Sunday, November 20, 2016

Positive article on Canacol Energy at Seeking Alpha

Seeking Alpha:

Canacol Energy will double its gas sales to the Colombian Caribbean coast, where natural gas is scarce.

Because of the scarcity, Canacol receives a huge premium, and sells its gas at almost 2X the Henry Hub spot price.

The new pipeline will be built by a third party, so Canacol doesn't face any additional financing risks.

This year's exploration program is paying off huge with several new gas discoveries, which bodes well for a gas reserve update by the end of this year.

Good article that goes into depth about the new pipeline that will double gas sales. However please remeber it will not be up and running until 2018.

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