Canacol Energy Ltd. today announced a 2011 CAPEX budget of US$106 million for exploration and development activities in Guyana, Brazil and Colombia.
A Canacol release said that the budget consists of US$52 million to fulfill exploration work programmes and pipeline commitments in Colombia, Guyana, and Brazil, and US$54 million dedicated primarily to development drilling and production programmes in Colombia.
“Canacol anticipates to average between 10,000 to 11,000 barrels of oil per day of net after royalty production in 2011, which excludes any production resulting from exploration success, and anticipates that it will have US$65 million in cash at the end of Q4, 2010”, the release said.
The 2011 work programme and budget is expected to be funded from cash on hand and cash-flow from operations.
In Guyana, the company will participate in two exploration wells (Karanambo discovery and Rewa/Pirara River prospects).
Canacol’s website says it is an international oil production and exploration company with operations located onshore in Colombia, Guyana, and Brazil. The Corporation says it has made two significant conventional oil discoveries in Colombia to date, the Capella heavy oil discovery in 2008, and the Rancho Hermoso new pool discovery in 2009.
The Corporation’s common stock trades on the TSX Venture Exchange and the Colombia Stock Exchange under ticker symbol CNE and CNEC, respectively, the website said.
