Canacol Energy Provides May Gas Sales

(Canacol Energy, 3.Jun.2022) — Canacol Energy Ltd. (TSX:CNE; OTCQX:CNNEF; BVC:CNEC) provided the following information concerning its May 2022 natural gas sales and the results of the Alboka 1 exploration well, along with near term drilling plans.

Gas sales averaged 189 MMscfpd for May 2022

Realized contractual natural gas sales (which are gas produced, delivered, and paid for) were approximately 189 million standard cubic feet per day (“MMscfpd”) for May 2022.

Alboka 1 exploration well tests 33 MMscfpd

The corporation completed the drilling of the Alboka 1 exploration well located on the VIM-5 Block 100% working interest and operated by CNE OIL & GAS S.A.S. Alboka 1 was spud on 5 May 2022 and reached a total depth of 10,155 feet measured depth on 18 May 2022. The well encountered multiple gas filled sandstones between 7,778 and 9,078 feet true vertical depth within the primary Cienaga de Oro (“CDO”) sandstone reservoir target with average porosity of 22 percent.

The well was flowed for a total of 24 hours with an average production rate of 6 MMscfpd during the first 22 hour flow period, 23 MMscfpd production rate during the following 2 hour flow and a final rate of 33 MMscfpd. The well is currently shut in for a pressure build up. The corporation is commencing the laying of a flow line to tie the well into permanent production.

Forward Drilling Program — Cornamusa 1 exploration well and Toronja 3 development well

The Petro Polar drilling rig is preparing to spud the Cornamusa 1 exploration well located on the corporations 100% working interest VIM 21 E&P Contract. Cornamusa 1 is targeting gas bearing sands within the CDO sandstone reservoir. The Cornamusa 1 exploration well should take approximately 4 weeks to drill, test, and complete.

The Pioneer drilling rig is being mobilized to drill the Toronja 3 development well located on its 100% working interest VIM 21 E&P contract. Toronja 3 is targeting gas bearing sandstone reservoirs within the Porquero Formation which are productive in the offsetting Toronja 1 and 2 wells. The corporation anticipates spudding the well in mid June 2022, which is planned to take 3 weeks to drill, complete and tie in to permanent production.