...Fitch Ratings affirmed Canacol Energy Ltd.'s Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs) at `BB¡', and the company's senior unsecured notes at `BB¡'/`RR4' on June 7, 2019. The Rating Outlook is Stable. The ratings reflect Canacol's long-term contracted sales with investment-grade counterparties, low production costs and its regional importance for Colombia. The ratings also reflect the company's robust reserve life, with its adequate capital structure. Fitch expects Canacol will remain a low-cost producer while incrementally increasing production levels to an average of 38,000 barrels of oil equivalent per day (boed) once the Promigas pipeline expansion goes on line at the end of June 2019, from expected final production of 19,667 boed for 2018. Canacol's ratings are constrained by its relatively small size and the low diversification of its gas fields. The company's reserve life is projected to remain at nearly 10 years, relatively unaffected by the expected doubling...
