Canacol Energy Ltd. Adds 28 BCF of New 2P Gas Reserves to the Clarinete Gas Field with the Oboe-1 Appraisal Well

CALGARY, ALBERTA–(Marketwired – July 26, 2016) – Canacol Energy Ltd. (“Canacol” or the “Corporation”) (TSX:CNE) (OTCQX:CNNEF) (BVC:CNEC) is pleased to report reserves for its Oboe appraisal well tested in March, 2016 on the VIM 5 block.

The Oboe-1 well was completed and tested in 3 of 11 different sandstone reservoir intervals within the Cienaga de Oro (“CDO”) reservoir. The 3 tests flowed at peak rates of 13, 26 and 26 million standard cubic feet per day (“mmscfpd”). The well is in the process of being tied-in to the Clarinete flow line where it is expected to commence permanent production by September 1, 2016. Clarinete 1 and 2ST are currently producing 35 mmscfpd of gas. Oboe-1 further appraises the Clarinete gas field structure and adds 38 billion standard cubic feet (“bscf”) of additional gas reserves to Canacol’s existing portfolio of 3P gas reserves of 419 bscf.