General Announcement::Canacol Energy Ltd. Announces 2P Reserves

Issuer & Securities

Issuer/ Manager
CANACOL ENERGY LTD.
Securities
CANACOLENE US$500M5.75%281124A - US134808AD63 - PNTB
CANACOLENE US$500M5.75%281124R - USU13518AC64 - YW0B
Stapled Security
No

Announcement Details

Announcement Title
General Announcement
Date &Time of Broadcast
22-Mar-2024 07:52:48
Status
New
Announcement Sub Title
Canacol Energy Ltd. Announces 2P Reserves
Announcement Reference
SG240322OTHRGFYW
Submitted By (Co./ Ind. Name)
Canacol Energy Ltd.
Designation
SGX-SE
Description (Please provide a detailed description of the event in the box below)
CALGARY, ALBERTA - (March 21, 2024) - Canacol Energy Ltd. ( Canacol or the Corporation ) (TSX:CNE; OTCQX:CNNEF; BVC:CNEC) is pleased to report its conventional natural gas, light, medium, and heavy crude oil reserves, and deemed volumes for the fiscal year end December 31, 2023. The Corporation s conventional natural gas reserves are located in the Lower Magdalena Valley basin, Colombia. Canacol has light and medium crude oil reserves located in the Middle Magdalena Valley basin, Colombia and light, medium, and heavy crude oil reserves and deemed volumes in the Llanos basin, Colombia.

Highlights
Conventional Natural Gas and Light/Medium/Heavy Crude Oil Proved + Probable Reserves and Deemed Volumes ( 2P ):
- 2P before tax NPV-10 of US$2.1 billion at December 31 ,2023, a 10% increase over the prior year value of US$1.9 billion at December 31, 2022
- 2P after tax NPV-10 of US$1.8 billion at December 31, 2023, a 34% increase over the prior year value of US$1.3 billion at December 31, 2022. The significant increase in after tax 2P values is primarily impacted by the Corporation s restructuring in the fourth quarter of 2022, the results of which are first incorporated in this year s reserve report
- Decreased by 6.9% since December 31, 2022, totaling 607 billion standard cubic feet equivalent ( Bcfe ) at December 31, 2023, with a before tax value discounted at 10% of US$2.1 billion, representing both CAD$82.62 per share of reserve value, and CAD$54.63 per share of 2P net asset value (net of US$723.5 million of net debt)
- Reserve replacement of 31% based on calendar 2023 conventional natural gas, light/medium/heavy crude oil reserve, and deemed volume additions of 15.9 Bcf, 0.5 MMBbls, and 0.2 MMBbls, respectively, totaling 20 Bcfe
- 2P Finding and Development Cost ( F&D ) of US$3.17 / Mcfe for the three-year period ending December 31, 2023
- Recycle ratio of 0.4x for the year ended December 31, 2023 (calculated based on the natural gas netback of US$4.11 / Mcf for the year ended December 31, 2023)
- Recycle ratio of 1.2x for the three-year period ending December 31, 2023 (calculated based on the weighted average natural gas netback of US$3.73 / Mcf for the years ended December 31, 2023, 2022 and 2021)
- Reserves life index ( RLI ) of 9.9 years based on annualized fourth quarter 2023 conventional natural gas production of 168,127 thousand standard cubic feet per day ( Mscfpd ) or 29,496 barrels of oil equivalent per day ( BOEPD )
- RLI of 9.4 years based on conventional natural gas production guidance of 177,000 Mcfpd for calendar 2024 (high end 2024 production guidance as announced February 5, 2024)

Attachments

Canacol Energy Ltd. Announces 2P Reserves.pdf
Total size =488K