Wedoany.com Report-Oct. 14, Valeura Energy Inc, a Canadian company, has completed a 10-well infill drilling campaign at the Nong Yao oilfield in the Gulf of Thailand, significantly increasing production. The company reported a net production rate before royalties of 24,800 barrels per day (bpd) over the last seven days of the third quarter, ending September 30. The campaign, conducted across all three wellhead facilities at Nong Yao, focused on enhancing output and extending the field’s economic viability.

The Canadian company's net production from the field grew to over 11,500 bpd in the last seven days of the third quarter.

The drilling effort raised Valeura’s working interest share of oil production at Nong Yao from approximately 7,996 bpd before the new wells to 11,562 bpd in the final week of September. The company noted: “The company anticipates that the reservoirs encountered may add to the ultimate production potential of the Nong Yao field and can thereby further extend its economic life.” Some wells in the Nong Yao B segment were among the most technically complex in the Gulf of Thailand, with one reaching a drilled length exceeding 9,800 feet due to geological and extended-reach challenges.

Valeura operates the Nong Yao field under License G11/48, holding a 90 percent stake, with Palang Sophon Co Ltd owning the remaining 10 percent. As of the end of 2024, the field held 16.9 million barrels of proven and probable gross pre-royalties reserves, producing medium sweet crude from Miocene-age reservoirs.

In parallel, Valeura is advancing the Wassana oilfield redevelopment in the Gulf of Thailand, under its fully owned block G10/48. The newbuild wellhead production facility at Wassana is on track for startup in the second quarter of 2027, aiming to boost production, lower costs, and serve as a hub for potential satellite platforms. Additionally, on July 25, Valeura signed an agreement with PTT Exploration and Production Public Co Ltd to acquire a 40 percent interest in blocks G1/65 and G3/65, with PTTEP retaining operatorship at 60 percent. Sean Guest, Valeura’s president and CEO, stated: “With gas accumulations already discovered on both the blocks, and within close proximity to infrastructure, we anticipate moving rapidly toward development and gas production.”

Across its Gulf of Thailand portfolio, including blocks B5/27 and G1/48, Valeura achieved an average production of 23,000 bpd in the third quarter. Oil sales reached 2.16 million barrels, up 8.7 percent from the previous quarter, with 0.88 million barrels in inventory as of September 30. Price realizations averaged $72.06 per barrel, a $2.52 premium over the Brent crude benchmark. Valeura’s cash position stood at $248.3 million with no debt, bolstered by $36.7 million from September liftings expected in mid-October. The company plans to release full third-quarter results on November 14.