Valeura Energy Reports Encouraging Results from Two Gas Wells in Turkey's Thrace Basin

Canada-based Valeura Energy has announced encouraging results from its two gas well in Turkey.

The company will commence completion and testing operations on its initial two exploration wells Bati Gurgen-1 and Yayli-1 on its 100% owned and operated Banarli licences in the Thrace Basin of Turkey.

“In anticipation of further positive results, equipment procurement, pipeline right of way agreements and the finalization of gas marketing arrangements have continued to advance targeting first gas sales from Banarli by the end of January 2016. The Energy Market Regulatory Authority in Turkey has also granted the Corporation's Turkish affiliate a natural gas wholesale marketing licence to facilitate sales from Banarli,” the company said in a statement published Thursday.

Valeura will provide further operational update will be provided in early January.

The estimated final cost of $5.5 million for this initial two well exploration drilling, completion, testing and tie-in program at Banarli is being fully funded from cash on hand and operating cash flow, the company said,

The Bati Gurgen-1 exploration well was spudded on November 10, 2015. The completion and flow testing program for the well commenced on December 9 and will initially include further cased-hole evaluation of the tight gas potential in the Mezardere formation followed by the main completion of shallower, conventional stacked sands in the Osmancik formation.

The Yayli-1 exploration well was spudded on December 1, 2015. Completion and testing of the well is expected to commence in early January following release of the service rig from the Bati Gurgen-1 well.