Gran Tierra Energy (NYSE:GTE) Petrolifera Petroleum Changes Production Picture

The announced acquisition by Gran Tierra Energy (NYSE:GTE) of Petrolifera Petroleum Limited has potential significant impact on the outlook for Gran Tierra, and Canaccord Genuity said they're puting the rating of the company under review until there's more visibility.

Canaccord said, "We are placing our estimates and rating under review as a result of the announced acquisition of Petrolifera Petroleum Limited. Gran Tierra adds nearly 3,500 boe/d of production (81% oil) plus a large undeveloped land base in three countries where the company already operates. Once Gran Tierra management announces plans for the Petrolifera assets, we will be able to assess the production and exploration impact on the company and revise our estimates and valuation accordingly; however, our initial view of the transaction is positive."

Gran Tierra Energy (GTE) closed Tuesday at $8.44, losing $0.03, or 0.35 percent.