Calgary, June 13, 2023: Valeura Energy Inc. (TSX:VLE) (“Valeura” or the “Company”), the upstream oil and gas company with assets in the Gulf of Thailand and the Thrace Basin of Turkey, is pleased to announce the successful completion of its Nong Yao field infill drilling campaign and recent increases in oil production.
Valeura has drilled two horizontal infill wells on its Nong Yao oil field at Licence G11/48 in Thailand, in which the Company holds a 90% operated working interest. Drilling operations were executed safely, below budget, and ahead of schedule. The wells encountered approximately 1,000 and 700 ft of net oil pay in their horizontal sections, respectively, confirming pre-drill reservoir simulation results. The wells have come onstream as oil producers at a combined initial gross rate of approximately 1,350 bbls/d.
The impact of the new Nong Yao wells, in addition to contributions from the Company’s Jasmine oil field drilling programme earlier in 2023, has resulted in aggregate oil production rates from the Company’s portfolio during the 11 days of June averaging 23,700 bbls/d (net to the Company’s working interest), an increase of approximately 16% over average Q1 2023 rates from the four assets.
The Borr Mist drilling rig is now on location at the Manora oil field where the Company plans to drill three wells aimed at increasing production from the field and by extension, adding to the economic life of the asset. Upon completion of operations at Manora, anticipated in early August 2023, the rig will move to the Wassana field for the Company’s five-well infill drilling programme.
Sean Guest, President and CEO Commented
“Our Nong Yao drilling campaign has been a success and the results bolster our investment thesis that our assets offer the potential to add further value through increased production and new reserve additions through targeted infill drilling. I am pleased with the team’s safety performance in executing the programme and their commitment to efficient operations as evidenced by a strong cost and schedule outcome. To capitalise on this momentum, we have adjusted our drilling schedule such that we will now utilise only one rig to execute all our drilling plans in 2023. This change constitutes an important operational synergy between the former Mubadala Energy assets and the KrisEnergy assets. As we continue to integrate the businesses we have acquired in Thailand, we are identifying more opportunities for efficiency gains as a further way to add value for our stakeholders.”