Page 15 - LatAmOil Week 34 2022

LatAmOil NEWS IN BRIEF LatAmOil

In connection with the new facility, certain of reserves increased 25% to 1.292mn barrels, this time. In addition, organic growth opportu-
Gran Tierra’s wholly owned subsidiaries have mainly from the Tapir Block. 1P reserves also nities for Arrow are advancing, with the RCE-3
also entered into commercial contracts for the increased by 17% to 3.567mn barrels, reflect- and RCE-4 wells on the Tapir Block in Colom-
purchase by Trafigura of crude oil from Gran ing the positive results from the recent drilling bia expected to commence drilling in Q4-2022.
Tierra’s producing fields located in Colombia. campaign. 1P Net Present Value, before tax, dis- Additional completions will be performed in
The repayment of the new facility will be made counted at 10% (NPV-10), is significantly higher Q4-2022 on the RCE-1 and RCS-1 wells to fur-
by way of deductions of the price payable by with an increase of 164% to $77.7mn. ther exploit known hydrocarbon accumulations.
Trafigura for the crude oil delivered under such Proved plus Probable (2P reserves): 2P Current production from the RCE 1 and RCS 1
contracts. reserves increase to 7.864mn barrels of oil. NPV- wells is ahead of forecast in aggregate.
Ryan Ellson, CFO of Gran Tierra, com- 10 increased to $150.4mn from $84.1mn as at Arrow expects to re-complete the RCE-1
mented today: “We are very pleased to have December 31, 2021, a 79% increase. well, in the C7 stringer zone. Arrow is currently
successfully closed a new credit facility with Proved plus Probable plus Possible (3P just producing from the C7B zone at RCS-1 and
Trafigura. In conjunction with our strong oper- reserves): 3P reserves volume increase to plans to re-complete this well, expecting to open
ating cash flows and $109mn of cash on hand at 11.759mn barrels. NPV-10 grew 67% to the C7A and C7 stringer zones in Q4-2022.
June 30, 2022, the new facility will provide the $223.6mn from $133.9mn as at December 31, This will have a material impact on overall RCE
Company with additional liquidity and financial 2021. production.
flexibility.” Oil price and new hydrocarbon accumula- The West Pepper well, owned 100% by Arrow
Gran Tierra Energy, August 18 2022 tions resulted in positive additions in reserves in and located in Canada, is producing at 240
all categories. boepd currently, with production curtailed due
Additional drilling targets have been identi- to third party facility constraints. Expectations
PERFORMANCE fied as a result of the H1-2022 drilling campaign. are that production will return to approximately
A five well program will initiate in Q4-2022 with 450 boepd in September 2022. In Q3-2022,
Arrow issues update on two wells in pursuit of further low-risk exploita- Arrow expects to tie-in the East Pepper gas well
tion on the RCE structure. As well, two wells are in Canada (100% owned by Arrow). This second
operations, upcoming planned to develop the Carizales Norte structure well, along with continuing and expected robust
A downdip well will also be drilled at RCE to test natural gas prices in North America, is expected
projects and mid-year the stratigraphic nature of the oil accumulation. to further enhance the value of the Pepper field.
This well will also serve as a water disposal well.
In addition to the 3D seismic survey Arrow
reserves results Operational Update: purchased earlier this year, the Company intends
Corporate production as of August 15, 2022, to execute on a 130-square km 3D seismic sur-
Arrow Exploration is pleased to provide an is approximately 1,450 boepd. Production from vey on the northwest section of the Tapir block
operations update and announce the results of the RCE-2 well is approximately 540 bpd net in Colombia.
the 2022 mid-year reserve evaluation by Boury (1,080 bpd gross) producing from the C7A and This will further delineate low risk explora-
Energy Consultants Ltd. (BouryGEC) as at June C7 stringer zones. Production from the RCS-1 tion fault structures that have been identified
30, 2022. well is approximately 190 bpd net (380 bpd on 2D seismic data. The shooting of this seismic
Highlights, Proved (1P) Reserves: PDP gross), producing only from the new C7B zone at survey is expected to begin in Q1-2023.

Week 34 24•August•2022 www. NEWSBASE .com P15