Presentation

PetroTal is an independent E&P company focused on Peru. The company has a dual listing in Canada and London, with a market cap of USD 200m. Since its listing in 2017, the company has successfully developed the Bretaña oil field ahead of time and below budget. The field is currently producing about 10,000 bbl/day from seven wells with 2P reserves of 48 mill bbl.

The Bretaña field was discovered by Gran Tierra in 2013 and transferred to PetroTal in late 2017. The company achieved first oil in June 2018, only six months following the acquisition. Since then the company has delivered a 23% growth in 2P reserves (as of YE’19) driven by better than expected production. The company targets an increase in production from 10,000 bbl/day to >15,000 bbl/day in 2021-22 driven by the drilling of eight more production wells.

Whilst the company has delivered ahead of expectations, the operations were interrupted by Covid-19. In May, production was temporarily halted due to a shut-in of the third-party operated export line and shortly after production resumed in July, civil unrest led to another shutdown. PetroTal was not the target of the protests as it employs about 15% of local workforce as well as other initiatives, and production has now resumed following an agreement between local communities and the federal government.