NG Energy announces commissioning of 28.3km pipeline at Sinu-9 by its partners Infraes and Kronos

NG Energy International release

CALGARY, AB, August 26, 2024 – NG Energy International Corp. (“NGE” or the “Company”) (TSXV: GASX) (OTCQX: GASXF) is pleased to announce the commissioning of the 28.3 km pipeline from Jobo to the Brujo Central Processing Facility (the “CPF”) at Sinu-9 by its partners INFRAES and Kronos. The permitting, engineering, procurement and construction to commissioning of this pipeline project has taken place over nine months and is the result of the tireless efforts of our partners at INFRAES and Kronos as well as the community’s accommodation in Cordoba to bring this greenfield project to life. The commissioning of this pipeline marks a significant milestone in the Company’s mission of bringing natural gas to the national transportation system from one of the most prolific onshore natural gas discoveries in Colombia in the last twenty years.  

Mr. Hugo Giraldo, CEO of INFRAES commented. “As we celebrate this significant milestone together, I'd like to acknowledge that our collaboration with NG Energy on Phase 1 of the Sinu-9 project has fostered a strong foundation of trust. We're looking forward to a long-term collaboration with NG Energy on this first phase and future phases that will significantly contribute to urgently addressing Colombia's current gas supply challenges.”

Sinu-9 Development Update

Over the last three weeks, the Company and its partners have completed the following:

• The successful completion of the Brujo-1x well;
• Completion of the construction of the 28.3 km pipeline from the CPF to Jobo;
• Delivery of vital equipment including treatment plant and compressors;
• Began the commissioning of the pipeline with natural gas tests; and
• Continued electrical and mechanical work critical for full commercial operations of the CPF.

Don Sewell, President and a Director of NGE commented, “I am pleased to see everyone involved with this critical transition energy project come together and execute over the last three weeks, highlighted by the successful delivery and mobilization of vital equipment, including the treatment plant and two compressors as the Company enters the commissioning phase of our Phase-1 infrastructure project at Sinu-9. The team has worked hard to coordinate all 14 partners and contractors to ensure a safe and successful commissioning of the full commercial operation at the CPF. After this week’s continued standard safety testing for the pipeline, we expect to start gas sales by the first week of September, with a gradual safe and steady ramp-up to full production by the end of September.”

Appointment of Vice President Operations

The Company is pleased to announce the appointment of Leonardo Chavez as Vice President of Operations, as part of the Company’s human resource strategy as it executes the successful completion of Phase-1 and enters Phase-2 at Sinu-9 along with evaluating production optimization and growth opportunities at Maria Conchita.

Leonardo Chávez brings over 23 years of experience in the oil and natural gas industry, with a background that includes serving as Chief Operating Officer for Bond Energy Solutions in Colombia, and a 19-year tenure at Schlumberger, where he held various leadership positions such as Sales & Marketing Manager for Colombia, Peru, and Ecuador, Operations Manager for Latin America North, and other key roles. Mr. Chávez holds a degree in Mechanical Engineering from Universidad Simon Bolivar in Caracas, Venezuela, and two executive MBAs from Mannheim Business School in Germany and ESSEC Business School in France.

Brian Paes-Braga, Chairman and CEO of NGE commented “This marks a historic day for NG Energy, our shareholders and for all Colombians as our partners commission the long anticipated 28.3km pipeline that will alone represent 4% of Colombia’s current gas needs. I want to personally thank Hugo from INFRAES, our partners at Kronos, and their remarkable teams, as well as our entire team for working tirelessly throughout the summer to complete Phase 1, which represents the first gateway to bringing our desperately needed transition fuel to the Colombian market from our two major discoveries at Brujo and Magico on the world class Sinu-9 concession. Q3 will be a turning point for our Company as we ramp up production at Sinu-9 from Phase 1 and set our sights on continued industry-leading organic growth as part of our mission to be Colombia’s natural gas champion.”

Mr. Paes-Braga continued “I want to personally welcome Leonardo to the NG team. Leonardo’s impressive track record operationally in the energy sector, combined with his deep understanding of Latin American markets, makes him an exceptional addition to our team. We are fortunate to have him join us as he focuses his attention on working closely with our exploration team in executing our development program as well as further optimizing our production and development operations as we enter our next phase at Sinu-9 and as a business where operational excellence becomes a key factor in sustainable value creation.”