Canacol Energy Ltd. reported sales results for the fourth quarter of 2019. Realized contractual natural gas sales for the fourth quarter of 2019 averaged approximately 180 million standard cubic feet per day (“MMscfpd”), a 23% increase compared to the 146 MMscfpd in gas sales for the third quarter of 2019. Sales from December 1, 2019 to January 18, 2020 have averaged approximately 208 MMscfpd as certain scheduled long-term take or pay sales contracts came into effect on December 1, 2019.

The company reported Using the Pioneer 53 drilling rig, the 2020 drilling campaign commenced with the spud of development location, Nelson 14 on January 11th 2020. The well is presently drilling ahead at 6,500 feet measured depth, and once completed will be tied into the Nelson field's gathering system via the Betania sub-station. The drilling rig will mobilize to Clarinete 5 with anticipated spud in mid-February 2020. The Corporation plans to drill a total of 12 exploration, development, and appraisal wells in 2020. Eight of the twelve wells are planned to be drilled with the Pioneer 53 drilling rig. The Corporation is currently negotiating a second drilling rig which will commence the drilling of four exploration wells commencing in May 2020.