CALGARY, ALBERTA--(Marketwire - July 20, 2010) - Canacol Energy Ltd. ("Canacol" or the "Corporation") (TSX VENTURE:CNE) is pleased to announce that it has received approval from the Bolsa de Valores de Colombia ("BVC") to be listed on the Colombian Stock Exchange commencing July 22, 2010. The Corporation will be listed under the symbol CNEC at an initial price in Colombian pesos equal to that of the Corporation's share price in Canadian dollars on the TSXV upon close on July 21, 2010. This dual listing enables the Corporation to expand its institutional and retail shareholder base into Colombia where it has the majority of its operations and where capital markets are rapidly growing.

Charle Gamba, President and CEO of the Corporation, comments "The listing in Bogota gives institutional and retail Colombian investors the ability to purchase shares of Canacol through the facilities of the BVC, allowing them to participate directly in the growth of the Corporation. The listing will enhance Canacol's presence in Colombia, become an important source of liquidity for the shares of the Corporation, and Colombia could become a future source of capital for the continued expansion of activities both inside and outside of the country."

The listing on the BVC does not involve the issuance of new common shares of the Corporation or any other securities or derivatives. The listing is structured to allow the common shares of the Corporation that are currently issued and outstanding, and trading on the TSX Venture Exchange, to be traded by institutional and retail Colombian investors through the facilities of the BVC.

Canacol is a Canadian based international oil corporation with operations in Colombia, Brazil and Guyana. Canacol is publicly traded on TSX Venture Exchange (CNE) (http://cxa.marketwatch.com/TSX/en/Market/quote.aspx?symb=CNE) and the Bolsa de Valores in Colombia (CNEC). The Corporation's public filings may be found at www.sedar.com.

This press release contains certain forward-looking statements within the meaning of applicable securities law. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur, including without limitation statements relating to the listing of the Corporation's shares on the Colombian Stock Exchange. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. The Corporation cannot assure that actual results will be consistent with these forward looking statements. They are made as of the date hereof and are subject to change and the Corporation assumes no obligation to revise or update them to reflect new circumstances, except as required by law. Prospective investors should not place undue reliance on forward looking statements. These factors include the inherent risks involved in the exploration for and development of crude oil and natural gas properties, the uncertainties involved in interpreting drilling results and other geological and geophysical data, fluctuating energy prices, the possibility of cost overruns or unanticipated costs or delays and other uncertainties associated with the oil and gas industry. Other risk factors could include risks associated with negotiating with foreign governments as well as country risk associated with conducting international activities, and other factors, many of which are beyond the control of the Corporation.