(Alliance News) - Valuera Energy Inc on Friday said its work programme during 2019 boosted both production and reserves.
Output during 2019 was 660 barrels of oil equivalent per day, compared to 717 barrels a day in the year prior. Valeura has operations in the Thrace basin in Turkey.
However, Valuera's fourth-quarter production was 22% higher than the third quarter at 646 barrels a day.
Proved plus probable reserves at the end of the year were 7.9 million barrels of oil equivalent, which is 8% higher than the same time a year before. Before tax, these reserves have a net present value of USD91.9 million, up 43% year-on-year.
Revenue in 2019 climbed 11% to USD10.2 million, while the pretax loss narrowed slightly to USD4.3 million from USD4.8 million.
Valuera said revenue is "unimpeded" by recent oil price volatility, given its gas is sold at fixed prices which are not linked to the oil price.
"We have continued to realise strong gas prices and generate strong netbacks from our shallow conventional gas business. Our 2019 work programme of selective workovers and well interventions has yielded both an uptick in production and a marked increase in both reserves volumes and value, as assessed by our third-party reserves evaluator at year-end," said Chief Executive Sean Guest.
"Our team remains committed to the ongoing appraisal of our deep tight gas play. The substantial data gathered through our 2019 appraisal programme has furthered our understanding of key subsurface characteristics of this gas accumulation, and these learnings will help inform our next steps to appraise this material resource, which we will communicate to the market as soon as possible."
"Valeura remains in a strong financial position, and we intend to keep it that way. We are a cash-flow generating business, with a balance sheet that is debt-free and has working capital resources of over USD37 million," he added.
Shares in the Canadian firm were 4.7% lower on Friday in London at 15.25 pence each.
By George Collard; georgecollard@alliancenews.com
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