Gran Tierra Energy has announced that its indirect wholly owned subsidiaries, Gran Tierra Energy Ecuador 1 GmbH and Gran Tierra Energy Ecuador 2 GmbH, have entered into definitive agreements to acquire all of GeoPark Ecuador’s and Frontera Energy Colombia Corp Sucursal Ecuador’s interests in the Perico and Espejo Blocks and their associated Consortiums.
The aggregate purchase price for the Blocks and Consortiums is US$15.55 million, subject to customary working capital adjustments as of the effective date of January 1, 2025. The agreement includes an additional contingent consideration of $1.5 million, payable upon the Perico Block achieving cumulative gross production of two million barrels as from January 1, 2025. The acquisitions are expected to close upon satisfaction of customary closing conditions, including the receipt of regulatory approvals for closing and operations takeover from the Ministry of Energy of Ecuador. Closing is anticipated no earlier than the fourth quarter of 2025.
Gary Guidry, President and Chief Executive Officer of Gran Tierra, commented:
'These acquisitions represent a logical and strategic expansion of our footprint in Ecuador’s Oriente Basin. The Company has successfully discovered a critical threshold of reserves in northern Ecuador that support future development. Once we drill our two high-impact Conejo wells in the Charapa Block - scheduled to commence in September - we expect to accelerate the potential for regional development infrastructure and synergies that support low-cost development and operation of the discovered resources.
The Perico Block is directly adjacent to our operated Iguana Block, where we recently made two oil discoveries in the first half of 2025, and provides a natural extension of our exploration success in the area. Espejo, while further south with a smaller discovered field to date, presents an opportunity for Gran Tierra to enhance the value of existing reserves by leveraging our regional economies of scale.
With our established in-country presence, technical expertise, and disciplined capital approach - demonstrated by almost two decades of operating experience just across the border in Colombia - we are well-positioned to build on this momentum and unlock further value from these promising assets, particularly through the implementation of efficient enhanced oil recovery techniques such as waterflooding. We are excited to continue strengthening our role as a key partner to the Government of Ecuador in advancing high-impact energy development.'
The Blocks to be acquired include existing production of approximately 2,000 barrels of oil per day based on July 2025 production, representing a purchase price of approximately $7,750 per flowing barrel. The Perico Block is directly adjacent to Gran Tierra’s operated Iguana Block, where the Company recently made two oil discoveries in the U Sandstone. This geographic continuity presents a strategic opportunity to extend the proven productive trend, leverage shared infrastructure, and capture operational synergies across both Blocks. Espejo, while located further south, has already delivered oil discoveries under the previous operator and adds existing production and development potential to Gran Tierra’s focused position in Ecuador’s Oriente Basin.
Upon closing, the acquisitions will expand Gran Tierra’s footprint in Ecuador and complement the Company’s ongoing exploration and development activities in the country.
Source: Gran Tierra Energy via GlobeNewswire
