Canacol Energy Closes First Subsequent Advance Under DIP Financing

Executive Summary

• Canacol Energy Ltd. announced the closing of the first subsequent advance under its DIP Commitment Letter, following satisfaction/waiver of all conditions precedent.
• The advance is part of a court‑approved debtor‑in‑possession financing arrangement coordinated with an ad‑hoc group of senior noteholders and overseen by KPMG Inc., the court‑appointed monitor.
• Material non‑public information (MNPI) related to the company’s affairs has been posted on the monitor’s website for review by all stakeholders.

Key Details

• The DIP Financing and associated Commitment Letter were approved by the Alberta Court of King’s Bench (order dated Dec 11, 2025) and recognized by the U.S. Bankruptcy Court for the Southern District of New York (recognition order dated Dec 18, 2025).
• This release follows a prior announcement (Jan 7, 2026) that disclosed closing and receipt of net proceeds from the initial DIP advance.
• The current advance represents the first subsequent draw under the Commitment Letter after all conditions precedent were satisfied or waived.
• Canacol continues to work with its monitor (KPMG Inc.) and DIP lenders to satisfy conditions for additional future advances.
• MNPI provided to DIP lenders has been made publicly available on the monitor’s website: https://kpmg.com/ca/canacol. Investors are advised to monitor this site for updates.

Notable Quotes

(No direct quotes were included in the release.)