Canacol Energy Ltd. provided the following information concerning the new Pomelo 1 gas discovery. The Pomelo 1 exploration well, located on the 100% operated VIM-21 Exploration and Production ("E&P") contract, was spud on February 19, 2024 and reached a total depth of 12,276 feet measured depth on March 3, 2024. The well encountered 96 feet true vertical depth of net gas pay with average porosity of 21% within the primary Cienaga de Oro ("CDO") sandstone reservoir.

The CDO reservoir was perforated over a 48-foot Interval and was tied into the existing flowline to the Betania station. The well is producing with a downhole gauge into the Jobo gas treatment facility. The well started at a production rate of 4 million standard cubic feet per day ("MMscpd") for 6 hours at a choke 21/128".

The rate was subsequently increased to 6 MMscfd and 8 MMscfpd for 6 hours and 24 hours respectively. The well was tested at a rate of up to 10 MMscfpd at choke of 30/128", and is now producing into the Jobo gas treatment plant at a controlled rate of 8 MMscpd. The Corporation is currently mobilizing the rig to drill the Chontaduro 1 exploration well located approximately 3 kilometers to the north of Pomelo discovery.

The Chontaduro 1 well is targeting the CDO sandstone reservoir, with a secondary uphole target within the Porquero sandstone reservoir, both of which are productive in the area. Chontaduro 1 will spud prior to the first week of April 2024, and will take approximately 3 weeks to drill and complete.