Canada's Turkey-focused energy company Valeura will focus on testing the flow potential of the long indicated gas columns in its new wells, the resources from which are forecast to be in the region of 10 trillion cubic feet (Tcf), equivalent to 286 billion cubic meters, the company said on Thursday.
Stimulation and production testing will be conducted to de-risk commerciality of the gas resources in the second and third quarter of 2019, and will be organized on a zone by zone basis to provide more definitive flow characteristics and to measure gas and condensate properties.
"Identifying the zones that yield sustained gas flow will be critical to demonstrate the commerciality of the company’s Basin Centred Gas Accumulation (the BCGA) play and will underpin the next stage of appraisal and the forward work program," Valeura explained.
The company's President and CEO Sean Guest said its first quarter results were very strong, underscoring the value of gas in the country.
"These metrics bolster our view of significant value of our unrisked 10 Tcf unconventional gas resource in the Thrace Basin, where we are partnered with Equinor. We continued to build on our understanding of the geology of the BCGA play by appraisal drilling which substantiated our belief that the highly over-pressured sandstone interval extends vertically down to nearly 5,000 meters and laterally out to the far western flank of the play fairway," Guest said.
He added that the company is increasingly confident in its ability to map and predict the gas.
"...We now fully turn our focus to a detailed production testing program to identify the flow properties of the many different zones we have encountered," he said.
He added that the company is financially in an excellent position, and expects to "exit the year with approximately $40 million in working capital after the significant 2019 work program."
Valeura Energy is an upstream natural gas producer focused on appraising and developing unconventional gas accumulation play in the Thrace Basin of Turkey in partnership with Norway's Equinor.
By Murat Temizer