A Valeura subsidiary has entered into an agreement to acquire a 90% operated interest** in Licence G11/48, as announced by the Company on December 6, 2022. The transaction is subject to customary closing conditions and Valeura anticipates closing the transaction in Q1 2023.
Licence G11/48 contains the Nong Yao oil field, which produces approximately 8,100 bbls/d of medium sweet crude oil from reservoirs of Miocene age. The Nong Yao oil field contains 12.4 million bbls of 2P oil reserves, on a net working interest acquired basis.*
The Nong Yao field has been developed by a total of 37 wells, drilled from two wellhead platforms, which are connected to a leased Floating Storage and Offloading vessel. Nong Yao’s crude oil is typically sold into the local market at prices approximately on par with the Brent benchmark.
A further development project is underway to commercialise a southern extension of the field by way of 12 additional development wells and the addition of a Mobile Offshore Production Unit. The Company anticipates that the Nong Yao Extension will result in production increasing to 11,000 bbls/d in 2023.
In addition, Valeura has identified various additional small oil accumulations on the block, which will be the subject of future study to assess development potential.
Upon completion of Valeura’s acquisition, it will hold a 90% operated interest** , with the remaining 10% interest held by Palang Sophon.