opportunities • Colombia production and diverse assets CSR and Safety
Slide 6: 6 GRAN TIERRA ENERGY INC.
6 GRAN TIERRA ENERGY INC.
Slide 7: Company Reserves
7 GRAN TIERRA ENERGY INC. Company Reserves 0 50 100 150 200 2006 2007 2008 2009 2010 2011 2012 2013 2014 Proved Probable Possible MMBOE* COMPANY GROSS WI RESERVES AT DEC. 31, 2014 Colombia And Brazil MMBOE (SEC) Colombia And Brazil MMBOE (COGEH) Proved 49.9 49.1 Probable 17.9 17.8 Proved plus Probab
Slide 8: Land, Reserves and Resources by Country
8 GRAN TIERRA ENERGY INC. Land, Reserves and Resources by Country GROSS WI RESERVES AT DEC. 31, 2014 MMBOE (SEC) MMBOE (COGEH) Proved 46.6 45.8 Probable 15.6 15.6 Proved plus Probable 62.2 61.5 Possible 17.7 18.3 Proved plus Probable plus Possible 79.9 79.7 Note: columns may not add due to rounding
Slide 9: Production
9 GRAN TIERRA ENERGY INC. Production BOEPD GROSS WI 2015 Production Guidance Gross WI (99% oil) Fourth Quarter 2014 Production: 23,896 BOEPD GROSS WI * 22,500 BOEPD * * Before inventory adjustments and losses 21,500 to 0 5000 10000 15000 20000 25000 30000 35000 2005 2006 2007 2008 2009 2010 2011 201
Slide 10: 10 GRAN TIERRA ENERGY INC.
10 GRAN TIERRA ENERGY INC.
Slide 11: Portfolio of Opportunity Leads and Prospects
11 GRAN TIERRA ENERGY INC. Portfolio of Opportunity 66 Leads and Prospects When oil returns to a higher price, GTE to initiate multi - year drilling plan: Colombia • Planning continues to deliver a high potential program in Colombia • Diverse inventory of high potential prospects and leads mapped in
Slide 12: Core Growth in Colombia
12 GRAN TIERRA ENERGY INC. Core Growth in Colombia Growth Through Exploration, Development and Capture of Inorganic Growth Opportunities • Multiple acquisition opportunities are currently under evaluation that offer significant potential for reserves and production growth • # 1 landholder, reserve h
Slide 13: Putumayo Basin – Core Position
13 GRAN TIERRA ENERGY INC. Putumayo Basin – Core Position • Under - explored basin • Dominant land position in foothills trend with a prolific hydrocarbon system • Recently acquired new Blocks; Put - 31 and farm - in to Put - 4** • Discoveries with predictable reservoir performance and low water han
Slide 14: Costayaco Field – Core Asset
14 GRAN TIERRA ENERGY INC. Costayaco Field – Core Asset Technical Excellence in Reservoir Management • Track record of reserves progression • Reserves growth with improved recovery • Expect to average ~ 12,200 BOEPD GROSS WI in 2015 Costayaco Light and Medium Oil Reserves (Gross WI)*: RESERVES CATEG
Slide 15: Moqueta Oil Discovery
15 GRAN TIERRA ENERGY INC. Moqueta Oil Discovery GROWING THE PLATFORM New Reserves – Near Term Growth Moqueta Light and Medium Oil Reserves (Gross WI)*: 0.00 5.00 10.00 15.00 20.00 25.00 30.00 35.00 M1-M2 2010 M1-M6 2011 M1-M8 2012 M1-M12 2013 M1-M17 2014 1P 2P 3P RESERVE GROWTH (GROSS) BEFORE ROYAL
Slide 16: Sinu - San Jacinto Basin
16 GRAN TIERRA ENERGY INC. Sinu - San Jacinto Basin New Exploration Concept in the Basin • Prospectivity associated with structural closures at the flanks of mud diapirs • Hydrocarbon generation in the depocenters rimmed by the diapirs in a mini - basin configuration with short mainly vertical migra
Slide 17: Peru Mid and Long-term Growth Opportunity
17 GRAN TIERRA ENERGY INC. Peru Mid and Long - term Growth Opportunity • Transformational exploration potential • Significant step - change growth possibilities 5.7 Million gross acres ñ
Slide 18: Bretaña Oil Discovery
18 GRAN TIERRA ENERGY INC. Bretaña Oil Discovery Bretaña Contingent Resources*: *Refer to Contingent Resource Advisory in the Appendix section at the end of this presentation Block 95 GROSS WI MMBOE (COGEH) P90 Low Estimate Contingent Resources (1C) 32.9 P50 Best Estimate Contingent Resources (2C) 5
Slide 19: Bretaña Norte Well Results
19 GRAN TIERRA ENERGY INC. • Bretaña Norte 95 - 2 - 1XD • 99 foot gross (53 foot net) oil column • 3,095 bopd natural flow (18.5 ° API) from horizontal side - track • Additional exploration potential in Envidia Lobe. • Future field development on hold. Capital spend focused on maintaining facility i
Slide 20: Peru Blocks Exploration
20 GRAN TIERRA ENERGY INC. Blocks 133 and 107 Block 107 and 133 ▪ New 2D seismic acquired, five new prospects and leads identified on Block 107 ▪ Osheki - 1 exploration well expected to be drilled in 1H 2017 ▪ Pre - drill civil contracts possibly to commence in 2H 2016 On trend with prolific hydroca
Slide 21: Peru Prospective Resource Potential
21 GRAN TIERRA ENERGY INC. Blocks 123 and 129 Block 123 and 129 • Immediately up - dip and along strike from prolific Marañon Basin producing fields • New 2D seismic acquired, prospects mapped • Well permitting process to begin in June • Potential drilling in 1H 2017 PROSPECT BLOCK LOW ESTIMATE (P90
Slide 22: Brazil
22 GRAN TIERRA ENERGY INC. Brazil MODERN CONCEPTS & TECHNOLOGY IN A MATURE BASIN 100% WI in 7 Blocks ▪ 47,733 gross acres ▪ 2P Gross WI reserves in the Tiê field increased 48% from year - end 2013 to 5.6 MMBOE (SEC compliant at Dec. 31, 2014) ▪ Expect to average ~1,100 BOEPD GROSS WI in 2015 ▪ Worki
Slide 23: Corporate Social Responsibility
23 GRAN TIERRA ENERGY INC. Corporate Social Responsibility KEY TO SUCCESS CSR plan ongoing to deliver sustainable value to our stakeholders through responsible resource development. We are integrating economic, and social and environmentally beneficial practices into our business, underpinned by sha
Slide 24: Corporate Social Responsibility (cont'd.)
24 GRAN TIERRA ENERGY INC. Corporate Social Responsibility (cont’d.) A Shared Value Approach • R esponsible for delivering sustainable value to our stakeholders by integrating economic and social value and environmental best practices to our business • For the company to succeed, the community in wh
Slide 25: Capital Market Summary
25 GRAN TIERRA ENERGY INC. Capital Market Summary 1 Weighted average number of basic and diluted common and exchangeable shares outstanding for the year - ending December 31, 2014. 2 At December 31, 2014 including common shares, exchangeable shares, options and warrants currently exercisable or exer
Slide 26: 2015 Capital Program and Financial Position
26 GRAN TIERRA ENERGY INC. 2015 Capital Program and Financial Position *As announced in February 8, 2015 press release 2015 CAPITAL PROGRAM COLOMBIA : $66mm PERU : $45mm BRAZIL : $28mm $ 140 Million * includes $1mm in Corporate Activities No Debt
Slide 27: Calgary, Alberta address
27 GRAN TIERRA ENERGY INC. 200, 150 - 13th Avenue SW Calgary, Alberta, Canada T2R 0V2
Slide 28: Glossary of Terms
28 GRAN TIERRA ENERGY INC. Glossary of Terms bbl : Barrel BOE: Barrel of Oil Equivalent BOEPD Barrel of Oil Equivalent per Day bopd : Barrels of Oil per Day CAGR: Compounded Annual Growth LTT: Long - term Test MM: Million MMBO Million Barrels of Oil MMBOE: Million Barrels of Oil Equivalent MMcf : Mi
Slide 29: Appendix Contingent Resources Advisory
29 GRAN TIERRA ENERGY INC. Appendix Contingent Resources Advisory : On January 31 , 2015 , Gran Tierra received the draft results of a reserves estimate for Bretaña field in Peru, provided by its independent reserves auditor, GLJ Petroleum Consultants (“GLJ ”), in response to the drilling results of
Slide 30: Appendix Prospective Resources Advisory
30 GRAN TIERRA ENERGY INC. Appendix Prospective Resources Advisory: On January 29 , 2014 , Gran Tierra announced the results of a prospective resource estimate for its four largest prospects in Peru, provided by its independent reserves auditor, GLJ Petroleum Consultants (“GLJ”) effective October 1