Gran Tierra's Five-Well Simonette Program Faces a Year-End Deadline

Gran Tierra Energy (NYSE American: GTE) has said it plans to bring five gross wells onstream at its Simonette asset in Canada in the second half of 2026. With the window closing on December 31, the company has not yet said the program is complete.

What was planned

In its January 29 operations update, the company said three surface holes had been drilled from the 6-9 pad and that it was drilling the 16-14-061-01W6 well. It said recently drilled Lower Montney wells at Simonette were meeting or exceeding type curve expectations, which it said supported stable production and cash flow.

Why it matters

The company also expects to record a non-cash impairment of roughly $65 million to $85 million on certain Canadian long-lived assets, according to preliminary, unaudited 2025 figures. It put estimated net debt at about $657 million at the end of 2025. Delivering the Simonette wells on time would be a test of the company's own view of its Canadian assets. Any slippage would also be worth watching.

Other items on the calendar

• Dawson core study: Gran Tierra is preparing advanced core analysis on its Dawson 102/12-11 well, with completion expected in 2026. It said the study will inform well design, mud system selection and geological modeling.
• Perico waterflood: An injector conversion in the Lower U at Perico was planned for the third quarter of 2026, after a similar step at Iguana in the second quarter. The third quarter has now ended, and the company has not said in its latest statement whether the Perico work was done.

What the company holds

Gran Tierra's disclosed estimates include prospective oil volumes, which are not proven reserves. These are P50 (median) figures:

• Charapa: 36.701 million barrels, 100% interest
• Chanangue: 24.899 million barrels, 100%
• PUT 7: 19.735 million barrels, 100%
• Perico: 10.397 million barrels, 100%
• Suroriente: 3.405 million barrels, 52%

It also reports contingent P50 estimates at Hoadley Glauconitic of 222.724 billion cubic feet of gas and 1.237 million barrels of oil. It has not disclosed its interest there.

Ownership

In August, Equinox Partners Investment Management sold shares on four filings dated August 7 to 13, totaling 3,831,940 shares. Daniel Lau reported a 13.60% shareholding in a periodic filing on August 12.

What remains uncertain

All timings are the company's January statements. The company has not published a later update on Simonette or the core study in the material reviewed, and the 2025 financial figures were preliminary and unaudited.