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Gran Tierra Energy, a Canadian oil and gas company, has announced a new oil discovery at the Charapa-B7 well in Ecuador.
This latest find marks the company's sixth consecutive oil discovery in the South American nation, contributing to a cumulative production of one million barrels since 2022.
The series of successful explorations includes the Charapa-B5, Charapa-B6, Charapa-B7, Bocachico-J1, Bocachico Norte-J1 and Arawana-J1 wells.
Notably, three of these wells, including the recent Charapa-B7, have been drilled in the Basal Tena formation.
The other wells, such as Charapa-B5 and Charapa-B6, were drilled in the Hollin zone, and Bocachico Norte-J1 and Arawana-J1 in the T-Sand zone.
Despite the new discovery, Gran Tierra reported a net income of $1m (C1.39m), a decrease compared with $36.4m in the previous quarter and $7m in the third quarter of 2023 (Q3 2023).
However, the company also achieved an increase in funds flow from operations, reporting $60m, a 31% rise from the prior quarter.
The company's total average working interest production for Q3 2024 stood at 32,764 barrels of oil per day.
In terms of operating expenses, the company has managed to reduce costs by 7%, bringing them down from $49m to $46m.
Despite the cost-cutting measures, Gran Tierra's oil sales fell by 16% to $151m when compared with Q3 of the previous year.
Gran Tierra president and CEO Gary Guidry said: “The productivity of the Ecuador wells is a testament to the geology in the Oriente and Putumayo Basins and underpins a key pillar of growth going forward.
“We remain excited about the potential of the Arawana-Bocachico play, and the two remaining Zabaleta wells to be drilled by the end of the year that will provide essential insights into the size and scope of this promising opportunity.”
In August, Gran Tierra announced an oil discovery at the Charapa-B6 well in Ecuador's Oriente basin.
It marked the third oil discovery for Gran Tierra in 2024 and the fifth in Ecuador since the company resumed its exploration campaign following the Covid-19 pandemic.
"Gran Tierra Energy makes new oil discovery in Ecuador" was originally created and published by Offshore Technology, a GlobalData owned brand.
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