Canacol Energy says gas sales averaged 170 MMscfpd in October

Canacol Energy provides the following gas sales and drilling operations update. Realized contractual natural gas sales were 170 million standard cubic feet per day for October 2023. As previously announced, commencing the second week of August 2023 the Corporation experienced unusual and unexpected production capacity restrictions at some of its gas fields as a result of issues at the Jobo gas treatment facility as well as certain of its producing wells. As a result of the foregoing the Corporation has had to restrict gas deliveries under certain supply contracts dedicated to supplying non-essential gas demand, all in accordance with applicable Colombian regulations and in consultation with the relevant authorities. The Corporation has since executed a number of successful remedial measures and is finalizing other ones in order to bring production back to normal levels by the end of November. The Corporation continues to expect that it will be able to make up lost sales volumes by year end and meet its average production and financial targets and therefore reiterates that it does not expect this situation to have a material impact on its overall operations and results for the year. The Corporation completed the drilling of the Pandereta 9 and Nelson 15 development wells, which encountered 134 and 138 feet true vertical depth of net gas pay within the main Cienaga de Oro sandstone target. The wells are currently being tied into the Jobo gas treatment facility and will both be on production within one week. The Corporation anticipates spudding the Pandereta 10 development well within one week, which will be followed by the Clarinete 10 development well to be completed prior to the end of 2023.