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Canacol gets environmental permit for pipeline expansion


Published Jul 14, 2015
Canacol Energy Ltd.

Canacol Energy Ltd. says that the Autoridad Nacional de Licencias Ambientales has approved the environmental permit enabling Promigas S.A. E.S.P. to commence construction necessary to increase capacity of the existing Jobo to Cartagena natural gas pipeline. Promigas has all necessary materials located in the field and construction is anticipated to commence immediately. This expansion allows Canacol to increase net gas production by an additional 65 million standard cubic feet per day (11,400 barrels of oil equivalent) commencing December 1, 2015. Upon completion of this pipeline expansion, anticipated to be prior to December 1, 2015, the Corporation's net natural gas production will increase to approximately 83 mmscfpd (14,500 boepd).

In June of 2015 the Corporation awarded a contract to Promisol to expand the capacity of Canacol's existing gas processing facility located at Jobo from the current capacity of 50 mmscfpd to 140 mmscfpd. This expansion is anticipated to be completed in early November 2015. The Corporation is also completing the tie in of the Clarinete 1 well into the Jobo processing facility via a 12 kilometer flow line, which is scheduled to be completed in September 2015. The productive capacity of the Canacol's existing gas wells, located in the Nelson, Palmer, and Clarinete fields (Canacol 100% operated working interest), is approximately 120 mmscfpd (21,000 boepd), more than sufficient to deliver the total 83 mmscfpd (14,500 boepd) of gas required starting December 1, 2015.

Tags: Canacol Energy Inc.




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