Gran Tierra Energy Inc. · AMEX:GTE
Gran Tierra Energy — Investor Presentation (March 2008)
29 slides from Gran Tierra Energy's investor presentation, Mar 7, 2008
Slide 1: Corporate Presentation
Grantlierra energy inc. Corporate Presentation March 7, 2008
Slide 2: Forward-looking statements
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 statements,
Slide 3: International E & P Growth Story
International E & P Growth Story D) Gran Tierra Energy = International oil and gas exploration and production company - Toronto Stock Exchange: GTE : - OTC Bulletin Board: GTRE = Strategy: — Balanced portfolio of production enhancement and exploration drilling opportunities — Lower risk, predictable
Slide 4: International E & P Growth Story: 2008 Focus
Gran Tierra Energy International E & P Growth Story = 2008 capital program ($46.7 million) focused on continued production growth: - Converting new (2007) undeveloped reserves into developed producing reserves and increased cash flow via drilling and infrastructure construction in Colombia 2008 Focu
Slide 5: Global Experience
> Global Experience Management = Dana Coffield, PhD, President & CEO - Previously EnCana and ARCO = Martin Eden, CFO - Previously Artumas, Nexen, Ernst & Young = Max Wei, VP Operations - Previously EnCana, Occidental = Rafael Orunesu, President, GTE Argentina - Previously Pluspetrol and YPF = Eddie
Slide 6: Current Operations
Current Operations Argentina exeloration & production Calgary Corporate headquarters Colombia Bogota operating office Working interests in 9 E&P Contracts, 3 producing All operated by Gran Tierra 2,700 BOPD net after royalty (2007 exit) plus exploration 1,191,498 gross acres (935,953 net) Argentina
Slide 7: Colombia: Rio Magdalena and Putumayo Basin
Rio Magdalena = Gran Tierra operator of all properties 4 Exploration Well Putumayo Basin (working interest %) — 35% Santana; light oil production — 35% Guayuyaco; light oil production = 50% Chaza; light oil production = 40% Azar; exploration — 15% Mecaya; exploration — 100% Putumayo A, technical eva
Slide 8: Colombia 2008 Development Activities
Colombia 2008 Development Activities Chaza Block — Gran Tierra Energy, 50% interest & Operator Costayaco-1 — Tested 5,906 BOPD [San Tiera Eneray Operated Acreage Other Operators — Currently producing 3,500 BOPD gross Gite = Costayaco-2 @ OllFe — Tested over 6,600 BOPD — Preparing for long term testi
Slide 9: Colombia blocks map and activities
? Other Operators @ OilFietd Juanambu oil discovery development Costayaco oil discovery development ana & jayuyaco Azar Block — New 40 km? 3-D seismic acquired, one well workover scheduled, and one new exploration well budgeted Putumayo A and B TEA’s — Seismic reprocessing and geologic studies, pros
Slide 10: Argentina lands
= Gran Tierra lands (w — 14% Palmar Largo 100% Chiv light oil pro — 100% Nacatimbay (GTRE Oper shut-in gas production — 100% Santa Victoria (6 exploration — 100% Surubi (GTRE C exploration = Reserve and production base in basin wi it growth oppor 1 signific — Produc (200: Exploration Well 2Q08 ids h
Slide 11: Argentina 2008 Activities
Argentina 2008 Activities Production enhancement (14 workovers) Préa and 1 exploration well Prospect O Surubi Block Exploration Well = a 2 Sees - Proa-1 exploration well a — Light oil exploration prospect = Vinalar, Chivil and Palmar Largo Blocks — Fourteen oil well workovers * Valle Morado Block -
Slide 12: Peru work commitments
. nitments (per block) — 4 exploration periods over 7 years ations ar jed and include — Work oblig gravity & magnetic data seismic acquisition cquisition, exploration arilling t — Contract term of 30 years quits eer a = Frontier exploration on flank ‘foreland basin’ with prolific petroleum system Si
Slide 13: Peru airborne gravity and magnetic data
inition airborne gr tic data currently
Slide 14: Financial Snapshot at end 3Q2007
) Financial Snapshot at end 3Q2007 = 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 (200
Slide 15: Gross Acres
Gross Acres 2005 2006 1HO7 # Blocks ton 2005 3005 ses too a dota Colombia 4,000,009 {$$$} Argentina Current Acreage = 19 blocks in 3 countries - Argentina, Colombia and Peru = 18 operated by Gran Tierra = 6.3 MM gross acres - 5.7 MMnet acres As Operator, Gran Tierra Energy = Manages operations Manag
Slide 16: Growth - Reserves
D) Growth - Reserves Million barrels of oil 16.5 MMBO*** 7.1 MMBO** Probable 0.7 MMBO* 2005 2006 From external reserve auditors: *Dec. 31, 2005 — Gaffney, Cline & Associates “Dec. 31, 2006 — Gaffney, Cline & Associates 2007 Net after royalty reserves (Dec. 31, 2007) = 6.4 MMBO Proved = 5.1 MMBO Prob
Slide 17: Growth - Production
> Growth - Production — 2005 2006 2007 December 2007 3500 - 3,300 BOPD Exit Net after royalty 3000 2500 2000 Colombia 5 Colombia Ane) (acquisitions) Argentina (acquisitions) BOPD (net after royalty) 1005 2Q05 3Q05 4Q05 1006 2Q06 3006 4Q06 1Q07 2Q07 3Q07 Dec- o7
Slide 18: 2008 Drilling Program
D 2008 Drilling Program " Convert 2007 reserve additions to = Well WarkONers - Fourteen well workovers in Argentina 2008 production growth - Production base maintenance = Drilling budget of $26.6MM = Delineation/development drilling * Contingent infrastructure budget of = “Sik development wells In'C
Slide 19: Growth - Future potential
) Growth — Future potential Oil Prospective Resource Potential 9 MMBO Prospective Resource Potential* ition Barels Oi eskebeaaee TETHMES) = 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 un
Slide 20: Gran Tierra Energy: Base Today, 2008 Focus, Next Steps
Gran Tierra Energ = Our Base Today Established South American platform (Colombia, Argentina, Peru) 19 blocks, 6.3 million gross acres, majority operated by Gran Tierra Energy 3,300 BOPD net after royalty production (2007 exit rate) 16.5 MMBO Proved, Probable and Possible reserves, net after royalty
Slide 21: Additional Information
) Additional Information 20
Slide 22: Colombian Operating Netbacks Per BO: ANH Contract
Colombian Operating Netbacks Per BO ANH Contract (Chaza - Costayaco) WTI $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) $417 $
Slide 23: Colombian Operating Netbacks Per BO: Association Contract
Colombian Operating Netbacks Per BO Association Contract (Juanambu) WTl $65.00 $80.00 $95.00 WTI Discount (1) $ 6.64 $ 6.64 $ 6.64 Royalty (8%) $ 4.67 $ 5.87 $ 7.07 3'4 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
Colombian Operating Netbacks Per BO Risk Sharing Contract (Santana) WTl $65.00 $80.00 $95.00 WTI Discount (1) $ 7.57 $ 7.57 $ 7.57 Royalty (20%) $11.49 $14.49 $17.49 31 party over-riding royalty $ 0.92 $ 1.16 $ 1.40 Operating costs (2) $21.37, $21.37, $21.37 Operating netback before tax $23.66 $35.4
Slide 25: Colombian Operating Netbacks Per Bbl: Guayuyaco
Colombian Operating Netbacks Per Bbl Association Contract (Guayuyaco) wTl $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) $15.88 $15.88 $15.88 Operating netback before tax $36.74 $50.2
Slide 26: Argentina Operating Netbacks Per BO: Palmar Largo
Argentina Operating Netbacks Per BO Palmar Largo WTI $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 $ 5.37 Operating costs (2) $17.93 $17.93 $17.93 Operating netback before tax $16.76 $20.66 $23.90 Argentina inc
Slide 27: Argentina Operating Netbacks Per BO: Chivil
Argentina Operating Netbacks Per BO Chivil 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%) $ 4.88 $ 5.33 Operating costs (2) $16.23 $16.23 Operating netback before tax $18.50 $22.40 $25.64 Argentina income tax rates: 35% (
Slide 28: Argentina Operating Netbacks Per BO: Vinalar
Argentina Operating Netbacks Per BO Vinalar WTI $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 Operatin
Slide 29: Peru Fiscal Regime Summary
Peru Fiscal Regime Summary = Royalty-tax contract structure = Royalties Daily production Royalty % <5,000 bopd- 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 D
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