Peru Reserves to be Adjusted Downward
Following Negative Well Results After Year-end; Oil Reserves in
Colombia and Brazil Increase After
Producing 9.1 MMbbl (Working Interest) Oil in 2014
CALGARY, Feb. 2, 2014
/CNW/ - Gran Tierra Energy Inc. ("Gran Tierra Energy") (NYSE
MKT: GTE; TSX: GTE), a company focused on oil
exploration and production in South
America, today announced the results of an independent
reserve evaluation of the company's reserves by Gran Tierra
Energy's qualified reserve evaluator GLJ Petroleum Consultants Ltd.
("GLJ") effective December 31, 2014.
Through continued strong reservoir management and appraisal
drilling in Colombia and
Brazil in 2014, Gran Tierra Energy
has achieved another successful year of replacing production and
adding reserves. However in Peru,
negative well results after year-end will result in reserves being
revised downward. The results of our development program in the
Moqueta field in Colombia have
been encouraging, adding approximately 14% to our existing Proved
("1P") company interest reserves in that country. Reservoir
performance and additional development drilling contributed to
positive 1P reserves technical adjustments at Costayaco. In
Brazil, due to new production from
the Agua Grande formation, results of seismic reprocessing and
additional reservoir volume in the Sergi formation, Gran Tierra
Energy successfully increased 1P reserves in that country by 68%.
Although 2014 Proved plus Probable ("2P") and Proved plus
Probable plus Possible ("3P") reserves also appear to have
increased at year-end, new drilling data from the Bretaña field in
Peru subsequent to year-end
indicate that the 2P reserves and 3P reserves associated with that
field will be reduced after year-end. A new reserve report for the
Bretaña field is expected before the end of the first quarter, once
new maps, reservoir rock volumes and related data are integrated
and evaluated.
Year-end 2014 highlights, calculated in accordance with United
States Securities and Exchange Commission ("SEC") rules
(comparisons are to 2013 year-end amounts):
- In Peru, as announced on
January 20, 2015, Gran Tierra Energy
expects the Bretaña Sur well results will remove all Possible
reserves associated with the southern L4 lobe of the Bretaña field
booked at year-end 2014. A reduction in Probable reserves in
the field is also expected, the magnitude of which is unknown at
the moment. A new reserve report for the Bretaña field will be
provided after analyzing new vertical seismic profile data from the
new well, to reconcile the unexpected time-depth conversion
encountered by the well against the time-depth conversion from the
previous four wells in the Bretaña field that was used for the
pre-drill seismic mapping. The new reserve report
incorporating the new mapping and reservoir characterization is
expected before the end of the first quarter;
- Total 1P oil and gas reserves net after royalty ("NAR")
were 37.0 million barrels of oil equivalent ("MMBOE") at
December 31, 2014, compared with 42.1
MMBOE in 2013 (100% light and medium oil and liquids compared with
95% at year-end 2013), and after producing 9.2 MMBOE of company
interest oil and gas before royalties, inventory adjustments and
losses or 7.0 MMBOE NAR before inventory adjustments and losses,
excluding Argentina production.
The decrease was primarily due to the sale of Gran Tierra Energy's
Argentina business unit during
2014 which contributed 4.4 MMBOE NAR of 1P oil and gas reserves at
December 31, 2013;
- After producing 1.7 million barrels of oil ("MMbbl") NAR
before inventory adjustments from the Moqueta field in Colombia in 2014, appraisal drilling resulted
in increased 1P reserves of 14% to 15.5 MMbbl, 2P reserves
increased by 20% to 23.2 MMbbl and 3P reserves increased by 17% to
33.6 MMbbl on a company interest basis, and 1P reserves increased
to 11.1 MMbbl, 2P reserves increased to 16.6 MMbbl and 3P reserves
increased to 23.9 MMbbl, each on a NAR basis;
- The Costayaco field in Colombia continued its strong
performance. Costayaco 1P reserves decreased to 19.1 MMbbl
NAR at year-end 2014 from 20.2 MMbbl NAR at year-end 2013, after
production of 4.2 MMbbl NAR before inventory adjustments in
2014;
- In Brazil, due to new
production from the Agua Grande formation, results of seismic
reprocessing, and additional reservoir volume in the Sergi
formation, Gran Tierra Energy successfully increased 1P
reserves by 68%;
- Total 2P reserves NAR were 108.5 MMBOE at December 31, 2014, compared with 111.9 MMBOE in
2013 (99% oil and liquids compared with 97% at year-end
2013), prior to adjusting for the sale of the Argentina business unit, which had contributed
6.4 MMBOE NAR of 2P oil and gas reserves at December 31, 2013. Total 2P reserves are expected
to be adjusted downward with release of the new Bretaña reserve
report before the end of the first quarter;
- Total 3P reserves NAR were 170.3 MMBOE at December 31, 2014, compared with 183.9 MMBOE in
2013 (99% oil and liquids compared with 94% at year-end 2013). The
Argentina business unit
contributed 16.7 MMBOE NAR of 3P oil and gas reserves at
December 31, 2013. Total 3P reserves
are expected to be adjusted downward with release of revised
Bretaña reserves within a month;
- In Peru, the Bretaña field
contributed 2P reserves of 57.9 MMbbl NAR and 3P reserves of 104.4
MMbbl NAR. These are expected to be adjusted downward with release
of a new Bretaña reserve report before the end of the first
quarter;
- Based on Gran Tierra Energy's 2014 year-end SEC NAR reserves
and Gran Tierra Energy's 2014 total NAR production, Gran
Tierra Energy's 1P, 2P, and 3P reserves life indices are 5.3 years,
15.4 years, and 24.2 years respectively; The 2P and 3P
reserve life indices are expected to be adjusted downward with
release of the new Bretaña reserve report before the end of the
first quarter;
- Annual production for 2014, excluding Argentina production, averaged
25,182 company interest barrels of oil equivalent per day
("BOEPD") before royalties, or 19,283 BOEPD NAR, both before
inventory adjustments, or 18,523 BOEPD NAR adjusted for inventory
changes and losses, including 17,619 BOEPD NAR from Colombia, and 904 BOPD NAR from Brazil.
Production in the fourth quarter of 2014 was 18,953 BOEPD NAR
before inventory adjustments or 17,169 BOEPD NAR adjusted for
inventory changes and losses.
All reserves values contained in the 2014 highlights provided
above have been calculated using SEC rules at December 31, 2014. For reserves values
calculated in compliance with Canadian National Instrument 51-101 –
Standards of Disclosure for Oil and Gas Activities ("NI
51-101") and the Canadian Oil and Gas Evaluation Handbook
("COGEH"), see "Reserves Reported in Accordance with
Canadian Reporting Requirements" below in this press release. All
dollar ($) amounts referred to in this press release are
United States (U.S.) dollars,
unless otherwise indicated.
Reserves Reported in Accordance with United States Reporting
Requirements
The following reserves are reported consistent with United
States SEC rules.
Total Company
The following three tables summarize Gran Tierra Energy's
year-end 2014 company interest reserves and NAR reserves
(calculated using average start-of-month 2014 oil and gas prices).
Also shown in the following tables are Gran Tierra Energy's NAR
reserves for year-end 2013 (calculated using average start-of-month
2013 oil and gas prices).
|
|
Total
Company
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Oil
and Liquids
(SEC
Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
49,698
|
36,880
|
|
39,846
|
|
Total
Probable
|
78,790
|
70,857
|
|
68,850
|
|
Total Proved plus
Probable
|
128,488
|
107,737
|
|
108,696
|
|
Total
Possible
|
70,910
|
61,425
|
|
63,650
|
|
Total Proved plus
Probable plus Possible
|
199,398
|
169,162
|
|
172,346
|
*Mbbl (thousand barrels of oil).
|
|
Total
Company
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Gas
(SEC
Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MMcf
**
|
MMcf
**
|
MMcf
**
|
|
Total
Proved
|
1,081
|
983
|
13,453
|
|
Total
Probable
|
3,822
|
3,367
|
5,532
|
|
Total Proved plus
Probable
|
4,903
|
4,350
|
18,985
|
|
Total
Possible
|
3,152
|
2,549
|
50,313
|
|
Total Proved plus
Probable plus Possible
|
8,055
|
6,899
|
69,298
|
**MMcf (million cubic feet)
|
|
|
|
|
Total
Company
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
BOE
(SEC
Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MBOE
***
|
MBOE
***
|
MBOE
***
|
|
Total
Proved
|
49,879
|
37,044
|
42,088
|
|
Total
Probable
|
79,427
|
71,418
|
69,772
|
|
Total Proved plus
Probable
|
129,306
|
108,462
|
111,860
|
|
Total
Possible
|
71,435
|
61,850
|
72,036
|
|
Total Proved plus
Probable plus Possible
|
200,741
|
170,312
|
183,896
|
***MBOE (thousands of barrels of oil equivalent)
New drilling data from the Bretaña Sur (L-4) well drilled
subsequent to year-end indicates the 3P reserves and 2P reserves
associated with the Bretaña field in Peru will be reduced, resulting in a
proportional negative impact to total Company reserves in those
categories. A new reserve report for the Bretaña field is
expected before the end of the first quarter once new maps,
reservoir rock volumes, and related data are integrated and
evaluated.
Colombia
Gran Tierra Energy's Colombia
year-end 2014 company interest and NAR reserves are shown in the
following two tables (calculated using average start-of-month 2014
oil and gas prices). Also shown in the following two tables is Gran
Tierra Energy's Colombian NAR reserves for year-end 2013
(calculated using average start-of-month 2013 oil and gas
prices).
- Costayaco reservoir performance and additional development
drilling contributed to positive technical adjustments in the 1P,
2P and 3P categories.
- Moqueta delineation drilling added 1P, 2P and 3P reserves. The
Moqueta-13, -15, -16 and -17 wells were successfully drilled, with
Moqueta-13 and -15 currently on production.
|
|
|
|
|
Colombia
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Oil and
Liquids
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
46,427
|
34,044
|
34,559
|
|
Total
Probable
|
15,374
|
11,311
|
8,084
|
|
Total Proved plus
Probable
|
61,801
|
45,355
|
42,643
|
|
Total
Possible
|
17,413
|
12,579
|
12,458
|
|
Total Proved plus
Probable plus Possible
|
79,214
|
57,934
|
55,101
|
|
|
|
|
|
|
|
|
|
|
|
Colombia
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Gas
(SEC
Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MMcf
**
|
MMcf
**
|
MMcf
**
|
|
Total
Proved
|
1,081
|
983
|
8,776
|
|
Total
Probable
|
1,341
|
1,199
|
2,372
|
|
Total Proved plus
Probable
|
2,422
|
2,182
|
11,148
|
|
Total
Possible
|
1,810
|
1,376
|
3,325
|
|
Total Proved plus
Probable plus Possible
|
4,232
|
3,558
|
14,473
|
|
|
|
|
|
|
|
|
|
Colombia
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
BOE
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MBOE
***
|
MBOE
***
|
MBOE
***
|
|
Total
Proved
|
46,607
|
34,208
|
36,022
|
|
Total
Probable
|
15,597
|
11,511
|
8,479
|
|
Total Proved plus
Probable
|
62,204
|
45,719
|
44,501
|
|
Total
Possible
|
17,715
|
12,808
|
13,012
|
|
Total Proved plus
Probable plus Possible
|
79,919
|
58,527
|
57,513
|
Gran Tierra Energy's Costayaco and Moqueta fields' 2014 year-end
company interest and NAR reserves are shown in the following two
tables (calculated using average start-of-month 2014 oil prices).
Also shown in the following two tables is Gran Tierra Energy's
Costayaco and Moqueta field NAR reserves for year-end 2013
(calculated using average start-of-month 2013 oil prices).
|
|
|
|
|
Costayaco
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Light and Medium
Oil
(SEC
Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
26,517
|
19,059
|
20,194
|
|
Total
Probable
|
5,365
|
3,853
|
2,326
|
|
Total Proved plus
Probable
|
31,882
|
22,912
|
22,520
|
|
Total
Possible
|
4,414
|
3,145
|
3,868
|
|
Total Proved plus
Probable plus Possible
|
36,296
|
26,057
|
26,388
|
|
|
|
|
|
|
|
|
|
|
|
Moqueta
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Light and Medium
Oil
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
15,474
|
11,110
|
10,021
|
|
Total
Probable
|
7,760
|
5,501
|
4,108
|
|
Total Proved plus
Probable
|
23,234
|
16,611
|
14,129
|
|
Total
Possible
|
10,346
|
7,321
|
6,547
|
|
Total Proved plus
Probable plus Possible
|
33,580
|
23,932
|
20,676
|
Peru
Gran Tierra Energy's Peru 2014
year-end company interest and NAR reserves are shown in the
following table (calculated using average start-of-month 2014 oil
prices). Also shown in the following table is Gran Tierra Energy's
Peru NAR reserves for year-end 2013 (calculated using average
start-of-month 2013 oil prices).
- Reserves in Peru are
associated with the Bretaña field on Block 95. New drilling data
from the Bretaña Sur (L-4) well drilled subsequent to year-end
indicates the 3P reserves and 2P reserves associated with the
Bretaña field will be reduced. At this time, Gran Tierra Energy is
unable to reasonably and accurately estimate the extent of the
reduction or the corresponding impact on the Company's reserve
estimates. A new reserve report for the Bretaña field is
expected before the end of the first quarter once new maps,
reservoir rock volumes, and related data are integrated and
evaluated.
|
|
|
|
|
Peru
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Heavy Oil and
Liquids
(SEC
Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
—
|
—
|
—
|
|
Total
Probable
|
61,527
|
57,873
|
57,635
|
|
Total Proved plus
Probable
|
61,527
|
57,873
|
57,635
|
|
Total
Possible
|
50,807
|
46,495
|
47,042
|
|
Total Proved plus
Probable plus Possible
|
112,334
|
104,368
|
104,677
|
Argentina
On June 25, 2014, Gran Tierra
Energy sold its Argentina business
unit to Madalena Energy Inc. ("Madalena") for aggregate
consideration of $69.3 million,
comprising $55.4 million in cash and
$13.9 million in Madalena shares.
Gran Tierra Energy's Argentina
company interest and NAR reserves are shown in the following two
tables (calculated using average start-of-month 2013 oil and gas
prices).
|
|
|
|
|
Argentina
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Oil and
Liquids
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
—
|
—
|
3,604
|
|
Total
Probable
|
—
|
—
|
1,774
|
|
Total Proved plus
Probable
|
—
|
—
|
5,378
|
|
Total
Possible
|
—
|
—
|
2,590
|
|
Total Proved plus
Probable plus Possible
|
—
|
—
|
7,968
|
|
|
|
|
|
|
|
|
|
Argentina
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Gas
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MMcf
**
|
MMcf
**
|
MMcf
**
|
|
Total
Proved
|
—
|
—
|
4,677
|
|
Total
Probable
|
—
|
—
|
1,701
|
|
Total Proved plus
Probable
|
—
|
—
|
6,378
|
|
Total
Possible
|
—
|
—
|
46,215
|
|
Total Proved plus
Probable plus Possible
|
—
|
—
|
52,593
|
|
|
|
|
|
|
|
|
|
Argentina
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
BOE
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MBOE
***
|
MBOE
***
|
MBOE
***
|
|
Total
Proved
|
—
|
—
|
4,384
|
|
Total
Probable
|
—
|
—
|
2,058
|
|
Total Proved plus
Probable
|
—
|
—
|
6,442
|
|
Total
Possible
|
—
|
—
|
10,293
|
|
Total Proved plus
Probable plus Possible
|
—
|
—
|
16,735
|
Brazil
Gran Tierra Energy's Brazil
company interest and NAR reserves are shown in the following two
tables (calculated using average start-of-month 2014 oil and gas
prices). Also shown in the following table is Gran Tierra Energy's
Brazil NAR reserves for year-end 2013 (calculated using average
start-of-month 2013 oil prices).
- Positive technical adjustments were given on a 1P, 2P and 3P
basis at the Tiê field due to the successful dual completion
program (GTE-3 and GTE-4) and the acid stimulation treatment of the
Agua Grande formation.
|
|
|
|
|
Brazil
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Oil and
Liquids
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
3,271
|
2,836
|
1,683
|
|
Total
Probable
|
1,889
|
1,673
|
1,357
|
|
Total Proved plus
Probable
|
5,160
|
4,509
|
3,040
|
|
Total
Possible
|
2,690
|
2,351
|
1,560
|
|
Total Proved plus
Probable plus Possible
|
7,850
|
6,860
|
4,600
|
|
|
|
|
|
|
|
|
|
Brazil
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Gas
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MMcf
**
|
MMcf
**
|
MMcf
**
|
|
Total
Proved
|
—
|
—
|
—
|
|
Total
Probable
|
2,481
|
2,168
|
1,459
|
|
Total Proved plus
Probable
|
2,481
|
2,168
|
1,459
|
|
Total
Possible
|
1,342
|
1,173
|
773
|
|
Total Proved plus
Probable plus Possible
|
3,823
|
3,341
|
2,232
|
|
|
|
|
|
|
|
|
|
Brazil
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
BOE
(SEC Compliant)
|
Gran Tierra
Energy
Company Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MBOE
***
|
MBOE
***
|
MBOE
***
|
|
Total
Proved
|
3,271
|
2,836
|
1,683
|
|
Total
Probable
|
2,303
|
2,034
|
1,600
|
|
Total Proved plus
Probable
|
5,574
|
4,870
|
3,283
|
|
Total
Possible
|
2,914
|
2,547
|
1,689
|
|
Total Proved plus
Probable plus Possible
|
8,488
|
7,417
|
4,972
|
Reserves Reported in Accordance with Canadian Reporting
Requirements
The following reserves estimates are compliant with NI 51-101
and COGEH (with forecasted oil and gas prices and costs).
Please refer to the GLJ website at
www.gljpc.com/commodity-price-forecasts for forecasted oil and gas
prices.
Total Company
|
|
|
|
|
Total
Company
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Oil and
Liquids
(COGEH
compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
48,920
|
37,337
|
39,504
|
|
Total
Probable
|
78,749
|
70,843
|
69.178
|
|
Total Proved plus
Probable
|
127,669
|
108,180
|
108,682
|
|
Total
Possible
|
71,445
|
61,667
|
63.471
|
|
Total PPP
|
199,114
|
169,847
|
172,153
|
|
|
|
|
|
Total
Company
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Gas
(COGEH
compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MMcf
**
|
MMcf
**
|
MMcf
**
|
|
Total
Proved
|
1,081
|
983
|
13,252
|
|
Total
Probable
|
3,699
|
3,260
|
5,694
|
|
Total Proved plus
Probable
|
4,780
|
4,243
|
18,946
|
|
Total
Possible
|
3,144
|
2,564
|
50,308
|
|
Total Proved plus
Probable plus Possible
|
7,924
|
6,807
|
69,254
|
|
|
|
|
|
|
|
|
|
Total
Company
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
BOE
(COGEH
compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MBOE
***
|
MBOE
***
|
MBOE
***
|
|
Total
Proved
|
49,100
|
37,501
|
41,713
|
|
Total
Probable
|
79,366
|
71,386
|
70,127
|
|
Total Proved plus
Probable
|
128,466
|
108,887
|
111,840
|
|
Total
Possible
|
71,969
|
62,095
|
71,855
|
|
Total Proved plus
Probable plus Possible
|
200,435
|
170,982
|
183,695
|
New drilling data from the Bretaña Sur (L-4) well drilled
subsequent to year-end indicates the 3P reserves and 2P reserves
associated with the Bretaña field in Peru will be reduced, resulting in a
proportional negative impact to total Company reserves in those
categories. At this time Gran Tierra Energy is unable to reasonably
and accurately estimate the extent of the reduction or the
corresponding impact on the Company's reserves estimates. A
new reserve report for the Bretaña field is expected before the end
of the first quarter once new maps, reservoir rock volumes, and
related data are integrated and evaluated.
Colombia
Gran Tierra Energy's year-end 2014 Colombia working interest and
NAR liquid reserves are shown in the following table (NI 51-101
compliant with forecast oil price and cost). Also shown in the
following table are Gran Tierra Energy's Colombian NAR reserves for
year-end 2013 (NI 51-101 compliant with forecast oil price and
cost).
|
|
|
|
|
Colombia
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Oil and
Liquids
(COGEH compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
45,649
|
34,513
|
34,170
|
|
Total
Probable
|
15,434
|
11,598
|
8,705
|
|
Total Proved plus
Probable
|
61,083
|
46,111
|
42,875
|
|
Total
Possible
|
17,963
|
13,322
|
12,737
|
|
Total Proved plus
Probable plus Possible
|
79,046
|
59,433
|
55,612
|
Gran Tierra Energy's year-end 2014 Colombia working interest and
NAR gas reserves are shown in the following table (NI 51-101
compliant with forecast gas price and cost). Also shown in the
following table are Gran Tierra Energy's Colombian NAR reserves for
year-end 2013 (NI 51-101 compliant with forecast gas price and
cost).
|
|
|
|
|
Colombia
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Gas
(COGEH compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MMcf
**
|
MMcf
**
|
MMcf
**
|
|
Total
Proved
|
1,081
|
983
|
8,510
|
|
Total
Probable
|
1,269
|
1,146
|
2,575
|
|
Total Proved plus
Probable
|
2,350
|
2,129
|
11,085
|
|
Total
Possible
|
1,810
|
1,403
|
3,329
|
|
Total Proved plus
Probable plus Possible
|
4,160
|
3,532
|
14,414
|
Gran Tierra Energy's Costayaco and Moqueta fields' 2014 year-end
working interest and NAR reserves are shown in the following two
tables (with forecast oil price and cost). Also shown in the
following tables are Gran Tierra Energy's Costayaco and Moqueta
field NAR reserves for year-end 2013 (NI 51-101 compliant with
forecast oil price and cost). The estimate of reserves for
individual properties may not reflect the same confidence level as
estimates of reserves for all properties due to the effects of
aggregation.
|
|
|
|
|
Costayaco
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Light and Medium
Oil
(COGEH
compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
26,006
|
19,347
|
20,290
|
|
Total
Probable
|
5,375
|
3,950
|
2,367
|
|
Total Proved plus
Probable
|
31,381
|
23,297
|
22,657
|
|
Total
Possible
|
4,916
|
3,687
|
3,962
|
|
Total Proved plus
Probable plus Possible
|
36,297
|
26,984
|
26,619
|
|
|
|
|
|
|
Moqueta
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Light and Medium
Oil
(COGEH compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
15,301
|
11,355
|
9,999
|
|
Total
Probable
|
7,933
|
5,787
|
4,363
|
|
Total Proved plus
Probable
|
23,234
|
17,142
|
14,362
|
|
Total
Possible
|
10,346
|
7,447
|
6,691
|
|
Total Proved plus
Probable plus Possible
|
33,580
|
24,589
|
21,053
|
|
|
|
|
|
Peru
Gran Tierra Energy's Peru 2014
year-end working interest and NAR reserves are shown in the
following table (with forecast oil price and cost).Also shown in
the following table is Gran Tierra Energy's Peru NAR reserves for
year-end 2013 (NI 51-101 compliant with forecast oil price and
cost). New drilling data from the Bretaña Sur (L-4) well drilled
subsequent to year-end indicates the 3P reserves and 2P reserves
associated with the Bretaña field will be reduced. At this time
Gran Tierra Energy is unable to reasonably and accurately estimate
the extent of the reduction or the corresponding impact on the
Company's reserves estimates. A new reserve report for the Bretaña
field is expected before the end of the first quarter once new
maps, reservoir rock volumes, and related data are integrated and
evaluated.
|
|
|
|
|
Peru
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Heavy Oil and
Liquids
(COGEH
compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
—
|
—
|
—
|
|
Total
Probable
|
61,527
|
57,669
|
57,391
|
|
Total Proved plus
Probable
|
61,527
|
57,669
|
57,391
|
|
Total
Possible
|
50,807
|
46,017
|
46,632
|
|
Total Proved plus
Probable plus Possible
|
112,334
|
103,686
|
104,023
|
Argentina
On June 25, 2014, Gran Tierra
Energy sold its Argentina business
unit to Madalena. Gran Tierra Energy's Argentina year-end 2013 working interest and
NAR liquid reserves are shown in the following table (NI 51-101
compliant with forecast oil price and cost).
|
|
|
|
|
Argentina
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Oil and
Liquids
(COGEH compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
—
|
—
|
3,680
|
|
Total
Probable
|
—
|
—
|
1,761
|
|
Total Proved plus
Probable
|
—
|
—
|
5,441
|
|
Total
Possible
|
—
|
—
|
2,594
|
|
Total Proved plus
Probable plus Possible
|
—
|
—
|
8,035
|
Gran Tierra Energy's Argentina
year-end 2014 working interest and NAR gas reserves are shown in
the following table (NI 51-101 compliant with forecast gas price
and cost). Also shown in the following table is Gran Tierra
Energy's Argentina NAR reserves for year-end 2013 (NI 51-101
compliant with forecast gas price and cost).
|
|
|
|
|
Argentina
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Gas
(COGEH compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MMcf
**
|
MMcf
**
|
MMcf
**
|
|
Total
Proved
|
—
|
—
|
4,742
|
|
Total
Probable
|
—
|
—
|
1,692
|
|
Total Proved plus
Probable
|
—
|
—
|
6,434
|
|
Total
Possible
|
—
|
—
|
46,232
|
|
Total Proved plus
Probable plus Possible
|
—
|
—
|
52,666
|
|
|
|
|
|
|
|
|
|
Argentina
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
BOE
(COGEH compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
MBOE
***
|
MBOE
***
|
MBOE
***
|
|
Total
Proved
|
—
|
—
|
4,470
|
|
Total
Probable
|
—
|
—
|
2,043
|
|
Total Proved plus
Probable
|
—
|
—
|
6,513
|
|
Total
Possible
|
—
|
—
|
10,299
|
|
Total Proved plus
Probable plus Possible
|
—
|
—
|
16,812
|
Brazil
Gran Tierra Energy's Brazil
year-end 2014 working interest and NAR liquid reserves are shown in
the following table (NI 51-101 compliant with forecast oil price
and cost).
|
|
|
|
|
Brazil
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Oil and
Liquids
(COGEH compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
3,271
|
2,824
|
1,654
|
|
Total
Probable
|
1,788
|
1,576
|
1,321
|
|
Total Proved plus
Probable
|
5,059
|
4,400
|
2,975
|
|
Total
Possible
|
2,675
|
2,329
|
1,508
|
|
Total Proved plus
Probable plus Possible
|
7,734
|
6,729
|
4,483
|
Gran Tierra Energy's Brazil
year-end 2014 working interest and NAR gas reserves are shown in
the following table (NI 51-101 compliant with forecast gas price
and cost).
|
|
|
|
|
Brazil
|
2014
Year-End
|
2014
Year-End
|
2013
Year-End
|
|
Gas
(COGEH compliant)
|
Gran Tierra
Energy
Working Interest
Reserves
|
Gran Tierra
Energy
NAR Reserves
|
Gran Tierra
Energy
NAR Reserves
|
|
Reserves
Category
|
Mbbl
*
|
Mbbl
*
|
Mbbl
*
|
|
Total
Proved
|
—
|
—
|
—
|
|
Total
Probable
|
2,430
|
2,114
|
1,427
|
|
Total Proved plus
Probable
|
2,430
|
2,114
|
1,427
|
|
Total
Possible
|
1,334
|
1,161
|
747
|
|
Total Proved plus
Probable plus Possible
|
3,764
|
3,275
|
2,174
|
About Gran Tierra Energy Inc.
Gran Tierra Energy Inc. is an international oil and gas
exploration and production company, headquartered in Calgary, Canada, incorporated in the United States, trading on the NYSE MKT
Exchange (GTE) and the Toronto Stock Exchange (GTE), and operating
in South America. Gran Tierra
Energy holds interests in producing and prospective properties in
Colombia, Peru and Brazil. Gran Tierra Energy has a strategy that
focuses on establishing a portfolio of producing properties, plus
production enhancement and exploration opportunities to provide a
base for future growth.
Additional information concerning Gran Tierra Energy is
available at www.grantierra.com, on SEDAR (www.sedar.com) and with
the SEC (www.sec.gov).
Cautionary Statements:
Possible reserves are those additional reserves that are less
certain to be recovered than Probable reserves. There is a 10%
probability that the quantities actually recovered will equal or
exceed the sum of Proved plus Probable plus Possible reserves. The
estimate of reserves for individual properties may not reflect the
same confidence level as estimates of reserves for all properties,
due to the effects of aggregation.
A BOE is calculated using the conversion factor of six thousand
cubic feet ("Mcf") of natural gas being equivalent to one
barrel of oil. BOEs may be misleading, particularly if used in
isolation. A BOE conversion ratio of 6 Mcf : 1 barrel of oil
is based on an energy equivalency conversion method primarily
applicable at the burner tip and does not represent a value
equivalency at the wellhead. In addition, given the value
ratio based on the current price of oil as compared to natural gas
is significantly different from the energy equivalent of six to
one, utilizing a BOE conversion ratio of 6 Mcf : 1 barrel of oil
would be misleading as an indication of value.
Forward-Looking Statements
The statements in this press release regarding Gran Tierra
Energy's expectations, plans, projections and actions including
that Gran Tierra Energy will maintain its balance sheet strength,
the expected timing of the new reserve report for the Bretaña field
and the impact of such report, that Gran Tierra Energy is well
positioned to drive through the current oil price correction and
succeed in returning to growth in the future, and expected funding
of its 2015 capital program are "forward-looking statements" or
"forward-looking information" within the meaning of applicable U.S.
federal and Canadian securities laws, including the U.S. Private
Securities Litigation Reform Act of 1995 and the Canadian
Securities Administrators' National Instrument 51-102 - Continuous
Disclosure Obligations. Statements containing the words "expected",
"well positioned", and "anticipated" and variations of these words
are forward-looking statements.
The forward-looking statements contained in this news release
reflect several material factors and expectations and assumptions
of Gran Tierra Energy including, without limitation, assumptions
relating to the accuracy of its reserves estimates, the accuracy of
current forecasted prices and costs, the accuracy of well test
results, the continuity of certain industry conditions, and the
ability of Gran Tierra Energy to execute its current business and
operational plans in the manner currently planned. Although
Gran Tierra Energy believes that the assumptions underlying, and
expectations reflected in, these forward-looking statements are
reasonable, it can give no assurance that these assumptions and
expectations will prove to be correct.
The forward-looking statements contained in this press release
are subject to risks, uncertainties and other factors that could
cause actual results or outcomes to differ materially from those
contemplated by the forward-looking statements. Factors that
could cause results to differ materially from those described in
the forward-looking statements include: Gran Tierra Energy's
operations are located in South
America, and unexpected problems can arise due to guerilla
activity, technical difficulties and operational difficulties which
impact the production, transportation or sale of oil and gas,
including the cost thereof; changing prices for crude oil may cause
some scheduled projects or actions to become uneconomical, or may
change Gran Tierra Energy's focus to other projects or actions
which could be of more benefit to Gran Tierra Energy, which could
cause projects or actions currently contemplated to be postponed or
canceled, or could cause Gran Tierra Energy's revenues to decline
or expenses to increase; unexpected problems due to technical
difficulties, operational difficulties, and weather conditions may
arise, which could cause Gran Tierra Energy's expenses to increase;
the risk that Gran Tierra Energy will not be able to fund the
2015 capital program through cash flow from operations and cash on
hand due to unexpected expenditures needed to complete its 2015
goals; and those other risks found in the periodic reports filed by
Gran Tierra Energy with the SEC, including in the section entitled
"Risk Factors" in its Quarterly Report on Form 10-Q filed with the
SEC on November 5, 2014, and
available at the SEC's internet site www.sec.gov and on SEDAR at
www.sedar.com.
All forward-looking statements in this press release are
expressly qualified by information contained in Gran Tierra
Energy's filings with regulatory authorities and, subject to its
obligations under applicable securities laws, Gran Tierra Energy
does not undertake to publicly update forward-looking statements,
whether as a result of new information, future events or
otherwise.
SOURCE Gran Tierra Energy Inc.