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Valeura announces strong November natural gas prices of $10.62 per Mcf, Tie-in of new discoveries and projected 16% increase in quarter over quarter sales
CALGARY , Dec. 4, 2014 /CNW/ - Valeura Energy Inc. (" Valeura " or the " Corporation ") (...
About this update from Valeura Energy Inc.
[{"type":"text","content":"\n\nCALGARY, Dec. 4, 2014 /CNW/ - Valeura Energy Inc. (\"Valeura\" or the \"Corporation\") (TSX: VLE) is pleased to announce strong natural gas price realizations in Turkey of $10.62 per thousand cubic feet (\"Mcf\") in November and tie-in of three recent natural gas discoveries in the Thrace Basin, which are projected to boost fourth quarter net sales to approximately 1,160 barrels of oil equivalent per day (\"boe/d\"), up 16% from the third quarter of 2014.  \n\nQ4 2014 NATURAL GAS PRICE REALIZATIONS EXCEEDING EXPECTATIONS\n\nNatural gas price realizations in October and November were $10.42 and $10.62 per Mcf, respectively, up significantly from the average of $9.66 per Mcf in the third quarter of 2014. These increases have exceeded earlier projections reflecting both a 9% increase in the reference price for domestic gas sales in Turkey (priced in Turkish Lira), effective October 1, 2014, and the positive impact of a strengthening Turkish Lira as compared to the Canadian dollar.\n\nTHREE SUCCESSFUL EXPLORATION WELLS TIED-IN AND PRODUCING 5.3 MMCF/D (GROSS)\n\nAs previously announced, the Corporation made natural gas discoveries in three new vertical exploration wells drilled in the Osmanli area in the third quarter on the joint venture lands acquired from Thrace Basin Natural Gas (Turkiye) Corporation (\"TBNG\") and Pinnacle Turkey Inc. (\"PTI\") (the \"TBNG JV\") (Valeura 40%). These wells were drilled on new 3D seismic acquired in late 2013 and were part of a five-well exploration and development program in the Osmanli area targeting conventional natural gas in the Osmancik formation.\n\nThe three successful exploration wells (Gurgen-1, Tavanli-1 and Biyikali-2) were tied-in to the gathering system at various times in November and in aggregate are currently producing 5.3 million cubic feet per day (\"MMcf/d\") (gross). \n\nThe Gurgen-1 well is the most productive well and has been on-stream for 28 days at an average restricted rate of 3.2 MMcf/d at choke sizes ranging from 18/64 to 20/64 inches. Only 12 metres of the 47 metres of net pay measured in the well have been perforated to date, providing the opportunity to recomplete additional behind-pipe net pay in the future.\n\nA fourth development well in the program, Guney Osmanli-3, is currently being completed.\n\nA fifth exploration well, Dogu Osmanli-1, is expected ...