Gran Tierra Energy Inc. Announces New US$75 Million Credit Facility
Gran Tierra Energy (NYSE American:GTE)(TSX:GTE)(LSE:GTE) has secured a new US$75 million reserve-based lending facility through its subsidiary Gran Tierra Energy Colombia GmbH. The facility has a 36-month maturity and includes annual redetermination beginning May 1, 2026.
Key terms include interest based on Term Secured Overnight Financing Rate plus a 4.50% annual margin. The loan is secured by economic rights over certain contracts and Gran Tierra's Colombian commercial establishment. All outstanding principal, interest, and other payment obligations are due at maturity, with an option to prepay without penalty.
Gran Tierra Energy (NYSE American:GTE)(TSX:GTE)(LSE:GTE) ha ottenuto una nuova linea di credito basata su riserve di 75 milioni di dollari USA tramite la sua controllata Gran Tierra Energy Colombia GmbH. La linea ha una scadenza di 36 mesi e prevede una rivalutazione annuale a partire dal 1° maggio 2026.
I termini principali includono un interesse basato sul Term Secured Overnight Financing Rate più un margine annuo del 4,50%. Il prestito è garantito dai diritti economici su determinati contratti e dall’unità commerciale colombiana di Gran Tierra. Tutto il capitale residuo, gli interessi e gli altri pagamenti sono dovuti alla scadenza, con la possibilità di estinguere anticipatamente senza penali.
Gran Tierra Energy (NYSE American:GTE)(TSX:GTE)(LSE:GTE) ha asegurado una nueva línea de crédito basada en reservas por 75 millones de dólares estadounidenses a través de su subsidiaria Gran Tierra Energy Colombia GmbH. La línea tiene un plazo de 36 meses e incluye una reevaluación anual a partir del 1 de mayo de 2026.
Los términos clave incluyen un interés basado en el Term Secured Overnight Financing Rate más un margen anual del 4,50%. El préstamo está garantizado por derechos económicos sobre ciertos contratos y el establecimiento comercial colombiano de Gran Tierra. Todo el capital pendiente, intereses y demás pagos se deben al vencimiento, con opción de prepago sin penalización.
Gran Tierra Energy (NYSE American:GTE)(TSX:GTE)(LSE:GTE)는 자회사 Gran Tierra Energy Colombia GmbH를 통해 새로운 미화 7,500만 달러 규모의 준비금 기반 대출 시설을 확보했습니다. 이 시설은 36개월 만기이며 2026년 5월 1일부터 연간 재평가가 포함됩니다.
주요 조건으로는 Term Secured Overnight Financing Rate에 연 4.50%의 마진이 더해진 이자가 적용됩니다. 대출은 특정 계약에 대한 경제적 권리와 Gran Tierra의 콜롬비아 상업 시설을 담보로 합니다. 모든 미지급 원금, 이자 및 기타 지급 의무는 만기에 상환해야 하며, 위약금 없이 조기 상환할 수 있는 옵션이 있습니다.
Gran Tierra Energy (NYSE American:GTE)(TSX:GTE)(LSE:GTE) a obtenu une nouvelle facilité de crédit basée sur les réserves de 75 millions de dollars US par l’intermédiaire de sa filiale Gran Tierra Energy Colombia GmbH. La facilité a une durée de 36 mois et comprend une réévaluation annuelle à partir du 1er mai 2026.
Les conditions clés incluent un taux d’intérêt basé sur le Term Secured Overnight Financing Rate plus une marge annuelle de 4,50 %. Le prêt est garanti par des droits économiques sur certains contrats et l’établissement commercial colombien de Gran Tierra. Tous les principaux montants, intérêts et autres obligations de paiement sont dus à l’échéance, avec une option de remboursement anticipé sans pénalité.
Gran Tierra Energy (NYSE American:GTE)(TSX:GTE)(LSE:GTE) hat über seine Tochtergesellschaft Gran Tierra Energy Colombia GmbH eine neue reservenbasierte Kreditfazilität in Höhe von 75 Millionen US-Dollar gesichert. Die Fazilität hat eine Laufzeit von 36 Monaten und beinhaltet eine jährliche Neubewertung ab dem 1. Mai 2026.
Die wichtigsten Bedingungen umfassen einen Zinssatz, der auf dem Term Secured Overnight Financing Rate plus einer jährlichen Marge von 4,50 % basiert. Der Kredit ist durch wirtschaftliche Rechte an bestimmten Verträgen und Gran Tierras kolumbianische Betriebsstätte besichert. Alle ausstehenden Hauptbeträge, Zinsen und sonstigen Zahlungen sind bei Fälligkeit fällig, mit der Möglichkeit einer vorzeitigen Rückzahlung ohne Strafgebühr.
- Secured new US$75 million credit facility enhancing liquidity
- Option to prepay without penalty provides financial flexibility
- Demonstrates lender confidence in company's assets and cash flow generation
- Additional debt increases company's leverage and interest expenses
- Annual redetermination could potentially reduce facility amount
Insights
Gran Tierra's new $75M credit facility significantly enhances liquidity, representing nearly 48% of market cap and providing crucial financial flexibility.
Gran Tierra Energy's new
The 36-month maturity timeline offers medium-term stability, while the ability to prepay without penalties adds valuable financial flexibility. This could prove strategically important if market conditions change or if more favorable financing becomes available. The interest terms (SOFR plus
Particularly noteworthy is Gran Tierra's ability to secure this facility during what management describes as "market volatility." This demonstrates continued lender confidence in the company's asset quality and cash flow generation capabilities despite challenging conditions.
The annual redetermination structure beginning May 2026 provides initial stability, as the borrowing base remains fixed for the first year—eliminating near-term redetermination risk that often affects reserve-based lending facilities. The security structure, leveraging Colombian assets, aligns with standard industry practices for reserve-based lending.
This facility strengthens Gran Tierra's financial position by providing capital optionality for potential growth initiatives, operational flexibility, or navigating commodity price fluctuations—critical for small-cap energy producers operating in international markets.
CALGARY, Alberta, April 16, 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, entered into a reserve-based lending facility with commitments of up to US
Ryan Ellson, Chief Financial Officer of Gran Tierra, commented today:
“We are very pleased to have successfully closed a new credit facility which enhances our liquidity and underscores the strength and resilience of our business. Securing this facility during a period of market volatility is a testament to the quality of our assets, the consistency of our cash flow generation, and the confidence our partners have in Gran Tierra’s strategy. This facility supports our continued commitment to strengthening our balance sheet, enhancing operational flexibility, and delivering long-term value to all stakeholders.”
Highlights of the new facility include:
- A commitment of US
$75 million , redetermined annually (beginning May 1, 2026) - Interest payable on the facility is based on a Term Secured Overnight Financing Rate plus a margin of
4.50% per annum - Final maturity date of 36 months from the closing date
- All outstanding principal, interest, and other payment obligations are due on the maturity date with option to prepay without prepayment penalty
- The loan is secured by, among other things, the economic rights over certain contracts together with Gran Tierra’s Colombian commercial establishment
Contact Information
For investor and media inquiries please contact:
Gary Guidry
President & Chief Executive Officer
Ryan Ellson
Executive Vice President & Chief Financial Officer
+1-403-265-3221
info@grantierra.com
About Gran Tierra Energy Inc.
Gran Tierra Energy Inc., together with its subsidiaries, is an independent international energy company currently focused on oil and natural gas exploration and production in Canada, Colombia and Ecuador. The Company is currently developing its existing portfolio of assets in Canada, Colombia and Ecuador and will continue to pursue additional new growth opportunities that would further strengthen the Company’s portfolio. The Company’s common stock trades on the NYSE American, the Toronto Stock Exchange and the London Stock Exchange under the ticker symbol GTE. Additional information concerning Gran Tierra is available at www.grantierra.com. Except to the extent expressly stated otherwise, information on the Company’s website or accessible from our website or any other website is not incorporated by reference into and should not be considered part of this press release. Investor inquiries may be directed to info@grantierra.com or (403) 265-3221.
Gran Tierra’s filings with the U.S. Securities and Exchange Commission (the “SEC”) are available on the SEC website at http://www.sec.gov. The Company’s Canadian securities regulatory filings are available on SEDAR+ at http://www.sedarplus.ca and UK regulatory filings are available on the National Storage Mechanism website at https://data.fca.org.uk/#/nsm/nationalstoragemechanism.
Cautionary Statement Regarding Forward-Looking Statements
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act, Section 21E of the Securities Exchange Act of 1934, as amended, and the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 or “forward-looking information” within the meaning of applicable Canadian securities laws. All statements other than statements of historical facts included in this press release, and those statements preceded by, followed by or that otherwise include the words “will,” “would,” “could,” “should,” “believe,” “expect,” “anticipate,” “intend,” “estimate,” “project,” “target,” “goal,” “guidance,” “budget,” “plan,” “objective,” “potential,” or similar expressions or variations on these expressions are forward-looking statements. The Company can give no assurances that the assumptions upon which the forward-looking statements are based will prove to be correct or that, even if correct, intervening circumstances will not occur to cause actual results to be different than expected. Because forward-looking statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by the forward-looking statements. There are a number of risks, uncertainties and other important factors that could cause our actual results to differ materially from the forward-looking statements, including, but not limited to, the impact and benefits of the new credit facility and the crude oil sales contracts; the nature of the Company’s relationship with Trafigura; the Company’s cash flows and liquidity; and those factors set out in Part I, Item 1A, “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, and in the Company’s other filings with the SEC. Although the Company believes the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, level of activity, performance or achievements. Moreover, neither the Company nor any other person assumes responsibility for the accuracy or completeness of any of these forward-looking statements. Investors should not rely upon forward-looking statements as predictions of future events. The information included herein is given as of the date of this press release and, except as otherwise required by the securities laws, the Company disclaims any obligation or undertaking to publicly release any updates or revisions to, or to withdraw, any forward-looking statement contained in this press release to reflect any change in the Company’s expectations with regard thereto or any change in events, conditions or circumstances on which any forward-looking statement is based.
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