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Edited Transcript of GTE.A earnings conference call or presentation 6-Nov-19 4:00pm GMT

Q3 2019 Gran Tierra Energy Inc Earnings Call

CALGARY Nov 15, 2019 (Thomson StreetEvents) -- Edited Transcript of Gran Tierra Energy Inc earnings conference call or presentation Wednesday, November 6, 2019 at 4:00:00pm GMT

TEXT version of Transcript

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Corporate Participants

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* Gary Stephen Guidry

Gran Tierra Energy Inc. - President, CEO & Director

* Remi Anthony Berthelet

Gran Tierra Energy Inc. - COO

* Ryan Paul Ellson

Gran Tierra Energy Inc. - CFO & Executive VP of Finance

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Conference Call Participants

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* Chelsea Colón

Aegon Asset Management - Credit Research Analyst of Emerging Markets

* Ian Macqueen

Eight Capital, Research Division - Principal

* Jose Maria Correia da Silva

Banco BTG Pactual S.A., Research Division - Research Analyst

* Josef I. Schachter

Schachter Energy Research Services Inc. - Author & President

* Nikolay Menteshashvili

Insight Investment Management Limited - Credit Analyst

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Presentation

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Operator [1]

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Good morning, ladies and gentlemen, and welcome to Gran Tierra Energy's results conference call for the third quarter 2019. My name is Joanna, and I will be your coordinator for today. (Operator Instructions) I would like to remind everyone that this conference call is being webcast and recorded today, Wednesday, November 6, 2019, at 11 a.m. Eastern Time.

Today's discussion may include certain forward-looking information as well as certain non-GAAP financial measures. Please refer to the earnings and operational update press release that we issued yesterday for important disclaimers with regard to this information and reconciliations to any non-GAAP measures discussed on today's call. Per barrel of oil equivalent, or BOE, amounts are based on a working interest sales before royalties.

Finally, this earnings call is the property of Gran Tierra Energy, Inc., and any copying or rebroadcasting of this call is expressly forbidden without any written consent of Gran Tierra Energy.

I will now turn the conference over to Mr. Gary Guidry, President and Chief Executive Officer of Gran Tierra. Mr. Guidry, please go ahead.

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Gary Stephen Guidry, Gran Tierra Energy Inc. - President, CEO & Director [2]

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Thank you, operator. Good morning, and welcome to Gran Tierra's Third Quarter 2019 Results Conference Call. My name is Gary Guidry, Chief Executive Officer, and today with me are Ryan Ellson, our Executive Vice President and Chief Financial Officer; and Tony Berthelet, our new Chief Operating Officer. We issued a press release today -- yesterday that included detailed information about our third quarter 2019 results, which is available on our website. After a few brief comments, we will open the line for questions.

I'd first like to welcome Tony to the Gran Tierra team. Tony joined us in October and brings over 20 years of multidisciplinary upstream oil and gas experience, including 8 years of executive-level leadership experience. He has held several senior management roles focused on production, operations, asset development and including implementation and optimization of waterfloods.

With our 4 biggest fields, Acordionero, Costayaco, Moqueta and Cohembi, all under waterflood, Tony's extensive experience in implementing and improving waterfloods to maximize ultimate oil recovery makes him a valuable addition to the team, where we're planning to ramp up production across all of our portfolio.

I'll now turn the call over to Ryan Ellson, our CFO and -- to discuss the financial highlights for the quarter.

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [3]

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Good morning, everyone. I'll make some brief comments about our Q3 results. Our oil production was 32,918 barrels per day with approximately 3,000 barrels per day impacted by temporary downtime due to electric submersible pump, or ESP, replacements, facility commissioning and water injection ramp-up. Current production is approximately 34,000 barrels per day, and we expect to bring 5 to 6 additional oil wells on production before the end of the year.

For the quarter, our net loss was $12 million, adjusted EBITDA was $68 million and fund flow from operation was $59 million.

During the first 9 months of 2019, we also returned $38 million to stockholders through buybacks of 20.1 million shares or almost 5% of our outstanding shares. Our balance sheet remains strong with our net debt-to-adjusted EBITDA at the end of Q3 standing at 1.8x on a trailing 12-month basis, and this is expected to decrease in 2020. Oil and gas sales for the quarter were $132 million. We continue to have top quartile operating netbacks with our operating netback for the quarter being $27.34 per BOE.

As expected, Q3 was capital-intensive due to the substantial completion of the 3D seismic program in Putumayo and the completion of facilities and accelerated activity at Acordionero. Due to the drilling efficiencies our team achieved during Q3, we were able to drill development wells in record time and shift wells scheduled for Q4 into Q3. We have now completed the key investments required to underpin the expected significant future free cash flow for all shareholders and stakeholders. We forecast GTE will generate free cash flow after development and exploration in Q4 and full year 2020. At $60 Brent, we are projecting free cash flow of $75 million to $100 million during 2020, which we plan to use for net debt reduction and share buybacks. With the Acordionero expansion capital investment behind us, we forecast significantly lower operating cost per barrel ahead.

Despite the substantial investment in Acordionero since the acquisition in 2016, the field has generated $187 million of free cash flow. While the reduction in production during the quarter was unfortunate, we view the situation as temporary as we are now seeing the waterflood at Acordionero responding to the design injection. Our underlying asset value has not changed, and with successful implementation of the waterflood and separate appraisal extensions at Acordionero, we believe the field's asset value has increased. The company has an excellent position with low decline, high netback and long-life assets, which are capable of delivering a strong free cash flow profile and visible growth in production and reserves. We have grown Proved Plus Probable reserves by 163% over the last 3 years, and we expect to continue that trend.

We also have 2 near-term exploration catalysts. We plan to spud the Cocona-1 well on the PUT-1 block before the end of the year, and we're looking forward to the drilling results from the Tautaco well on the LLA-10 block, which is currently drilling.

I'll now turn the call over to Tony, our Chief Operating Officer, to discuss our operational highlights.

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Remi Anthony Berthelet, Gran Tierra Energy Inc. - COO [4]

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Thanks, Ryan, and good morning, everyone. To begin, I'd like to review some significant operational highlights for the quarter. Waterflooded Acordionero accelerated as planned with significant incremental water injection. We're averaging over 30,000 barrels of water injection per day with rates up to 40,000 barrels. We have substantially reduced gas production following the commissioning of the expanded Central Processing Facility, or CPF. We plan to be reinjecting excess gas beyond consumption by the end of the month, and we are encouraged by the waterflood response in Acordionero in terms of both increased pressure and production responses. Indications are looking positive for incremental reserve additions at year-end due to the conclusion of the CPS expansion and waterflood response that is matching internal reservoir simulation modeling estimates.

We are also very excited about preliminary results from Acordionero-54. This development well is the southernmost well drilled in the Acordionero field to date and is located outside the previously established boundary -- southern boundary of 2P and 3P original-oil-place mapping for the field. The Acordionero-54 encountered 348 feet of oil pay on measured depth basis and is expected to be placed on production by the end of November. 54 appears to be similar to the Acordionero-37 well, which is located approximately 250 meters to the north of 54. The Acordionero-37 well was placed on ESP artificial list and had initial 30-day average production of 944 barrels of oil per day of 30-degree API crude with minimal water.

Looking at the rest of our portfolio. Waterflood optimization continued in Q3 at Costayaco with an injector conversion and 2 well stimulations. In addition, the Costayaco-39 well was tested in the Caballo Sand and commingled with the T Sand and produced at stabilized rates of about 1,160 barrels of oil per day at a water cut of 45% on ESP artificial list. This crude is also 30-degree API.

At Cohembi in the Suroriente block, water injection has increased from 15,000 to over 22,000 barrels of water injected per day since we secured operatorship in March of this year. We are now seeing the reservoir pressure increase. This result in Cohembi, along with continued waterflood response in Moqueta, further demonstrate Gran Tierra's waterflood expertise and the long-term benefit of stable cash flow generation from waterflood projects. We have been able to add over 1,000 barrels of oil per day in the field without drilling the well since securing operatorship.

And finally, we are also excited to have activity recommence at Ayombero this quarter. Remedial work on the 3 Ayombero wells has commenced this month, and we will be utilizing an imported (inaudible) to assist in workover operations.

I'll now turn the call back to the operator, and we'll be happy to answer any questions. Operator, please go ahead.

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Questions and Answers

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Operator [1]

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(Operator Instructions) Your first question comes from the line of Ian Macqueen of Eight Capital.

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Ian Macqueen, Eight Capital, Research Division - Principal [2]

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Just a quick question. I know you didn't give 2020 guidance. But with respect to capital spent in 2019 so far, it's $311 million, and your guidance is for $330 million to $340 million for the year. Do you still maintain that guidance, the difference being somewhere around $29 million of CapEx for Q4?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [3]

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On that, Ian, we have been -- we did accelerate some CapEx into Q3. We expect the guidance for Q4 to be anywhere between $30 million and $50 million, depending on if we can accelerate some of the things from Q1 into Q4.

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Ian Macqueen, Eight Capital, Research Division - Principal [4]

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Okay. Okay. Great. And then, again, I know you didn't give guidance for 2020. But your free cash flow profile suggests that either costs are going to be quite a bit lower or capital is going to be quite a bit lower. Can you kind of give us a hint on some numbers? Because then, generally, the Street's quite a bit lower on free cash flow than what your guidance is for.

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [5]

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Yes. That's a great question. In the release, we mentioned how we spent over a couple of hundred million dollars in Acordionero over the last couple of years. I think when you look out to 2020, all of that capital is not reoccurring. That was for the 20-megawatt gas to power, the 15 injectors, water-source wells, facilities, et cetera. We don't have that capital in 2020. So there -- it really is development and drilling in 2020, which will entail some wells in Acordionero, a few in Costayaco and a few in Suroriente. So very little facility CapEx. So that's on the capital side. On the operating cost side, we do expect -- about 25% of our costs this year were power generation costs. We expect that to significantly reduce in 2020, just as we generate our own power using our gas to power facilities that we commissioned in Q4 or end of Q3 (inaudible) CapEx and OpEx.

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Ian Macqueen, Eight Capital, Research Division - Principal [6]

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Okay. That's great. So -- and you will probably provide guidance in sometime early December, I think, as you usually would?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [7]

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Yes. We're meeting with our Board on our long-range plan, our 5-year planning and the 2020 budget in early December. So it will be after that.

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Operator [8]

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Your next question comes from the line of [Alvaro Gonzalez] of UBS.

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Unidentified Analyst, [9]

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My first question goes a little bit to your EBITDA numbers. I'm trying to reconcile them. In Q2, you had like $208 million for your first 6 months, now you have $260 million for your 9 months, which would imply $52 million EBITDA. Thus, should we assume that there were restatements during the first 6 months? And could you give us more details on that?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [10]

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Yes. The main driver -- there's 2 things. One, the main drivers, we've put an adjusted EBITDA number out. And really that is just taking out the impact of the revaluation of our investment in PetroTal. As I'm sure you're aware, we own about 36% of TSX [dealer] with the company that we mark-to-market each quarter. So that created a lot of noise in EBITDA and that's why we showed the 9-month adjusted EBITDA number, to take that noise out. And we also -- in our adjusted EBITDA number, we backed out about $11 million in loss associated with the repurchase of our convertible bonds, which we did in the quarter.

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Unidentified Analyst, [11]

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Right. And I'm talking about your converts are going to your debt. So when you issued the [2017] notes, it was to pin down the $140 million on the revolver. You also tender the premium, which is, of course, anti-dilutive for your shares. You also bought back now 38 million of your shares. However, given the circumstances that have happened, you keep on burning cash and you just draw another $57 million on the revolver that you just paid down. So while I understand that you see kind of your equity shift, I don't know how you see that creators are taking this situation, which is reflected in bond prices.

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [12]

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Yes. And part of the driver of the draw on the credit facility was just really accelerating. If you look at our funds flow from operations compared to our CapEx in Q3, we moved -- just sort of a lot of it to do the efficiencies, we moved some of that CapEx from Q4 into Q3. And that's why we've tried to be very clear that in Q4 and in 2020, we do expect on generating free cash flow to pay down that debt.

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Unidentified Analyst, [13]

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So ideally, from the free cash flow that you are guiding, the idea would be to pay first the revolver before keep on doing buybacks?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [14]

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Yes. In our release, we said the free cash flow will be used for debt reduction and share buybacks, but we would like to pay off the revolver.

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Operator [15]

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Your next question comes from the line of Josef Schachter of Schachter Energy.

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Josef I. Schachter, Schachter Energy Research Services Inc. - Author & President [16]

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This has been a 2-quarter issue with the -- bringing on the power generation in Acordionero. Was there delays in terms of the equipment coming in? Why -- and now that you got it working, you put in the comment in the oil and production and the average volumes that you expect the production to begin to increase in the fourth quarter. Are you still looking for a number like 38,000 for your exit in 2019? How do you feel about the wells coming on? And are there still quite a few wells? You've got production up to 34,000. Are there still more wells to be brought on?

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Gary Stephen Guidry, Gran Tierra Energy Inc. - President, CEO & Director [17]

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Yes. On the power generation, we took a little bit longer than expected on converting the well pads -- the actual producing well pads over to power. We had the facilities, the water injection all converted over the summer. And the reason that we took a bit longer is to be careful and to make sure that we didn't have any shutdowns, which causes us problems with pumps, et cetera. And so that was really a delay that we self-imposed. In terms of forecast and where we're going, what we try to be very clear on is that we're now seeing the response from the waterflood. We're seeing the pressure response, and we're starting to speed up pumps, we're starting to increase production with those responses. We're not really in a position to say how fast we'll do that over the next 2 quarters. But what we are comfortable in saying is, everything is happening as expected, it's just a matter of timing. As we said last quarter, we're quite certain in where we're going with this field. We're quite certain that the field reserves are growing, the value is growing. It's just a matter of the timing on the response of the waterflood. And we're starting to see that now. We mentioned we're at 34,000 barrels a day. We've got a couple of thousand barrels a day of production to bring on. It's a little bit slower and -- where we're operating, socializing workover rigs and timing-wise, but we're bringing that couple of thousand barrels on stream as fast as we can.

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [18]

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And Josef, there are a few additional wells, too. We list TDed the Costayaco-41, we just TDed Acordionero-54. If you look at Costayaco-41, we mentioned in the press release based on logs, it's similar to 39, which was 1,000 barrel a day well. And 54 is a pretty exciting well. We just have logs, but we will be testing here shortly. But it really pushes the Acordionero field to the south. And if you look at our updated corporate presentation, there's some really insightful slides that shows why we're very comfortable on the waterflood response as well as where Acordionero-54 is located in the structure. As you recall, in the southern part of the field, the seismic isn't great. And so this is really pushing it much further to the south.

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Josef I. Schachter, Schachter Energy Research Services Inc. - Author & President [19]

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Okay. Are you planning to do more NCIB in Q4? Or are you going to hold off, given where the stock is, given how the market has taken this news of production negatively? Are you going to be more active or less active in terms of the NCIB?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [20]

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As of today, we're maxed out under our NCIB at the 5%.

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Josef I. Schachter, Schachter Energy Research Services Inc. - Author & President [21]

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Okay. Are you planning to ask for an additional one from the exchanges?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [22]

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Yes. We can ask for a renewal. We're working through that right now. We're working through that right now.

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Gary Stephen Guidry, Gran Tierra Energy Inc. - President, CEO & Director [23]

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But I think -- Josef, I think the statement that we made with free cash flow, we are absolutely looking at using that for share buybacks. So the answer to your question is, yes.

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Josef I. Schachter, Schachter Energy Research Services Inc. - Author & President [24]

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Yes, in 2020?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [25]

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Yes.

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Gary Stephen Guidry, Gran Tierra Energy Inc. - President, CEO & Director [26]

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Yes.

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Operator [27]

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Your next question comes from the line of Chelsea Colón of Aegon.

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Chelsea Colón, Aegon Asset Management - Credit Research Analyst of Emerging Markets [28]

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I just have a couple of questions. My first one is related to the production guidance for the year. I'm curious why you haven't revised down the guidance, as it seems at this point, in order to achieve your revised guidance from last quarter, you'd have to have a pretty significant increase in 4Q that doesn't seem too likely. And then my second question is related to the revolver. It's mentioned in the notes that it's reserve-based borrowing and there's going to be a reassessment this month. So I'm wondering what your expectations are on that and any color you could provide on whether you're expecting the availability to increase or decrease as a result.

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [29]

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Yes. With respect to the production guidance, I think what we've tried to do is to be as transparent as possible is -- saying, here's the actuals for the first 9 months, which you correctly point out, and here is what our current production is. And we plan on bringing on 5 to 6 additional wells before the end of the year. So we'd expect our guidance to be within 3% of the guidance previously getting -- anywhere between 2% and 4%, it just really comes down to, as Gary mentioned, the ramp-up in Acordionero and bringing on those wells. And with respect to the revolver, we're in the process. We -- our objective would be to keep it at $300 million available.

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Chelsea Colón, Aegon Asset Management - Credit Research Analyst of Emerging Markets [30]

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Okay. And can you just remind me when the drawn amounts come due? What's the maturity of the revolver?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [31]

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2021.

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Operator [32]

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Your next question comes from the line of Jose Silva of BTG Pactual.

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Jose Maria Correia da Silva, Banco BTG Pactual S.A., Research Division - Research Analyst [33]

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I was wondering if you could share with us what's the current level of production at Acordionero? Because you said at the current level as a total is 34,000, but I would like to understand how is Acordionero as of now? And if you could share some detail on what composes the workover expenses that you report on your P&L. That would be it for now.

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Remi Anthony Berthelet, Gran Tierra Energy Inc. - COO [34]

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Thanks, Jose. It's Tony here. Current production at Acordionero is just over 16,000 barrels of oil per day.

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Gary Stephen Guidry, Gran Tierra Energy Inc. - President, CEO & Director [35]

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Yes. And what -- the question on workover costs. What was -- could you repeat that, please?

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Jose Maria Correia da Silva, Banco BTG Pactual S.A., Research Division - Research Analyst [36]

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Yes. I was wondering what comprises in that figures, what's there? And trying to have some visibility on how that would be moving going forward, if you expect the current levels to be maintained or to be reduced?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [37]

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Yes. With respect to workovers, those are really [primarily] for ESP replacements. So if we were to add reserves, then the ESP -- then workover costs are capitalized. These are really predominantly relating to ESP replacements. And as we have more stable power, which we're seeing now, we do expect that number to decrease in the future.

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Jose Maria Correia da Silva, Banco BTG Pactual S.A., Research Division - Research Analyst [38]

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Okay. That makes sense. Just another question. Basically, you guys have an internal, not official, cap on net leverage of around 1.5x. That's what you basically usually mention. We are a bit higher now, and we could maybe even be a little bit higher in the fourth quarter. Do you have any visibility on how this would be moving? And if you would be willing to change your internal cap a little bit higher? Any visibility here on the net leverage?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [39]

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Yes. It really is a target that we try to be under 1.5. And if you look at this quarter, kind of what we would expect with a large facility program, you put all the CapEx in, but you don't get the associated production with it until the future. So that's why we're really targeting that $75 million to $100 million of free cash flow for next year, to get below that 1.5 target.

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Jose Maria Correia da Silva, Banco BTG Pactual S.A., Research Division - Research Analyst [40]

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Okay. So the 1.5 will then be like, let's say, a 2020 year-end target? And that it could be a little bit higher between now and then?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [41]

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Correct.

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Jose Maria Correia da Silva, Banco BTG Pactual S.A., Research Division - Research Analyst [42]

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That's correct. Okay. Just a last question, I'm sorry to bother. Do you have any visibility on the working capital for the last quarter because there was some negative impact in third quarter? Could you comment a little bit on the working capital and how you see it?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [43]

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Yes. A big driver in working capital, we have a receivable building, a lot of it relates to our VAT. As you know, in Colombia, we paid VAT on our -- a lot of services and products. So we're looking at clawing back that VAT. It's about $100 million of VAT we had at the end of September.

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Operator [44]

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Your next question comes from the line of Nikolay Menteshashvili from Insight Investment.

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Nikolay Menteshashvili, Insight Investment Management Limited - Credit Analyst [45]

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Apology to returning back to the production. I think in one of the production updates back in July, after you solved problems with a kind of the demonstrations you've seen in Putumayo, that production then was also 34,000 barrels per day, and it was expected just to increase after that. I was just wondering, since July to till now, have there been any other decreases in production, like any other wells that you had or any other comps that broke down and that you had to replace? Just to check on that. And the second one, on the 5 to 6 new wells. Could you repeat, please, what's the expected production you see from the new wells coming potentially? Because I think we'll align with that.

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Gary Stephen Guidry, Gran Tierra Energy Inc. - President, CEO & Director [46]

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Sure. I'll answer the first part of that question and then Tony can answer the second part. In terms of what did we forecast last summer, the part that we're quite comfortable with, as all of the other big fields, and they're performing as forecasted because they're mature, mature waterfloods that we're simply expanding. Where we were a bit uncertain on our forecast was at Acordionero because we were behind on the water injection project, and we've explained that was a labor issue and a conscious decision that we made that put ourselves in that position. It really was catch up. And forecasting how quickly we would see the response was a bit of a challenge, and we see the visibility getting clearer for us now. We're not comfortable from a reservoir simulation from all the engineering modeling to say exactly what's going to happen next month. But what we are comfortable saying is that over the next couple of quarters, we're going to continue increasing production as the pressure responds in the field. And so that's really the -- where we're at on guidance that Ryan was explaining. And there's really no change in our views on how that Acordionero field is responding, and the rest of the fields are on target. And so that's the first part of the question, and Tony will answer the second.

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Remi Anthony Berthelet, Gran Tierra Energy Inc. - COO [47]

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Yes. Nikolay, with respect to the 5 to 6 additional wells to come on, we've got a couple of new wells that will be coming on, right, I talked about those in Costayaco and Acordionero, and then we've also got some ESPs that will be coming on in the fourth quarter, 3 to 5 wells, depending on timing and equipment availability, which would account for about 1,500 BOE a day. So that's -- that kind of totals up to 5 or 6 wells that we're bringing on at year-end.

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [48]

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Then 1,500 barrels a day was for the workover wells and in addition to Costayaco and Acordionero well as we mentioned.

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Remi Anthony Berthelet, Gran Tierra Energy Inc. - COO [49]

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Yes. And both of those look like they're in that 500 to 1,000 barrel a day range.

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Nikolay Menteshashvili, Insight Investment Management Limited - Credit Analyst [50]

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Can I just turn back to the first question? So since July, basically, do you imply that you've seen kind of decline in the existing wells and now you started to seeing increasing as the kind of water injection starts and production should increase from now? Is that understanding that there was a decline, basically from the...

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Gary Stephen Guidry, Gran Tierra Energy Inc. - President, CEO & Director [51]

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Yes. The answer is, yes. Since July, August, when we -- Tony mentioned, we ramped our water injection up to the 30,000 barrel a day rate, we're now starting to see the pressure increase across the structure. And that's really what we were waiting to see. We're now, without those pressure responses, able to produce at higher rates. And that's what we're literally over the last 3, 4 weeks have been able to start doing with the wells, and that will continue. That will continue as we continue to ramp our water injection up to the 40,000-plus barrels per day. Does that answer your question?

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Nikolay Menteshashvili, Insight Investment Management Limited - Credit Analyst [52]

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Yes, yes, yes. That's fine.

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Operator [53]

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We have a follow-up question from Chelsea Colón.

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Chelsea Colón, Aegon Asset Management - Credit Research Analyst of Emerging Markets [54]

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Would you be able to provide the average production by month in the third quarter? And more recently, if possible, just to maybe give more context to the situation and the timing of events?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [55]

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Yes. The production per month, we don't publish, but the ANH does publish for the entire country production by field. And they have actuals up there for July and August. You can see, you can go back as far as you want and they should have their September numbers available shortly.

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Chelsea Colón, Aegon Asset Management - Credit Research Analyst of Emerging Markets [56]

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Okay. And when you say that current production is 34,000 barrels per day, you mean like today in November?

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Ryan Paul Ellson, Gran Tierra Energy Inc. - CFO & Executive VP of Finance [57]

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Correct.

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Operator [58]

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Gentlemen, there are no further questions at this time. You may continue.

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Gary Stephen Guidry, Gran Tierra Energy Inc. - President, CEO & Director [59]

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Thank you, operator. I'd like to thank everyone once again for joining us today, and we look forward to speaking with all of you over the next quarter to update you on our ongoing progress.

Thank you very much.

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Operator [60]

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Ladies and gentlemen, this concludes today's conference call. Thank you all for joining.

You may now disconnect.