Gran Tierra Energy's Financial Straits Deepen Amid Asset Sales

Gran Tierra Energy continues to face significant financial challenges, as evidenced by its recent sale of Simonette properties for C$62.5 million. This divestiture, however, is unlikely to substantially alleviate the company's substantial debt burden, which currently stands at approximately three times its estimated 2026 EBITDA, far exceeding industry leverage standards. While debt maturity extensions and covenant removals offer some short-term relief, these measures signal heightened risk to investors, highlighting the company's precarious financial position.