Valeura Energy Inc., the upstream natural gas producer focused on the Thrace Basin of Turkey, provides an update on partner participation in its deep gas appraisal programme.

The Company has received notification from its joint venture partner Equinor indicating that it intends to discontinue participation in the deep gas appraisal programme. Valeura and Equinor have begun discussions on the commercial mechanism by which Equinor will exit the play and the Company will provide more detail in due course.

Valeura is in robust financial shape and has both a producing shallow gas business which generates cash flow, and a strong working capital position of approximately US$37 million at December 31, 2019. The Company intends to deploy capital in a judicious manner in 2020, and expects to continue its deep gas appraisal programme aimed at demonstrating the potential for commercial development, and to enhance its shallow gas play through ongoing investment into existing fields. Valeura will communicate its 2020 work programme in more detail later in Q1.

Sean Guest, President and CEO commented:

“We are sorry to see Equinor discontinue their participation in the deep play, but we are pleased with how efficient the joint investment has been for Valeura up to this point. Through our partnership, we have gathered a significant volume of new data and key learnings about the attributes of the large gas resource base in the Thrace Basin, with much of the investment funded by Equinor’s carry under its agreements with Valeura. We will leverage these data in the next phase of appraisal and we remain encouraged about the long-term potential for the play.”

About Valeura Energy

Valeura Energy Inc. (TSX:VLE, LSE:VLU) is a Canada-based public company currently engaged in the exploration, development and production of petroleum and natural gas in Turkey.

About Equinor

Equinor, is an international energy company with a proud history. Formerly Statoil, we are 20,000 committed colleagues developing oil, gas, wind and solar energy in more than 30 countries worldwide. We’re the largest operator in Norway, among the world’s largest offshore operators, and a growing force in renewables. Driven by our Nordic urge to explore beyond the horizon, and our dedication to safety, equality and sustainability, we’re building a global business on our values and the energy needs of the future.