Gran Tierra Energy Inc. (GTE): History, Ownership, Mission, How It Works & Makes Money

Ever wondered about the journey of an energy company navigating the complex world of oil and gas across multiple countries? Gran Tierra Energy Inc. (GTE) has been making headlines with its strategic moves in Colombia, Ecuador, and Canada, but how did they get here and what exactly do they do? Keep reading to dive into the history, ownership structure, operational framework, and revenue generation strategies that define this international player in the energy sector.

Gran Tierra Energy Inc. (GTE) History

Gran Tierra Energy Inc. Founding Timeline

Year established

The company was originally established in 2003.

Original location

The company was founded in Calgary, Alberta, Canada.

Founding team members

The details of the original founding team members are not readily available in the provided search results.

Initial capital/funding

Information regarding the initial capital or funding of the company at its establishment is not available in the search results.

Gran Tierra Energy Inc. Evolution Milestones

Gran Tierra Energy Inc. Transformative Moments

• Entry into Colombia: The strategic decision to enter Colombia in 2007 marked a transformative moment, as it became the company's core operational area, driving significant growth and production.
• Acquisition of Petro Dorado (2011): The acquisition of Petro Dorado in 2011 was a transformative event, substantially increasing the company's land holdings and production capabilities in Colombia.
• Focus on Sustainable Operations: In response to increased awareness and demand for environmental responsibility, the company's emphasis on ESG practices has transformed its operational approach, aligning it with global sustainability goals.

For further insights into the company's guiding principles, explore: Mission Statement, Vision, & Core Values of Gran Tierra Energy Inc. (GTE).

Gran Tierra Energy Inc. (GTE) Ownership Structure

Gran Tierra Energy Inc. operates with a mixed ownership structure, including a combination of institutional, retail, and insider holdings.

Gran Tierra Energy Inc.'s Current Status

Gran Tierra Energy Inc. is a publicly traded company, listed on both the New York Stock Exchange (NYSE) and the Toronto Stock Exchange (TSX) under the ticker symbol GTE.

Gran Tierra Energy Inc.'s Ownership Breakdown

The ownership of Gran Tierra Energy is distributed among various shareholders. As the data is dynamic, the percentages may fluctuate. Here is an approximate breakdown based on the latest available information:

Gran Tierra Energy Inc.'s Leadership

The leadership team is responsible for setting the strategic direction and overseeing the operations of Gran Tierra Energy Inc. Here are some of the key leaders:

• Gary Guidry: President and Chief Executive Officer
• Ryan Ellson: Chief Financial Officer

To gain more insight into the company's goals, see this link: Mission Statement, Vision, & Core Values of Gran Tierra Energy Inc. (GTE).

Gran Tierra Energy Inc. (GTE) Mission and Values

Gran Tierra Energy Inc. strives to create value for its stakeholders through responsible oil and gas exploration and production, guided by its core values of safety, integrity, respect, and commitment. The company's mission is to grow its business while maintaining high environmental and social responsibility standards.

Gran Tierra Energy Inc.'s Core Purpose

Official mission statement

Gran Tierra Energy Inc.'s mission statement is:

• To generate value for our stakeholders by responsibly exploring for and producing oil and natural gas in Colombia and Ecuador.
• To conduct our business in a safe, ethical, and environmentally and socially responsible manner.
• To be a trusted partner in the communities where we operate, contributing to their sustainable development.

Vision statement

Gran Tierra Energy Inc.'s vision is to be a leading independent oil and gas company in the Americas, recognized for its operational excellence, financial strength, and commitment to sustainability. This includes:

• Growing production and reserves through exploration, development, and strategic acquisitions.
• Maintaining a strong balance sheet and disciplined capital allocation.
• Fostering a culture of innovation, collaboration, and continuous improvement.
• Minimizing our environmental footprint and maximizing our social impact.

Company slogan/tagline

While Gran Tierra Energy Inc. does not have a single, publicly advertised slogan or tagline, their communications and actions reflect a commitment to:

• Responsible Resource Development: Emphasizing their dedication to environmental stewardship and social responsibility in their operations.
• Creating Shared Value: Highlighting their aim to benefit both shareholders and the communities in which they operate.

To gain more insights into Gran Tierra Energy Inc., consider reading Exploring Gran Tierra Energy Inc. (GTE) Investor Profile: Who’s Buying and Why?

Gran Tierra Energy Inc. (GTE) How It Works

Gran Tierra Energy Inc. focuses on international oil and gas exploration and production, primarily in Colombia and Ecuador, working to increase production through strategic acquisitions and development projects.

Gran Tierra Energy Inc.'s Product/Service Portfolio

Gran Tierra Energy Inc.'s Operational Framework

Gran Tierra Energy Inc. operates through the following key processes:

• Exploration: Identifying potential oil and gas reserves through geological surveys, seismic testing, and exploratory drilling.
• Production: Extracting crude oil and natural gas from established fields using various methods, including waterflooding and enhanced oil recovery techniques.
• Transportation: Moving the extracted resources via pipelines and trucking to storage facilities and sales points.
• Sales and Marketing: Selling crude oil and natural gas to refineries, energy companies, and other customers, both domestically and internationally.
• Risk Management: Gran Tierra Energy hedges a significant portion of its oil sales to protect against commodity price volatility. For example, in 2024, the company hedged approximately 64% of its net after-royalty production, with an average floor price of $64.67 per barrel.

Gran Tierra Energy Inc.'s Strategic Advantages

• Geographic Focus: Concentrating operations in Colombia and Ecuador allows Gran Tierra Energy to develop in-depth knowledge of local geology, regulatory environments, and community relations.
• Operational Expertise: The company's experience in heavy oil production and waterflooding techniques enhances its ability to efficiently extract resources from its fields.
• Strategic Acquisitions: Gran Tierra Energy has a track record of acquiring promising assets that complement its existing portfolio and increase its production capacity.
• Cost Management: The company focuses on maintaining low operating costs to improve profitability, even in periods of lower oil prices. For example, in 2023, Gran Tierra Energy reduced its operating expenses by 12% compared to 2022.
• Hedging Strategies: Utilizing hedging instruments to mitigate the impact of oil price fluctuations on revenue.

Read about Mission Statement, Vision, & Core Values of Gran Tierra Energy Inc. (GTE).

Gran Tierra Energy Inc. (GTE) How It Makes Money

Gran Tierra Energy Inc. primarily generates revenue through the exploration, development, and production of crude oil and natural gas in Colombia and Ecuador. Its financial success hinges on efficiently extracting these resources and selling them at profitable prices in the global market.

Gran Tierra Energy Inc.'s Revenue Breakdown

As the company operates in two different countries, revenue stream is divided by country.

Gran Tierra Energy Inc.'s Business Economics

• Pricing Strategies: The company's revenue is significantly influenced by the prevailing global oil prices, particularly the Brent benchmark. Gran Tierra employs hedging strategies to mitigate price volatility and secure predictable revenue streams.
• Production Costs: Efficient operations are critical. Lower extraction and processing costs directly improve profitability. The company focuses on optimizing its operational efficiencies to maintain competitive production costs.
• Economic Fundamentals: Colombia and Ecuador's political and economic stability impacts operational risks and investment attractiveness. Favorable regulatory environments and stable fiscal policies are crucial for sustained profitability.

Gran Tierra Energy Inc.'s Financial Performance

• Revenue: For the year 2024, Gran Tierra Energy reported total revenue of $714.7 million, compared to $811.3 million in 2023.
• Net Income: The company recorded a net loss of $73.5 million for 2024, a significant decrease from the net income of $76.1 million in 2023.
• Adjusted EBITDA: Gran Tierra Energy reported an adjusted EBITDA of $314.6 million in 2024, down from $413.4 million in 2023.
• Production Volumes: The average daily production was 31,430 barrels of oil equivalent (BOE) per day in 2024, compared to 32,141 BOE per day in 2023.

Learn more about Gran Tierra Energy Inc. (GTE): Exploring Gran Tierra Energy Inc. (GTE) Investor Profile: Who’s Buying and Why?

Gran Tierra Energy Inc. (GTE) Market Position & Future Outlook

Gran Tierra Energy Inc. is strategically positioned to leverage its assets in Colombia and Ecuador, aiming for sustainable growth and value creation amidst evolving market dynamics. The company faces both opportunities in expanding production and challenges related to operational efficiencies and regulatory landscapes.

Competitive Landscape

Opportunities & Challenges

Industry Position

Gran Tierra Energy operates within a competitive landscape dominated by larger national and international oil companies. Its success hinges on:

• Maintaining a cost-effective production strategy.
• Successfully executing exploration and development projects.
• Building strong relationships with local communities and governments.

For more insights into the company's financial standing, check out: Breaking Down Gran Tierra Energy Inc. (GTE) Financial Health: Key Insights for Investors