Gran Tierra Hits Oil In Colombia, Adding To Argentina Find

Gran Tierra Energy Inc. (GTE, GTE.T), an oil company listed in Canada, said Wednesday it found oil at an exploratory well in Colombia.

The Calgary-based company said initial testing of the Melero-1 well on the Garibay Block in Colombia's Llanos basin yielded an average production of 922 barrels a day of oil.

It said it has now suspended the well to do long-term testing.

Gran Tierra Energy holds a 50% working interest in the Garibay Block while the local unit of Compania Espanola de Petroleos, S.A., or CEPSA, holds the remaining 50% and is the operator of the block.

The news comes two days after oil was found at an exploration well in Argentina that Gran Tierra also has a stake in.

Sweet light crude oil was found at the Rinconada Norte Block in the province of Neuquen in southern Argentina. Gran Tierra has a 35% stake in Riconda Norte, while another Canadian firm, Americas Petrogas Inc. (APEOF, BOE.V), has the remainder.

Gran Tierra shares closed at $5.77 Tuesday on the Toronto Stock Exchange, down 24% from the $7.64 price it was trading at six months ago.