Gran Tierra Energy Inc (NYSEAMERICAN:GTE) Stock Moves Up After The News

Not too long ago the Gran Tierra Energy Inc (NYSEAMERICAN:GTE) stock had been going through a bit of a tough time and had recorded a decline. However, after the company provided an update with regards to its operations on Wednesday, the stock has managed to make a bit of a recovery in the premarket trading period today.

Market Stats

On Wednesday, GTE stock slid 3% at $0.83 with more than 3.25 million shares, compared to its average volume of 6.80 million shares. The stock has moved within a range of $0.8050 – 0.8650 after opening the trade at $0.85.

Announces Restoration of Production

At this point in time, the Gran Tierra stock has managed to record gains of as much as 4% in the premarket period and it remains to be seen if the stock can continued to add to tis gains today.

Yesterday the company announced that the blockade from local farmers in Columbia that had been directed at the government had finally come to an end and was no longer affecting the company’s operations in the country. More importantly, due to the end of the blockade the production was also going up for Gran Tierra.

The company announced that it was working diligently to take its production at the PUT-7 and Suroriente projects to the earlier levels of 4400-4600 barrels a day. The latest update seems to have come as a timely boost for the company and its stock. Moreover, the current total production has also gone back up to 30500 barrels per day.

Key Quote

Gary Guidry, President and Chief Executive Officer of Gran Tierra, commented: “We are pleased that we are safely and diligently ramping operations back up in the southern region of the Putumayo Basin. The Colombian government has been very supportive in resolving the blockade and disruption in the area where we have operations. Although the blockade modestly impacted Gran Tierra’s fourth quarter of 2021 production volumes, we believe that barrels not produced this quarter will simply be deferred to future quarters, with no expected impact on reserves. With production restored and strong world oil prices, we are excited about the fourth quarter of 2021 and all of 2022.”

Traders Corner

GTE stock is trading above the 200-Day and 50-Day Moving averages of $0.71 and $0.77 respectively. However, the stock is trading below the 20-Day moving average of $0.87. The stock is down 58% in the past 3- month.