Canacol Energy LtdTSX/Alpha:CNEview on OTC Pink - Current Information »

Canacol Energy Ltd. ("Canacol" or the "Corporation") (TSX: CNE) (BVC: CNEC) announced today its financial and operating results for the three and nine months ended March 31, 2013.

Highlights for the Three and Nine Months Ended March 31, 2013

Canacol Energy Ltd. ("Canacol" or the "Corporation") (TSX: CNE) (BVC: CNEC) is pleased to announce the results of its Labrador 2 well on the Labrador discovery (announced in December 2012), located on the LLA23 Exploration and Production ("E&P") Contract immediately to the north of the Corporation's Rancho Hermoso field in the Llanos Basin of Colombia. Unlike the Rancho Hermoso field, which is governed by contracts with Ecopetrol S.A., the LLA23 contract is governed by the Agencia Nacional de Hidrocarburos, which receives a variable base royalty beginning in an 8% related to gross production resulting in 2-3 times better netbacks and reserve valuations than those available under the Rancho Hermoso tariff and non-tariff contracts. The Corporation has an 80% operated working interest in the LLA23 contract, with Petromont Colombia S.A, Sucursal Colombia holding the remaining 20% interest. The Labrador 2 well is the second well drilled into the Labrador discovery, situated approximately 5 kilometers to the north of the Corporation's Rancho Hermoso field.