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Canacol Energy Ltd T.CNE

Alternate Symbol(s):  CNNEF

Canacol Energy Ltd. is a Canada-based natural gas exploration and production company with operations focused on Colombia. The Company’s production primarily consists of natural gas from the Esperanza, VIM-5 and VIM-21 blocks located in the Lower Magdalena Valley basin in Colombia. The Company’s production also included crude oil from its Rancho Hermoso block in Colombia (Colombia oil). It supplies approximately 17% of the country’s gas needs and more than 50% of the Caribbean Coast’s gas demand. Its gas fields which produce from the Cienaga de Oro and Porquero proven reservoirs are connected to its central Jobo gas processing and treatment facility through more than 169 kilometers of flow lines, mainly flexible steel flow lines. It operates over 1.5 million net acres in 14 exploration and production contracts in Colombia, with 11 of these contracts focused on exploring for and developing natural gas. These blocks are all located in the Lower & Middle Magdalena Basins of Colombia.


TSX:CNE - Post by User

Bullboard Posts
Comment by algroveon Mar 12, 2012 7:14pm
497 Views
Post# 19659725

RE: PRE TAKE OUT ?-yoplait

RE: PRE TAKE OUT ?-yoplait

You said "I'm getting bored with CNE s lack of exploration."

 

As we write, they have 4 significant drills going on concurrently, any one of which could be quite significant if successful.  Two are classified as exploratory and two as development, even though they have more the characterisitcs of exploratory:

 

1.  Andaquies.  36% interest.  Light oil region, southern Colombia.

2.  Cedrela.  100% interest.  Light oil region, southern Colombia

3.  Agueda 1 Workover.  This is in their new LLA23 (71%) concession just north of and in line with Rancho Hermoso.  The contract payments receivable here are 3 times what they get in RH and they have 47 feet of already discovered and by-passed C7 pay.  In slide 9 of their Feb 2012 presentation they provide a comparison with two other by-passed C7 zones in RH where they re-entered.  The first had 21 feet by-passed and produced 2,100bod of light oil. The second had 33 ft of by-passed C7 and produced  on workover at 3,500 bod.  This one as I said has 47 feet of by-passed pay.  Will wait and see what they can procude at.  If anything like the RH ones and with triple the pay, per the different contract they got, this could be very significant.

4.  RH 16 where they are targetting the Ubaque reservoir (not sure if for the first time) but could be significant, as this zone appears to undrlay in all the other wells.

People were disappointed when they said in their last news release that RH15 has been placed as a water injector.  But that was the plan all along.  If you look at the seismic map in their presentation, you will note it was drilled totally outside the reservoir, 1.6 km west of the nearest producing well.

 

 

 

 

 

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