Gran Tierra Energy’s 2025 capital budget and production guidance forecasts capital expenditure of between $240m (C$343.91m) and $280m.
It expects cash flow from operating activities to be in the range of $260m–300m for 2025.
Building on the momentum of 2024, Gran Tierra plans to continue adding new reserves and investing in infrastructure projects to maximise recovery and minimise costs.
The company has allocated 55% of its capital programme to Colombia, 30% to Ecuador and 15% to Canada.
The 2025 capital programme includes the drilling of 10–14 development wells and six to eight exploration wells.
Gran Tierra plans to drill five to seven gross development wells in the Cohembi oil field in the Southern Putumayo Basin in Columbia. Facility expansions and social investment are also expected in the region.
The company will work on field optimisation through waterflood expansion activities, facility expansions and gas-to-power generation upgrades in Acordionero.
In Ecuador, two to three appraisal wells are planned on the Arawana/Zabaleta productive trend.
In Canada, Gran Tierra is targeting two-layer co-development of the Lower and Middle Montney with 2.5 net wells at Simonette.
Gran Tierra's 2025 production forecast ranges from 47,000 to 53,000 barrels of oil equivalent per day (boe/d), a 44% increase from the 34,710boe/d achieved in 2024.
The company also forecasts free cash flow of $90m before exploration and $20m after exploration in the base case scenario.
Gran Tierra's focus remains on generating free cash flow, reducing net debt and returning value to shareholders through share buybacks, with up to 50% of its free cash flow after exploration earmarked for this purpose in 2025.
Gran Tierra president and CEO Gary Guidry said: “Following up on a strong 2024, which included a very successful exploration campaign and a new country entry into Canada, we are looking forward to our 2025 development and exploration programme. Our 2025 budget, which is expected to be fully funded by cash flow, takes a balanced, returns-focused approach to capital allocation while focusing on portfolio longevity.
“We plan to focus on profitably growing reserves and production across our Colombian, Ecuadorian and Canadian assets, pursue high impact exploration throughout our portfolio, and invest in facility and infrastructure projects to maximise the long-term value of our assets.”
Guidry added: “We believe Gran Tierra is strongly positioned with a low base decline, a robust portfolio of conventional and unconventional oil and gas assets, and a high-impact exploration programme.”
