Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Canacol Energy Ltd. (CNE 3.43%) jumped 10% today after announcing drilling results.
So what: The Leono 1 explorations well in the Llanos Basin in Columbia showed 133 feet of net oil pay from 4 different reservoirs. That's double what the company discovered at the Labrador discovery last year.
Now what: Canacol is already preparing to conduct production testing once it receives regulatory approval. Once that's completed, it will drill four more appraisal wells at Leono, which I would expect to be drilled early next year. This is very positive news for Canacol and with an 80% working interest in the oil field we should begin seeing a significant impact on the company's income statement next year.
