New $200 Million Prepayment and Marketing Agreement and Amendment to Reserve-Based Credit Facility
Gran Tierra Energy Inc. announced a new $200 million prepayment and marketing agreement through its subsidiary, Gran Tierra Energy Colombia GmbH. The agreement includes an initial advance not to exceed $150 million, with a possible additional $50 million advance, both to be satisfied by deliveries of Ecuadorian Oriente crude oil. These prepayments aim to strengthen the company’s balance sheet and enhance financial flexibility. In connection with this, Gran Tierra amended its Colombian credit facility, reducing the borrowing base from $75 million to $60 million and adjusting certain financial covenants to accommodate the prepayment structure.
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CALGARY, Alberta, Oct. 24, 2025 (GLOBE NEWSWIRE) -- Gran Tierra Energy Inc. (“Gran Tierra” or the “Company”) (NYSE American:GTE)(TSX:GTE)(LSE:GTE) today announced that it has, through its wholly owned subsidiary Gran Tierra Energy Colombia GmbH, a Swiss limited liability company (the “Seller”), entered into a crude oil sale and purchase agreement and a related prepayment addendum (together, the “Oriente Crude Oil Agreements”).
Under the Oriente Crude Oil Agreements, the Seller will receive an initial advance in an aggregate amount not to exceed $150 million and may receive an additional advance of up to $50 million, subject to certain conditions. These advances will be satisfied by scheduled deliveries of the Seller’s Ecuadorian Oriente crude oil production. Proceeds from these prepayments are to strengthen the Company’s balance sheet and enhance financial flexibility.
In connection with the execution of the Oriente Crude Oil Agreements, Gran Tierra has further optimized its capital structure by amending its Colombian credit facility (the “Amendment”). The Amendment, among other things, consents to and permits the Seller and the Company to execute and perform the Oriente Crude Oil Agreements, reduces the borrowing base under the Credit Agreement from its then-current amount of $75 million to $60 million and adjusts certain financial covenants to account for the prepayment structure.
Ryan Ellson, Chief Financial Officer of Gran Tierra, commented today:
“The prepayment agreement we signed today enhances Gran Tierra’s financial flexibility and further strengthens our capital structure. Securing this agreement in this current market environment demonstrates the strong confidence our partners have in Gran Tierra’s operations and underscores our position as a premier operator in Ecuador and a reputable international producer. We remain fully committed to maintaining financial discipline and generating sustainable free cash flow through low decline and high netback production along with prudent capital allocation.”
Gary Guidry
President & Chief Executive Officer
Ryan Ellson
Executive Vice President & Chief Financial Officer
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