Canacol Energy Ltd. (CNEC) , the Calgary-based oil company that operates fields in South America, fell 10 percent to 1,075 pesos, a record low.
The company plans to begin drilling on the first of three wells in its contracts in the Caguan-Putumayo basin within three weeks, according to a statement on its website. The company said it delayed drilling, originally planned for July, after it decided to focus on conventional wells, which it can drill “significantly faster,” instead of stratigraphic wells, aimed at evaluating subsurface rock formation.
The delays in Caguan-Putumayo came after the company abandoned an exploratory well in Guyana in April, saying it wasn’t fit for beginning production.
“Being an exploration company, delays or problems in exploration campaigns diminish the company’s potential value,” said Juan David Pineros, analyst at Interbolsa SA, Colombia’s biggest brokerage.
Bloomberg.
