Canada’s Gran Tierra Energy has increased its net profit on the back of increased revenue and higher production.
The company posted a profit of $1.2 million for the year, on the back of a 32% increase in year-on-year production.
Increased oil and natural gas sales, foreign exchange gains and lower administration costs were partially offset by increased operating costs, income tax expenses and other losses.
Revenue increased by 24% in 2013, compared to 2012, with the company making $723.6 million for the year thanks to increase production.
Further gains in revenue were capped by a drop in average oil prices.
Gran Tierra chief executive Dana Coffield said despite problems with pipeline transportation in Colombia, the company was committed.
“Our dramatic reserve addition success in Peru has created the opportunity for Gran Tierra Energy to establish a second major production platform, which is capable of delivering substantial growth in coming years, building on our already successful business in Colombia,” he said.
Oil and gas production for 2013 averaged 29,099 barrels of oil equivalent per day, a 32% increase in 2012 levels.
2014 production guidance at been set at between 30,000 and 31,000 boepd, consisting mainly of oil production
Guidance is based on the existing discoveries and could increase with exploration success in Colombia.
Gran Tierra announced a $467 million capital program for its exploration and production operations for 2014.
The programme includes 14 wells in Colombia, 2 wells in Argentina and 2 wells in Peru.