Good morning, ladies and gentlemen, and welcome to Grand Tierra Energy's conference call for third quarter 2025 results. My name is Shannon, and I will be your coordinator for today. At this time, all participants are on a listening-only mode. Following the initial remarks, we will conduct a question-and-answer session for securities analysts and institutions. Instructions will be provided at that time for you to queue up for your questions. I would like to remind everyone that this conference call is being webcast and recorded today, Friday, October 31st, 2025, at 11 o'clock a.m. Eastern Time. Today's discussion may include certain forward-looking information, oil and gas information, and non-GAAP financial measures. Please refer to the earnings and operational update press release we issued yesterday for important advisories and disclaimers with regard to this information and forward reconciliations of any non-GAAP measures discussed on today's call. Finally, this earnings call is the property of Grand Tierra Energy, Inc. Any copying or rebroadcasting of this call is expressly forbidden without the written consent of Grand Tierra Energy. I will now turn the conference call over to Gary Guidry, President and Chief Executive Officer of Grand Tierra. Mr. Guidry, please go ahead.

Thank you, Janet. Good morning, and welcome to Grand Tierra's third quarter 2025 results conference call. My name is Gary Guidry, Grand Tierra's President and Chief Executive Officer, and with me today are Ryan Elson, our Executive Vice President and Chief Financial Officer, and Sebastian Morin, our Chief Operating Officer. On Thursday, October 30, 2025, we issued a press release that included detailed information about our third quarter 2025 results, which is available on our website.

Ryan and Sebastian will make a few brief comments, and then we will open the line for questions i'll now turn the call over to ryan to discuss our financial results thanks gary good morning everyone first i would like to highlight an announcement made last week relating to the prepayment agreement we closed which represents a new prepayment facility backed by our ecuadorian crude production the initial advance will be 150 million with the potential for another 50 million once our penny ecuador acquisition closes and we reach 10 000 doe per day in ecuador it's a four year structure price is silver plus 3.8 percent and includes a three-month grace period on principle before advertising evenly over the remaining term importantly the commercial terms or sales price are an improvement to our previous crude oil sales contract overall this agreement agreement strengthens our balance sheet and gives us added financial flexibility and a very competitive cost. In addition, we increased our current facilities secured by our Canadian assets to $75 million and, equally important, moved from a 1.1 structure to a two-year structure with maturity in October of 2027. Now, on to the quarter. During the third quarter of 2025 grand tier average 42,685 BOE per day that's up roughly 30 percent from a year ago driven by our Canadian acquisition and continued success from our exploration in Ecuador production during the quarter was temporarily impacted by unusual and externally driven events across our operations including the landslide in Ecuador which impacted the main export pipelines in the country requiring us to shut in production and trunk line repairs at the McKenna field group which resulted in the fuel can shut in for the quarter. The pipeline repairs took longer than anticipated due to ongoing heavy rain through July and August. All pipelines are restored as of October 10th. We want to emphasize that these volumes represent deferred barrels rather than lost production, and we already have seen a strong recovery with current production averaging 45,200 barrels of oil equivalent per day. Based on the referrals, we are forecasting the lower end of our production guidance range. The underlying assets continue to perform well and our teams remain focused on ongoing optimization and maximizing production efficiency and cash flow with an expected exit rate of $47,000 to $50,000 DOE per day. From a cash perspective, it was a solid quarter where we generate $48 million of operating cash flow, up 39% from Q2. We ended the quarter with $49 million in cash and net deposition of approximately $755 million. In terms of pricing, we saw improving differentials across South America, especially in Ecuador, which helped offset some of the impact from temporary facility downtime and pipeline outages. On the capital side, we invested $57 million that focused mainly on high-return projects in Colombia, Ecuador, and Canada. So overall, despite some temporary production headwinds this quarter, we're expecting a strong finish to the year, which sets up for a strong 2023. With production already back above 45,200 barrels a day and the added liquidity from our new prepayment agreement and increase and extension of our Canadian Crab facility, we're in a great position to finish 2025. The 2025 capital program was primarily focused on fulfilling exploration commitment, which resulted in numerous material discoveries. We also invested in facility expansion in Soriente, including gas to power, which provides us with sufficient process capacity to increase production in the field and lower costs. With substantially all commitments behind us, the focus turns to free cash flow and de-leveraging from our large, diversified resource base. We released our 2026 budget in mid-December, which will include a decrease in capital expenditures and emphasis on free cash flow generation. I'll now turn the call over to Sebastian to discuss some of the highlights of our current operations.

Good morning, everyone, and thank you, Ryan. The third quarter highlighted continued operational strength across our entire portfolio with solid execution in Ecuador, Colombia and Canada despite contemporary external challenges. In Ecuador, we had another strong quarter achieving record production greater than 5,000 barrels of oil per day in August and greater than 6,000 barrels of oil per day in early October with the delivery of the Conejo A1 exploration well, which was drilled on budget and successfully tested both the Huyen and Basal Tenet Zands, flowing over 1,300 barrels a day of 26.9 degree API oil under normal natural flow conditions. We plan to re-enter Conejo A1 later this quarter and install the final completion and selectively test each zone to optimize long-term production. We also recently cased and cemented the Conejo A2 well, targeting multiple prospective reservoirs, including the Basal Tenet and Huyen. The well-discovered 41 feet of net reservoir with an average perocity of 14% in the Huyi information, suggesting a well-connected reservoir with high deliverability potential over the full Tanejo structural trap. In addition, we also confirmed a new oil discovery at Chenenge 1, which was a legacy well drilled in 1990 and suspended in 1992 that we re-entered to test a bypass basal tenna interval. It's currently producing 600 barrels a day on jet pumps and has opened up a new follow-up drilling opportunities on the eastern side of the block. With the delivery of the Conejo A2 wells, Grand Tierra has completed all of the exploration commitments in Ecuador and we are now well positioned to continue to increase production into the development phase and establish and help sustain stable field output. At Kohenbe, the water flood continues to deliver excellent results. The production from the northern area has more than doubled, up roughly 135 percent from 2,800 barrels to 6,700 barrels a day. Total field production recently reached over 9,000 barrels a day, the highest since 2014. We are now executing the final six-well drilling program to continue to ramp the field production and extend the Kohenbe field's boundary, including an exploration well to the north as part of the agreed carry program under our contract extension which we expect to complete by the end of the first half of 2026. in canada we drilled and brought two additional lower montany wells on stream in september both performing at or above expectations that brings our 2025 activity at simonet to four grows for two net wells stepping back what really stands out this quarter is the progress we've made in advancing our technical capabilities and field execution from the exploration success we had in Ecuador to optimizing mature water floods in Colombia and efficiently scaling our comedian program our focus remains on disciplined execution and continuous improvement to ensure our assets deliver strong value over time as Ryan summarized we had several unplanned production deferral although our average production for the year will be at the lower end of our annual guidance we will finish the year strong with an expected exit rate between 47,000 to 50,000 barrels of oil produce. I will now turn the call back to the operator, and Gary, Ryan, and I will be happy to take questions. Operator, please go ahead.

Thank you. Ladies and gentlemen, we will now conduct a question and answer session for securities analysts. If you have a question, please press the star key followed by 11 on your touchstone phone. You will then hear an automated message advising your hand is raised. Your questions will be polled in the order they are received. Please ensure you lift the handset if you're using a speakerphone before pressing any keys. One moment, please, for your first question. Our first question comes from the line of David Round with Sifo. Your line is now open.

Thanks. Thanks for the presentation, guys. First one, just on Suriente, please. You seem to have seen and experienced a very sudden production response there, I mean, positively. So great to see.

Can you just talk about though please just sort of what exactly has happened as as that program has been going on over the course of this year you know what of the new production is due to new wells what is water flood and how sustainable is it please yes i'll take that one so in a phasing approach uh really it was the start of injection on the north pattern where where we're injecting essentially 5 000 barrels of water per day in that north pattern on kohumbi 25. the other catalyst was well upsizes so we had a few really key work overs the one well just south of the pattern kohumbi 20 was upside and that went from 500 barrels a day gross to over 2000 so that one's included in the north pattern so now as pressure comes up and we continue to increase our injection we're seeing some really amazing performance from that sand just just to recall those are essentially darcy sands so the response is very quick.

Okay, and then if I think about the production number you've put out there at the moment, I mean, how do we think about that sort of just conceptually going into next year with continual drilling? I mean, is that sort of a base and we should be looking at high ends and that?

I think that's extremely fair what you just described. That's exactly where we're going.

So with the extra six wells that we're putting into the field, we expect to continue you to increment that production from here production and reserves okay great um and then just a second one please just on the prepayment facility how does that work in terms of availability once the repayments start yeah it's so effectively you draw the cash at the beginning of the entire amount the the 150 and then just repay those funds over the course of the four years.

Okay. Over the course of four years. And is it fairly linear in terms of how...

It is. It is. So it's effectively every time we do lifting in Ecuador we'll pay back a portion of the money borrowed.

Perfect. Understood. Thanks, guys.

Thank you. Our next question comes from the line of Joseph Schachter with the SER. Your line is now open.

Joseph Schachter Good morning, guys. A couple questions for me. Congratulations on getting Ecuador up to 6,000 in October. You have on slide 26 of your presentation that the potential could be between 11 and 19,000. Does that include the last two wells, which have been very encouraging? So, guidance potentially would be to the higher end, and the question is, what timeline were you using to get to that, and do you need to put water flood in? Do you have enough water? Maybe just give me a guidance of how Ecuador grows.

Yeah. Good morning, Joseph. The answer to your question is, the guidance on that slide does not include the Conejo discovery to the to the northwest and the the guidance is based on water flood of the basal penna we're in a very good position here that we have a water source in in the stacked page that we have in the hoyin and the tea tea sand and so everything is in place to do that we're working through the field development plans with with the ministry in ecuador and now that we've fulfilled all of our commitments this year on exploration in Ecuador, we're moving to the development phase. And so that will start occurring next year during 2026.

Okay. The debt issue, of course, seems to be the overhang. The market's reaction today, you know, down to a new 52 load, disappointingly. You know, just Just for the levers maybe, Ryan, do we need $75, $80 Brent? Do we need Ecuador over $10,000, $11,000 BOE a day? Do we need some non-core sales of your non-operated assets in Canada? Where do you see getting that debt? Is a debt-to-one target something that will happen before the end of the decade? And how do you see the levers to get there?

Yeah, no, that's a great question. I think one of the things we wanted to emphasize in the press release and our open remarks is now that the exploration commitments and a lot of the Soriente commitments behind us really sets us up to the stage where we're generating free cash flow. We're laser-focused on generating free cash flow in 2026 and beyond. I think if you look at this year's capital program, there's about $150 million in there between exploration and facility expansion and gas to power, etc. So I think with that behind us, when we come up with our budget in mid-December, you'll see the focus on free cash flow.

We'll continue to look at how to optimize the portfolio as far as asset sales and whatnot, but that will just be incremental de-leveraging our base plan is de-leveraging as much as possible through our base operations okay in in some of the cases like the drillers precision and ensign they kind of gave targets to the market and to investors we're going to knock off 100 150 million then they brag when they get there are you guys going to be willing to start throwing numbers like that so that people can see guideposts and yeah you're heading in the right direction uh therefore your valuation which It's just trading at less than one times cash flow in Canadian dollars and much below your 1P reserves that you show in your presentation, the new one, at 1951 U.S. Is that the kind of thing where we can show the debt holders are now giving the equity value to the shareholders by doing something like that?

Absolutely. When we come out with our budget in December, there will be a clear roadmap.

Looking forward to seeing that. Thanks very much for taking my questions.

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

Thank you, Ben. I'd once again like to thank everyone for joining us today. We look forward to speaking with you next quarter and update you on our ongoing progress. Thank you.

This concludes today's conference. Thank you for your participation. You may now disconnect.