Gran Tierra Energy Inc. · AMEX:GTE
Gran Tierra Energy — Investor Presentation (January 2008)
29 slides from Gran Tierra Energy's investor presentation, Jan 24, 2008
Slide 1: Corporate Presentation
GrantTierra energy inc. Corporate Presentation January, 2008
Slide 2: Disclaimer
) Disclaimer This presentation material contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The opinions, forecasts, projections, statements of resource potential or other
Slide 3: Gran Tierra Energy: International E&P Growth Story
Gran Tierra Energy International E & P Growth Story International oil and gas exploration and production company — OTC Bulletin Board: GTRE — Toronto Stock Exchange (TSX): Conditional approval attained, trading pending final approval Strategy: Acquire underdeveloped assets, create value by drilling
Slide 4: 2008 capital program focus on production growth
») Gran Tierra Energy International E & P Growth Story 2008 capital program focus on continued production growth: Converting new (2007) undeveloped reserves into developed producing reserves via drilling and infrastructure construction in Colombia Production 2008 Focus: Growth Million barrels of oil
Slide 5: Global Experience
)) Global Experience Management = Dana Coffield, PhD, President & CEO — Previously EnCana and ARCO. = Martin Eden, CFO — Previously Artumas, Nexen, Emst & Young = Max Wei, VP Operations — Previously EnCana, Occidental = Rafael Orunesu, President, GTE Argentina — Previously Pluspetrol and YPF = Eddie
Slide 6: Current Operations
) Current Operations Rew York ‘OTCaB-GTREOS Colombes exploration & production Pew exploration Argentina exploration & eresucton || Calgary — Corporate headquarters Colombia — Bogotd operating office — Working interests in 9 E&P Contracts, 3 producing — Alloperated by Gran Tierra — 2,700 BOPD net aft
Slide 7: Colombia — Land Position
Colombia — Land Position Putumayo and Magdalena Basins Rio Magdalena = Gran Tierra operator of all properties 1 Exploration Well Putumayo Basin (working interest %) — 35% Santana; light oil production — 35% Guayuyaco; light oil production — 50% Chaza; light oil production — 40% Azar; exploration — 1
Slide 8: Colombia: 2008 Development Activities
Colombia 2008 Development Activities Gran Tierra Energy Operated Acreage Other Operators @ OilFiela Budgeted 6 delineation & || New 6 km, 6" production line development wells y New 3-D seismic program F New 15 km, 8" production line “June 30, 2007 Costayaco-1, Chaza Block Tested 5,906 BOPD by natura
Slide 9: Colombia — Putumayo Basin: 2008 Exploration Activities
Colombia — Putumayo Basin 2008 Exploration Activities Gran Tierra Energy Orem Aoeage = Azar Block Ss a — New 40 km? 3-D seismic @ olFie acquired, one well workover Santana & scheduled, and one new Juanambu oll discovery Guanes ‘development exploration well budgeted Costayaco ol discovery = Putumayo
Slide 10: Argentina
Proa-1 Exploration Well oil productic = 100% Chivi ( i produ % Nacatimb: utin gas production = 100% Ipaguazu (GTRE Operator) explorati — erve and production base in ba: with significant growth opportunity oyalty): 600 Bi PD ally): 1.8 MMBO 2.8 MMBO 5.5 MMBO); June 30, 2007 418 gross acres (1,4 ffean
Slide 11: Argentina: 2008 Activities
Argentina 2008 Activiti Proa Prospect O gnuekeuss East Gran Tierra Energy Acreage Production enhancement and exploration Surubi Block — Proa-1 exploration well — Light oil exploration prospect Vinalar, Chivil and Palmar Largo Blocks — Fourteen oil well workovers: Valle Morado Block = Re-establish ga
Slide 12: Peru Block
= Block 122 — 100% Gran Tierra; oil exploration = 1,217,881 ac ‘foreland basin’ with prolific petroleum system + Significant players with productic (Pluspetrol), new field developments (Barrett), and exploration in adjacent blocks (ConocoPhill and Occidental)
Slide 13: Marañon Basin
) Marafion Basin Proven basin, new concept : = Gran Tierra Energy testing new >tBEO EUR - concept in Marafion Basin = Acreage on regional high (Iquitos Arch) adjacent to proven prolific petroleum system = Regional high acts as focal point for petroleum migration from adjacent basin = Analogous geolo
Slide 14: Financial Snapshot
) Financial Snapshot = Basic shares*— 95.8 million — Directors and officers: 17% — Institutional: Approximately 40% = Fully diluted shares — 134.7 million — 33.3 million warrants — 5.6 million stock options = Public Financings (registrations effective) — $12 million @ $0.80/share (2005); acquisition
Slide 15: Growth - Land
Growth - Land » 2005 2006 or Current Acreage : * 19 blocks in 3 countries gn — Argentina, Colombia and Peru Ey : = 18 operated by Gran Tierra wk r » 6.5 MM gross acres ‘ L ‘ — 5.9MM net acres 2 : it ee ee a ee soe ee ae As Operator, Gran Tierra Energy ‘790n.c00 = Manages operations = Manages budgets
Slide 16: Growth - Reserves
:) Growth - Reserves os 23.8 MMBO*** 20 g Net after royalty reserves s i (June 30, 2007) 3 = = 5.6 MMBO Proved 3 F = 7.0 MMBO Probable E ° 71MMBo" | |= * 11.2 MMBO Possible . 3 0.7 MMBO* é o 2005 2006 1H2007 1H2007 drilling additions From extemal reserve auditors: “Dec. 31, 2005 — Gaffney, Cline & A
Slide 17: Growth - Production
BOPD (net after royalty) Growth - Production December 2007 3,300 BOPD Exit Net after royalty (acquisitions) ions) 1005 2005 3005 4005 1006 2006 3006 4006 1007 2007 3007 Dec- o7
Slide 18: 2008 Drilling Program
)) 2008 Drilling Program = Convert 2007 reserve additions to Well workovers — Fourteen well workovers in Argentina 2008 production growth — Production base maintenance = Drilling budget of $26.6MM Delineation/development drilling = Contingent infrastructure budget of — Six development wells in Colom
Slide 19: Growth — Future potential
Growth — Future potential Oil Prospective Resource Potential 2 "|= 79 MMBO| ef : Prospective Resource Potential* i = = 16 MMBO = 61 prospects and leads = 79 MMBO unrisked (16 MMBO risked) = 336 BCFG unrisked (96 BCFG risked) = Charts exclude Peru; exploration play concept in Peru has unrisked prospe
Slide 20: Gran Tierra Energy: Base, 2008 Focus, Next Steps
) Gran Tierra Energy = Our Base Today — Established South American platform (Colombia, Argentina, Peru) — 19 blocks, 6.5 million gross acres, majority operated by Gran Tierra Energy — 3,300 BOPD net after royalty production (2007 exit rate) — 23.8 MMBO Proved, Probable and Possible reserves, net aft
Slide 21: Additional Information
) Additional Information
Slide 22: Colombian Operating Netbacks Per BO: ANH Contract
Colombian Operating Netbacks Per BO ANH Contract (Chaza - Costayaco) ») wtl $65.00 $80.00 $95.00 WTI Discount (1) $ 6.00 $ 6.00 $ 6.00 Royalty (8%) (2)(3) $ 4.72 $ 5.92 $ 7.12 34 party over-riding royalty $ 1.09 $ 1.36 $ 1.64 Economic Rights (acreage fee) $ 0.10 $ 0.10 $ 0.10 Operating costs (4) $4.
Slide 23: Colombian Operating Netbacks Per BO: Association Contract
) Colombian Operating Netbacks Per BO Association Contract (Juanambu) WTI $65.00 $80.00 $95.00 WTI Discount (1) $ 6.64 $ 6.64 $ 6.64 Royalty (8%) $ 4.67 $ 5.87 $ 7.07 3 party over-riding royalty $ 1.07 $: 1.35 $ 1.63 Operating costs (2) $ 4.29 $ 4.29 $ 4.29 Operating netback before tax $48.33 $61.85
Slide 24: Colombian Operating Netbacks Per BO: Risk Sharing Contract
») wrtl $65.00 WTI Discount (1) $ 7.57 Royalty (20%) $11.49 gn party over-riding royalty $ 0.92 Operating costs (2) $21.37 Operating netback before tax $23.66 Colombian income tax rates: 33% (from 2008 onwards) (1) Price offset for API, transportation, marketing, insurance (2) Excludes overhead Colo
Slide 25: Colombian Operating Netbacks Per Bbl: Guayuyaco
Colombian Operating Netbacks Per Bbl Association Contract (Guayuyaco) ») WTI $80.00 WTI Discount (1) $ 6.64 Royalty (8%) $ 5.87 3" party over-riding royalty $ 1.35 Operating costs (2) $15.88 Operating netback before tax $36.74 $50.26 $63.79 = Ecopetrol will receive additional profit share when cumul
Slide 26: Palmar Largo Argentina Operating Netbacks Per BO
») Palmar Largo Argentina Operating Netbacks Per BO WTl $65.00 $80.00 $95.00 WTI Discount (1) $25.33 $35.83 $47.08 Provincial Sales Tax (1.5%) $ 0.60 $ 0.66 $ 0.72 Royalty (12%) $ 4.38 $ 4.92 $ 537 Operating costs (2) $17.93 $17.93 $17.93 Operating netback before tax $16.76 $20.66 $23.90 Argentina i
Slide 27: Argentina Operating Netbacks Per BO: Chivil
Argentina Operating Netbacks Per BO Chivil WTI $65.00 $80.00 $95.00 WTI Discount (1) 325.3: $35.83 $47.08 Provincial Sales Tax (1.5%) $ 0.60 $ 0.66 $ 0.72 Royalty (12%) $ 4.34 $ 4.88 $ 5.33 Operating costs (2) $16.23 $16.23 $16.23 Operating netback before tax $18.50 $22.40 $25.64 Argentina income ta
Slide 28: Argentina Operating Netbacks Per BO: Vinalar
Argentina Operating Netbacks Per BO Vinalar wTl $65.00 $80.00 $95.00 WTI Discount (1) $25.22 $35.72 $46.97 Provincial Sales Tax (1.8%) $ 0.72 $ 0.80 $ 0.86 Royalty (12%) $ 4.55 $ 5.09 $ 5.54 3 party over-riding royalty (2.7%) $ 1.07 $ 1.20 $ 1.30 Operating costs (2) $12.84 $12.84 $12.84 Operating ne
Slide 29: Peru Fiscal Regime Summary
Peru Fiscal Regime Summary = Royalty-tax contract structure = Royalties Daily production Royalty % <5,000 bopd 5% ; 5,000-100,000, 5%-20% (sliding scale) >100,000 bopd 20% Transportation costs are deductible for royalty calculation = Income tax 30% Taxable income deductions: Royalty Operating costs
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