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Canacol Energy Ltd. Provides Production Update

Source: www.gulfoilandgas.com 8/2/2013, Location: South America

Canacol Energy Ltd is pleased to provide an update of its Corporate production from Colombia and Ecuador. For the month of July 2013, average net Corporate production before royalties was approximately 10,120 barrels of oil equivalent per day (“boepd”) which consisted of approximately 7,027 bopd of crude oil and approximately 17.6 million standard cubic feet per day (“mmscf/d”) (3,093 boepd) of gas. For the months of May and June 2013, average net Corporate production before royalties was approximately 8,616 boepd which consisted of approximately 5,794 bopd of crude oil and approximately 16.3 mmscf/d (2,822 boepd) of gas. The increase in Corporate production in July comes primarily from the Corporation’s Labrador oil discovery on the LLA23 block, the Libertador – Atacapi fields in Ecuador, and from increased volumes associated with the Corporation’s Nelson gas field.

Charle Gamba, President and CEO of the Corporation, commented “We are pleased that our development and exploration drilling programs have yielded the expected results, with production building steadily through the year according to plan. We expect production to build through the remainder of the year, and anticipate more good news on the exploration front from our remaining drills for calendar 2013.”

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