The company views this contract as a strategic opportunity to enhance its operational footprint in Colombia. The Tisquirama block has significant original oil in place (OOIP) that has historically seen limited development. Gran Tierra plans to leverage its proven operating model and waterflood expertise to enhance recovery and extend the field's life. The company has successfully implemented waterflood development in its Acordionero field, which shares similar geological characteristics with the Tisquirama block.
Gran Tierra's initial capital activity will focus on waterflood expansion from Acordionero into the adjoining fields, with a minimum of $15 million allocated for this phase. The company anticipates that, upon completion of the initial work program, it will receive 49% of existing base production as well as 49% of incremental production. The fields averaged 2,500 barrels of oil equivalent per day (boepd) in 2025, and with successful development, potential production levels could exceed 13,000 boepd.
The contract also includes a commitment for approximately $92.4 million in capital expenditures over 40 months, with Gran Tierra expected to contribute around $47.1 million. This investment underscores the company's confidence in the development potential of the Tisquirama block and its commitment to maximizing recovery through modern technologies, including horizontal drilling techniques.
Gran Tierra's President and CEO, Gary Guidry, emphasized the strategic nature of this partnership with Ecopetrol, stating that it strengthens their longstanding relationship and positions the company for future growth in Colombia's oil and gas sector. The company is optimistic about the operational synergies that can be achieved by integrating water management across the fields and utilizing natural gas to support gas-to-power projects, thereby lowering operating costs.
Overall, this contract represents a positive step for Gran Tierra Energy, enhancing its operational capabilities and growth potential in a key region of Colombia, while also providing opportunities for increased production and efficiency.
