Reader Advisories

Forward-Looking Statements:

This presentation contains certain forward-looking statements and information (collectively referred to herein as "forward-looking information") including, but not limited to: the anticipated delineation drilling and development program to exploit the basin-centered gas prospect on Valeura's working interest lands; the plans, timelines and cost to tie-in the Yamalik-1 well to conduct a long term production test, establish production type curves and achieve gas sales; completion of Phase 3 of the Banarli Farm-in and drilling of the second earning well to be funded by Statoil; the ability to target sweet spots in the basin-centered gas prospect; the plans to drill to 5,000m in the basin-centered gas prospect delineation program and the cost and timeline impacts; the anticipated conventional tight gas development program in the Tekirdag field that underpins the Corporation's current probable and possible reserves; and the ability to finance future developments. Forward-looking information typically contains statements with words such as "anticipate", estimate", "expect", "target", "potential", "could", "should", "would" or similar words suggesting future outcomes. The Corporation cautions readers and prospective investors in the Corporation’s securities to not place undue reliance on forward-looking information, as by its nature, it is based on current expectations regarding future events that involve a number of assumptions, inherent risks and uncertainties, which could cause actual results to differ materially from those anticipated by the Corporation.

Statements related to "reserves" or "prospective resources" are deemed forward-looking statements as they involve the implied assessment, based on certain estimates and assumptions, that the reserves and prospective resources can be profitably produced in the future. Specifically, forward-looking information contained herein regarding "reserves" and "prospective resources" may include: estimated volumes and value of Valeura's oil and gas reserves; estimated volumes of prospective resources and the ability to finance future development; and, the conversion of a portion of prospective resources into reserves.

Forward-looking information is based on management’s current expectations and assumptions regarding, among other things: political stability of the areas in which the Corporation is operating and completing transactions, and in particular the aftermath of the July 2016 failed coup attempt in Turkey and April 2017 constitutional referendum; continued safety of operations and ability to proceed in a timely manner; continued operations of and approvals forthcoming from the Turkish government in a manner consistent with past conduct; future seismic and drilling activity on the expected timelines; the prospectivity of the TBNG JV lands and Banarli licences, including the deep basin-centered gas potential; the continued favourable pricing and operating netbacks in Turkey; future production rates and associated operating netbacks and cash flow; future sources of funding; future economic conditions; future currency exchange rates; the ability to meet drilling deadlines and other requirements under licences and leases; and the Corporation’s continued ability to obtain and retain qualified staff and equipment in a timely and cost efficient manner. In addition, the Corporation’s work programs and budgets are in part based upon expected agreement among joint venture partners and associated exploration, development and marketing plans and anticipated costs and sales prices, which are subject to change based on, among other things, the actual results of drilling and related activity, availability of drilling, fracing and other specialized oilfield equipment and service providers, changes in partners' plans and unexpected delays and changes in market conditions. Although the Corporation believes the expectations and assumptions reflected in such forward-looking information are reasonable, they may prove to be incorrect.

Forward-looking information involves significant known and unknown risks and uncertainties. Exploration, appraisal, and development of oil and natural gas reserves are speculative activities and involve a significant degree of risk. A number of factors could cause actual results to differ materially from those anticipated by the Corporation including, but not limited to: the risks of currency fluctuations; changes in gas prices and netbacks in Turkey; uncertainty regarding the contemplated timelines for the Yamalik-1 tie-in program; completion of the Banarli Farm-in program and the basin-centered gas delineation drilling program; the risks of disruption to operations and access to worksites, threats to security and safety of personnel and potential property damage related to political issues, terrorist attacks, insurgencies or civil unrest in Turkey; political stability in Turkey, including potential changes in Turkey's constitution, political leaders or parties or a resurgence of a coup or other political turmoil; the uncertainty regarding government and other approvals; counterparty risk; potential changes in laws and regulations; and risks associated with weather delays and natural disasters; the risk associated with international activity; and, the uncertainty regarding the ability to fulfill the drilling commitment on the West Thrace lands. The forward-looking information included in this news release is expressly qualified in its entirety by this cautionary statement. The forward-looking information included herein is made as of the date hereof and Valeura assumes no obligation to update or revise any forward-looking information to reflect new events or circumstances, except as required by law. See Valeura’s 2017 AIF for a detailed discussion of the risk factors.

Additional information relating to Valeura is also available on SEDAR at www.sedar.com.

Other Advisories:

INITIAL ON-STREAM PRODUCTION RATES: The initial on-stream production rates and short production test rates disclosed in this presentation are preliminary in nature and may not be indicative of stabilized on-stream production rates. Initial on-stream production rates are typically disclosed with reference to the number of days in which production is measured (e.g., IP30 refers to an initial on-stream production rate measured over a 30 day period). Initial on-stream production rates are not necessarily indicative of long-term performance or ultimate recovery. To date, shallow gas conventional wells and fracked unconventional tight gas wells have exhibited relatively high decline rates at more than 50% and 75%, respectively, in their first year of production. All natural gas rates and volumes are presented net of any load fluids.

A pressure transient analysis or well-test interpretation has not been carried out in respect of the production tests on the Yamalik-1 well.

ESTIMATED ULTIMATE RECOVERY ("EUR"): An approximation of the quantity of oil or gas that is potentially recoverable or has already been recovered from a reserve or well. EUR is not defined in the COGE Handbook.

CUMULATIVE PRODUCTION: the total amount of oil and gas recovered from a reservoir as of a particular time in the life of the field, basin or well, as the case may be. Cumulative production is not defined in the COGE Handbook.

FUTURE NET REVENUE: The net present value of estimated future net revenue disclosed in this presentation should not be construed as the current market value of estimated crude oil, natural gas liquids and natural gas reserves attributable to Valeura's properties. The estimated discounted future net revenue from reserves are based upon price and cost estimates which may vary from actual prices and costs and such variance could be material. Actual future net revenue will also be affected production, supply and demand for crude oil and natural gas, curtailments or increases in consumption by purchasers and changes in governmental regulations or taxation.

DISCLOSURE OF LESS THAN ALL RESERVES: Estimates of reserves for individual properties in this presentation may not reflect the same confidence level as estimates of reserves and future net revenue for all properties, due to the effects of aggregation.

BARRELS OF OIL EQUIVALENT: The term "boe" or barrels of oil equivalent may be misleading, particularly if used in isolation. A boe conversion ratio of 1 boe to 6 Mcf is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

NON-IFRS MEASURES: This presentation contains the terms "operating netback" (petroleum and natural gas sales less royalties, production expenses and transportation costs) and "funds flow from operations" (net loss for the period adjusted for non‐cash items), which do not have a standardized meaning prescribed by International Financial Reporting Standards ("IFRS") and therefore may not be comparable with the calculation of similar measures by other companies. Management believes these non-IFRS measures are useful supplemental measures to evaluate performance. Additional information relating to these non-IFRS measures, including the reconciliation to "net income", can be found in Valeura’s most recent management’s discussion and analysis.

D&M RESERVES DISCLOSURE: The 2016 year-end reserves disclosure contained in this presentation is derived from the 2016 D& M Reserves Report. The foregoing report was prepared using assumptions and methodology guidelines outlined in the COGE Handbook and in accordance with NI 51-101. D&M RESOURCES DISCLOSURE: The 2017 year-end prospective resources disclosure contained in this presentation is derived from the 2017 D& M Resources Report. The foregoing report was prepared using assumptions and methodology guidelines outlined in the COGE Handbook and in accordance with NI 51-101.

Glossary:

Certain other terms used in the corporate presentation but not defined herein or under "RESERVES AND RESOURCES DEFINITIONS" below are defined in NI 51-101 or Valeura’s most recent annual information form and, unless the context otherwise requires, shall have the same meanings herein as in NI 51-101 or Valeura’s most recent annual information form, as applicable.

"2017 D&M Reserves Report" means the independent engineering evaluation of the oil and natural gas reserves attributable to the properties of Valeura in Turkey prepared by D&M in its report with a preparation date of March 20, 2018 and effective December 31, 2017.

"2017 D&M Resources Report" means the independent engineering evaluation of the oil and natural gas prospective resources attributable to the Teslimkoy/Kesan basin-centered gas prospect on Valeura's lands in the Thrace Basin of Turkey prepared by D&M in its report with a preparation date of February 6, 2018 and effective December 31, 2017.

"Banarli Farm-in" means the farm-in agreement for the exploration of the deeper formations below approximately 2,500 metres on Valeura’s Banarli licences in accordance with the farm-in agreement between Valeura’s wholly-owned affiliate, Corporate Resources B.V., ("CRBV") and Statoil.

"COGE Handbook" means the Canadian Oil and Gas Evaluation Handbook prepared jointly by The Society of Petroleum Evaluation Engineers (Calgary Chapter) and the Canadian Institute of Mining, Metallurgy & Petroleum (Petroleum Society).

"D&M" means DeGolyer and MacNaughton, independent petroleum engineering consultants of Dallas, Texas.

"NI 51-101" means National Instrument 51-101, Standards of Disclosure for Oil and Gas Activities.

"Statoil" means Statoil Banarli Turkey B.V.

"Subsequent West Thrace Deep Rights Sale" means the sale of a 10% participating interest (held by Valeura’s wholly-owned affiliate, TBNG) in the deep formations below approximately 2,500 metres depth on certain TBNG JV lands, including two exploration licenses and the three production leases, to Statoil for cash consideration of US$3 million which closed on June 22, 2017.

"TBNG" means Thrace Basin Natural Gas (Turkiye) Corporation. "TBNG Acquisition" means the acquisition by Valeura’s wholly-owned affiliate, Valeura Energy Netherlands B.V., of 100% of the shares of TBNG as held by TransAtlantic Worldwide, Ltd. for cash consideration of US$20.9 million (which includes US$3.1 million held in escrow pending a final reconciliation of the closing statement of adjustments) which closed on February 24, 2017.

"TBNG-PTI Acquisition" means the joint acquisition of non-operated producing natural gas assets and lands in the Thrace Basin of Turkey and other interests in exploration lands in the Anatolian Basin of Turkey from TBNG and Pinnacle Turkey, Inc. ("PTI") by Valeura and an affiliate of TransAtlantic Petroleum Ltd. completed in 2011.

"TBNG JV" means the joint venture of Valeura (40% WI), TBNG (41.5% WI; operator) and PTI (18.5% WI).

"TBNG JV lands" means the lands acquired by the TBNG JV under the TBNG-PTI acquisition.

"West Thrace Deep Rights Sale" means the sale of CRBV's 40% participating interest in the deep formations below approximately 2,500 metres depth on certain TBNG JV lands, including two exploration licenses and the three production leases, to Statoil for cash consideration of US$12 million which closed on January 6, 2017.

Reserves and Resources Definitions:

"reserves" are estimated remaining quantities of oil and natural gas and related substances anticipated to be recoverable from known accumulations, from a given date forward, based on: (a) analysis of drilling, geological, geophysical, and engineering data; (b) the use of established technology; and (c) specified economic conditions, which are generally accepted as being reasonable and shall be disclosed. Reserves are classified according to the degree of certainty associated with the estimates.are estimated remaining quantities of oil and natural gas and related substances anticipated to be recoverable from known accumulations, as of a given date, based on analysis of drilling, geological, geophysical and engineering data; the use of established technology; and specified economic conditions which are generally accepted as being reasonable.

"proved" or "1P" reserves are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves.

"probable" reserves are those additional reserves that are less certain to be recovered than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved plus probable ("2P") reserves.

"possible" reserves are those additional reserves that are less certain to be recovered than probable reserves. It is unlikely that the actual remaining quantities recovered will exceed the sum of the estimated proved plus probable plus possible ("3P") reserves. There is a 10% probability that the quantities actually recovered will equal or exceed the sum of the estimated proved plus probable plus possible reserves.

"prospective resources" are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. Prospective resources have both an associated chance of discovery and a chance of development.

"chance of development" is the estimated probability that, once discovered, a known accumulation will be commercially developed.

"chance of discovery" is the estimated probability that exploration activities will confirm the existence of a significant accumulation of potentially recoverable petroleum.

Abbreviations:

Oil and Natural Gas Liquids

bbl
barrels
bbl/d
barrels per day

NGLs
natural gas liquids

Natural Gas

Mcf
thousand cubic feet
Mcf/d
thousand cubic feet per day
MMcf/d
million cubic feet per day
Bcf
billion cubic feet

Other

boe
barrels of oil equivalent
m
metres
boe/d
barrels of oil equivalent per day
km
kilometres
M
thousand
km2
square kilometres
MM
million
2D
two dimensional
WI
working interest
3D
three dimensional
IP30
initial 30-day on-stream production rate
CAGR
compound annual growth rate
MD
measured depth
IRR
internal rate of return
TD
total depth
NPV10
net present value of estimated future net revenue, discounted at 10%
P10
10% probility of occurrence based on Monte Carlo analysis
TVD
true vertical depth
psi
pounds per square inch pressure
ft
feet
PSTM
pre-stack time migration (seismic)