Valeura Energy Inc. - Third Quarter 2025 Results

Third Quarter 2025 Results

Singapore, November 14, 2025: Valeura Energy Inc. (TSX:VLE, OTCQX:VLERF) ("Valeura" or the "Company") reports its unaudited financial and operating results for the three and nine month periods ended September 30, 2025.

Q3 Highlights

·    Oil production of 23.0 mbbls/d⁽¹⁾ and oil sales of 2.2 million bbls;

·    Average realised price of US$72.1/bbl, generating revenue of US$155.7 million;

·    Adjusted EBITDAX of US$80.7 million⁽²⁾ and adjusted after tax cashflow from operations of US$73.2 million⁽²⁾;

·    Cash and net cash balance as of September 30, 2025 of US$248.4 million^(2,3), with no debt;

·    Adjusted working capital as of September 30, 2025 of US$275.2 million⁽²⁾;

·    Successful ten-well drilling campaign at block G11/48, resulting in a production increase to 24.8 mbbls/d at quarter-end^(1,4);

·    Major offshore acreage expansion through strategic farm-in agreement in the Gulf of Thailand⁽⁵⁾;

·    Continued progress on the Wassana field redevelopment project; and

·    Recognised by Report on Business Magazine as Canada's No. 1 Top Growing Company, based on three-year revenue growth of 20,064%.

Recent Achievements

·    Entered into a joint venture agreement with a subsidiary of Transatlantic Petroleum LLC ("Transatlantic") to explore and develop the deep rights formations of the Thrace basin of northwest Türkiye; and

·    Recent drilling on the Jasmine field has resulted in production for the month of November to date of 24.5 mbbls/d^(1,6).

(1)   Working interest share production, before royalties.

(2)   Non-IFRS financial measure or non-IFRS ratio - see "Non-IFRS Financial Measures and Ratios" section below.

(3)   Includes restricted cash of US$23.8 million.

(4)   Seven-day average to September 30, 2025.

(5)   Subject to government of Thailand approval.

(6)   Average from November 1 through November 12, 2025.

Dr. Sean Guest, President and CEO commented:

"Our Q3 2025 results illustrate our ongoing focus on both top tier execution and setting up our business to drive value generation in the future.  All of our financial and operating results are improved relative to 12 months ago, and also relative to Q2 2025.

On the operational front, we safely executed a large-scale drilling campaign at our Nong Yao field which has delivered the trifecta of immediate oil production, new targets for future development, and the expectation of reserve additions when evaluated at year-end.  Across all our producing assets, we are relentless in our push to drive value by extending economic field life.

We also took meaningful strides to build out a longer-term line of sight for our business.  In particular, our agreement to farm in to the G1/65 and G3/65 blocks in the Gulf of Thailand creates running room to transform our portfolio through multiple gas and oil developments within the coming years.  At the same time, redevelopment of our Wassana field will provide a new lease of life for this important asset.  Construction of the new Wassana central processing platform is progressing ahead of plan, and the project remains on track for first oil in Q2 2027.

Our investments across the portfolio are well-supported by the strong margins we continue to deliver.  This quarter illustrates how deliberate actions like reducing adjusted opex⁽¹⁾ and setting up a more efficient tax structure can enhance cash flow.  On an after-tax basis, cashflow from operations⁽¹⁾ has increased by 46% when compared to the same quarter last year.

The net effect is a stronger balance sheet than ever before.  With increased cash and no debt, our working capital surplus has surged to a new record of US$275 million. Our financial position sets the scene for both ongoing investment into our portfolio and also for inorganic growth.  With this position of strength, against a backdrop of an industry that struggles for access to capital, we now have our sights set on larger inorganic opportunities, which have the potential to be truly transformational in nature."

(1)       Non-IFRS financial measure or non-IFRS ratio - see "Non-IFRS Financial Measures and Ratios" section below.

Financial and Operating Results Summary

(1)       Working interest share production before royalties.

(2)       Non-IFRS financial measure or non-IFRS ratio - see "Non-IFRS Financial Measures and Ratios" section below.

(3)       Includes restricted cash of US$23.8 million.

Financial Update

The Company's Q3 2025 financial performance reflects ongoing production operations at all four of its fields in the offshore Gulf of Thailand.  As noted in the table above, substantially all key operational and financial metrics have increased relative to Q3 2024 and Q2 2025.  Valeura's working interest share production before royalties totalled 2.11 million bbls during Q3 2025, an increase of 3% from Q3 2024, led by increased production from the Nong Yao field in light of its recently completed ten-well drilling programme.    

Oil sales totalled 2.16 million bbls during Q3 2025, just slightly higher than the volume produced.  As all of the Company's oil production is stored in floating offshore vessels before being sold, at any given time the Company maintains some quantity of oil held in inventory.  At September 30, 2025, the Company had a total of 0.88 million bbls of crude oil in inventory. 

Price realisations averaged US$72.1/bbl, which was only 9% lower than the same period in 2024.  Oil sales prices reflect a US$2.5/bbl premium to the Brent crude oil price in Q3 2025.  With the combined effect of higher oil sales volumes offsetting lower price realisations, revenue increased to US$156 million, an increase of 12% compared to Q3 2024.

Operating expenses during Q3 2025 were US$49.1 million, an increase of 4% compared to Q3 2024.  Along with operating expenses, the Company includes the price of leases for its floating offshore infrastructure (being US$8.2 million) to derive an adjusted opex⁽¹⁾ of US$52.5 million in Q3 2025, which equates to a per-bbl rate of US$24.8/bbl.  Adjusted opex and its per bbl unit rate for Q3 2025 were lower than the comparable period a year earlier, reflecting reduced leasing costs for certain floating vessels used in the Company's production operations. 

Valeura generated adjusted pre-tax cashflow from operations⁽¹⁾ of US$77.3 million, which was 21% higher than Q3 2024, primarily reflecting higher oil revenue, as increased oil sales more than offset the effect of lower realised prices.  On an after-tax basis, adjusted cashflow from operations was US$73.2 million in Q3 2025, 46% higher than Q3 2024.  The substantial increase in after-tax adjusted cashflow from operations reflects the more tax-efficient corporate structure implemented in Q4 2024, which has enabled a more optimised application of tax loss carry-forwards.

No cash tax payments related to Petroleum Income Tax were required in Q3 2025, nor are any anticipated for the remainder of 2025.

Valeura made cash outlays in respect of its operating costs, as noted above, and capex of US$52.4 million in Q3 2025.  Capex was higher primarily due to the Wassana field redevelopment project, reflecting the start of construction activities.

Valeura's cash position at September 30, 2025 was US$248.4 million, inclusive of restricted cash of US$23.8 million.  In addition, cash from three crude oil liftings in September 2025, amounting to US$36.7 million net to the Company, was received in mid-October.  As a result, the Company has recorded a net crude⁽²⁾ receivable to that amount, to reflect the timing of payment happening in Q4 rather than Q3 2025. 

Valeura's net working capital surplus increased to US$275.2 million at September 30, 2025, 34% higher than at September 30, 2024.

(1)       Non-IFRS financial measure or non-IFRS ratio - see "Non-IFRS Financial Measures and Ratios" section below.

(2)       Excludes VAT.

Operations Update

During Q3 2025, Valeura had ongoing production operations at all of its Gulf of Thailand fields, including Jasmine, Manora, Nong Yao, and Wassana.  Total working interest share oil production before royalties averaged 22,976 bbls/d.  As anticipated by management, 2025 production is weighted toward the second half of the year, and accordingly, working interest share oil production before royalties in Q3 was 7% higher than Q2 2025.  Subsequent to the end of the quarter, the drilling programme, focused on the Jasmine field, has yielded aggregate average working interest share oil production before royalties of 24,537 bbls/d for the month of November 2025 to date.

Jasmine/Ban Yen

Oil production before royalties from the Jasmine/Ban Yen field, in Licence B5/27 (100% operated interest) averaged 7,514 bbls/d during Q3 2025.  No wells were drilled in Licence B5/27 during Q3 2025, but during the last week of the quarter, the Company mobilised its contracted drilling rig to the Jasmine field to begin an infill drilling campaign which is planned to continue into early 2026.  The drilling campaign will entail approximately nine wells, including both development and appraisal targets. 

Nong Yao

The Company's Q3 2025 working interest share oil production before royalties from the Nong Yao field, in Licence G11/48 (90% operated working interest), averaged 10,563 bbls/d.  Oil production increased in Q3 2025 as a result of a ten-well drilling programme which was completed just before the end of the quarter. The Company's working interest share oil production before royalties increased from approximately 7,996 bbls/d prior to the first new wells coming on stream, to a rate of 11,562 bbls/d over the seven-day period ending September 30, 2025. 

The drilling campaign covered all three of the block's wellhead infrastructure facilities and included both development and appraisal targets.  The campaign was executed safely, on time, and within budget.  In addition to increasing production rates, the Company anticipates that the reservoirs encountered may add to the ultimate production potential of the Nong Yao field, thereby further extending its economic life. 

Wassana

During Q3 2025, oil production before royalties from the Wassana field, in Licence G10/48 (100% operated interest) averaged 3,011 bbls/d.  No wells were drilled on the licence in Q3 2025.  Ongoing work on the production facility (the mobile offshore production unit ("MOPU") Ingenium) consists of routine maintenance and repairs to keep the facility in good working order in advance of the Wassana field redevelopment project. 

In May 2025, Valeura took a final investment decision on the Wassana field redevelopment project, which entails building and deploying a new central processing platform facility on the Wassana field.  The project is on plan for deployment of the new facility in late 2026 and first production in Q2 2027.  The Wassana redevelopment project is intended to increase production, reduce unit costs, and create a hub for eventual tie-in of potential additional satellite wellhead platforms.  Management estimates that the Wassana field will produce oil at rates of approximately 10,000 bbls/d (before royalties) in the second half of 2027.

In addition, subsequent to the end of the quarter, Valeura completed an extensive scheduled underwater inspection of the MOPU Ingenium's sub-sea structural components. No anomalies were encountered, thereby reconfirming the structural integrity of the facility.  No further inspections are anticipated prior to the start of production from the new Wassana central processing platform.

Manora

Valeura's working interest share production before royalties from the Manora field, in Licence G1/48 (70% operated working interest) averaged 1,888 bbls/d during Q3 2025. 

No wells were drilled on the Manora field during the quarter, and operations focussed on maintaining ongoing safe production operations. 

Blocks G1/65 and G3/65

On July 25, 2025 Valeura announced that it had entered into a farm-in agreement with a subsidiary of PTT Exploration and Production Plc ("PTTEP") to earn a 40% non-operated working interest in blocks G1/65 and G3/65 (the "Blocks"), in the offshore Gulf of Thailand (the "Farm-in").  To earn its interest, Valeura will pay its share of actual back costs related to the Blocks and will carry PTTEP on an additional seismic survey to the northeast of the Nong Yao field.  Upon completion (which is subject to the approval of the Government of Thailand), the Farm-in will result in a substantial expansion of Valeura's gross acreage position in Thailand from 2,623 km² to 22,757 km² and will provide access to discoveries and exploration prospects that can be tied back quickly to existing oil and gas infrastructure.

During Q3 2025 and subsequent to the end of the quarter, the operator acquired a total of 1,200 km² of 3D seismic over three separate areas on the Blocks.  Seismic processing is now underway, and results are expected to be delivered in mid-2026.  This 3D seismic acquisition has fulfilled the seismic commitments across the Blocks and will shape a new drilling programme, expected to commence in early 2027. 

Separately, the operator is commencing development planning in block G3/65 based on the new gas discovery made earlier this year, and the existing historic discoveries.  These discoveries are already covered by existing 3D seismic data.  More details on development planning and the anticipated timing of a final investment decision on the initial block G3/65 development are expected in the first half of 2026.

Valeura is currently working in partnership with the operator to assess the full resource potential of these Blocks and intends to commission a third-party estimate of oil and gas resources, which Valeura anticipates will be disclosed in the first half of 2026.

Thrace Basin Türkiye

On October 15, 2025, Valeura announced that it had entered into a joint venture agreement with a subsidiary of Transatlantic to explore for and develop hydrocarbons in the deep rights formations of the Thrace basin of northwest Türkiye (the "Joint Venture").  Under the Joint Venture, Transatlantic has an opportunity to earn a 50% working interest in Valeura's lands in Türkiye through two phases of operations; first, through the re-entry and testing of the Company's Devepinar-1 exploration well, and second, by an option to drill a new deep appraisal well.

Activity began in the Thrace Basin lands in late October 2025, with re-entry of the Devepinar-1 well to re-test the existing perforated and stimulated interval, between 4,641 and 4,766 metres depth.  These initial testing operations will focus on gathering fluid samples and re-testing the Devepinar-1 well in its current state.  Hydraulic stimulation and testing of the shallower Kesan formation is in the advanced planning stage, with operations expected to commence in December 2025. 

Outlook

Valeura re-affirms its guidance estimates for the full year 2025.

(1)       Working interest share production, before royalties.

(2)       Represents adjusted opex which is a non-IFRS financial measure - see "Non-IFRS Financial Measures and Ratios" below.

(3)       Represents adjusted capex which is a non-IFRS financial measure - see "Non-IFRS Financial Measures and Ratios" below.

(4)       Represents mid-point of the production, adjusted opex, and adjusted capex with Brent prices within the range of US$65 and US$85/bbl.

(5)       Illustrative free cash flow guidance based on the Company's original 2025 Guidance assumptions.

With nine months of 2025 production now completed, and an observed up-tick in rates at the end of Q3 2025, the Company anticipates a full year average production outcome within, but at the lower end of, its stated 2025 guidance range.

Adjusted opex has trended lower than initially planned for the year, owing in part to lower fuel costs as a result of both prevailing commodity prices and the Company's deliberate actions to optimise use of fuel in its operations.  The Company anticipates achieving a full year adjusted opex outcome within the lower part of its 2025 guidance range.  The combination of lower production and lower costs is expected to yield a per barrel adjusted opex in line with the Company's mid-case 2025 guidance for the year.

The Company's adjusted capex and exploration expense was updated following its final investment decision in May 2025 to pursue the Wassana field redevelopment project.  With the Company's largest capital spending projects progressing on plan (including both the Wassana field redevelopment project and the full year drilling programme), the Company re-iterates its guidance range for the year. 

The Company's 2025 guidance assumptions do not include the potential for spending in relation to the Farm-in.  Such estimates will be updated upon closing of the Farm-in, which is subject to the approval of the Government of Thailand.

Webcast

Valeura's management team will host an investor and analyst webcast on Monday, November 17, 2025 at 08:00 Calgary / 15:00 London / 22:00 Bangkok / 23:00 Singapore to discuss this announcement.  The live audio and video feed can be accessed via the link below.  Written questions may be submitted through the webcast system or by email to IR@valeuraenergy.com.

Webcast link:  https://events.teams.microsoft.com/event/cd589988-0ecc-4810-8a2a-fb92c62e0fee@a196a1a0-4579-4a0c-b3a3-855f4db8f64b

An audio only feed of the event is available by phone using the Conference ID and dial-in numbers below.

Conference ID:  195 804 391#

Dial-in numbers:

Canada: 833-845-9589

Singapore: +65 6450 6302

Thailand: +66 2 026 9035

Türkiye: 00800142034779

UK: 0800 640 3933

USA: 833-846-5630

For further information, please contact:

Valeura Energy Inc. (General Corporate Enquiries)                       +65 6373 6940
Sean Guest, President and CEO
Yacine Ben-Meriem, CFO
Contact@valeuraenergy.com  

Valeura Energy Inc. (Investor and Media Enquiries)                       +1 403 975 6752 / +44 7392 940495
Robin James Martin, Vice President, Communications and Investor Relations
IR@valeuraenergy.com

Contact details for the Company's advisors, covering research analysts and joint brokers, including Auctus Advisors LLP, Canaccord Genuity Ltd (UK), Cormark Securities Inc., Research Capital Corporation, and Stifel Nicolaus Europe Limited, are listed on the Company's website at www.valeuraenergy.com/investor-information/analysts/.

About the Company

Valeura Energy Inc. is a Canadian public company engaged in the exploration, development and production of petroleum and natural gas in Thailand and in Türkiye. The Company is pursuing a growth-oriented strategy and intends to re-invest into its producing asset portfolio and to deploy resources toward further organic and inorganic growth in Southeast Asia. Valeura aspires toward value accretive growth for stakeholders while adhering to high standards of environmental, social and governance responsibility.

Additional information relating to Valeura is also available on SEDAR+ at www.sedarplus.ca.

Non-IFRS Financial Measures and Ratios

This news release includes references to financial measures commonly used in the oil and gas industry such as adjusted EBITDAX, net working capital, adjusted net working capital, adjusted cashflow from operations, adjusted opex, adjusted capex, net cash and outstanding debt which are not generally accepted accounting measures under International Financial Reporting Standards ("IFRS Accounting Standards") which are not generally accepted accounting measures under IFRS Accounting Standards as issued by International Accounting Standards Board and do not have any standardised meaning prescribed by IFRS Accounting Standards and, therefore, may not be comparable with similar definitions that may be used by other public companies. Management believes that adjusted EBITDAX, net working capital, adjusted net working capital, adjusted cashflow from operations, adjusted opex, adjusted capex, net cash and outstanding debt are useful supplemental measures that may assist shareholders and investors in assessing the financial performance and position of the Company. Non-IFRS financial measures should not be considered in isolation or as a substitute for measures prepared in accordance with IFRS Accounting Standards.

Adjusted EBITDAX: is a non-IFRS financial measure which does not have a standardised meaning prescribed by IFRS Accounting Standards. This non-IFRS financial measure is included because management uses the information to analyse the financial performance of the Company. Adjusted EBITDAX is a non-IFRS and non-standardised variant of EBITDAX, adjusted to remove non-cash items as well as certain non-recurring costs including severance payments and other one-off items in relation to the Company's recent acquisitions. Adjusted EBITDAX is calculated by adjusting profit for the year before other items as reported under IFRS Accounting Standards to exclude the effects of other income, exploration, SRB, finance income and expense, depletion, depreciation & amortisation ("DD&A"), other costs, and certain non-cash items (such as impairments, foreign exchange, unrealised risk management contracts, reassessment of contingent consideration and gains or losses arising from the disposal of capital assets). In addition, other unusual or non-recurring items are excluded from Adjusted EBITDAX, as they are not indicative of the underlying financial performance of the Company.

(1)            Items are not shown in the Interim Financial Statements.

(2)            Represents non-recurring costs associated with share-based compensation, actual severance incurred - See "General and Administrative ("G&A") Expenses" in the Company's management's discussion & analysis for more details.

Adjusted opex and adjusted opex per bbl: are a non-IFRS financial measure and a non-IFRS financial ratio, respectively, which do not have standardised meanings prescribed by IFRS Accounting Standards. This non-IFRS financial measure and ratio are included because management uses the information to analyse cash generation and financial performance of the Company. Operating cost represents the operating cash expenses incurred by the Company during the period including the leases that are associated with operations, such as bareboat contracts for key operating equipment, such as floating storage and offloading vessels ("FSOs"), floating production storage and offloading ("FPSO") vessels, MOPUs, and warehouses. Adjusted opex is calculated by effectively adjusting non-cash items from the operating cost and adding lease costs.

Adjusted opex is divided by production in the period to arrive at adjusted opex per bbl. Valeura calculates adjusted opex per barrel, to provide a more consistent indication of the cost of field operations. Adjusted opex, as opposed to operating expenses, excludes the impacts of non-recurring, non-cash items such as prior period adjustments, and adds back lease costs in relation to FSOs, FPSOs, MOPU, and other facilities.

(1)          Represent write down inventory to net realisable value.

(2)          The item is not shown in the Interim Financial Statements. The cost of crude inventory is capitalised from operating costs. As a result, the Company has excluded the effect of crude inventory capitalization.

(3)          In accordance with IFRS 16 - Leases, the Company recognised cost related to its operating leases - attributed to FSO and FPSO vessels, MOPU used at its Jasmine/Ban Yen, Nong Yao, Manora and Wassana fields, as well as onshore warehouse facilities costs to its balance sheet and finance cost in the profit and loss statement. In order to report a more relevant lifting cost, the Company has included costs associated with these leases in the adjusted operating cost calculation. This will be a recurring adjustment.

Adjusted cashflow from operations and adjusted cashflow from operations per barrel: are a non-IFRS financial measure and a non-IFRS financial ratio, respectively, which do not have a standardised meaning prescribed by IFRS Accounting Standards. This non-IFRS finance measure and ratio are included because management uses the information to analyse cash generation and financial performance of the Company. Adjusted cashflow from operations is calculated using two methods which generate the same figures: a) by subtracting from oil revenues, adjusted opex, royalties, general and administrative costs which are adjusted for non-recurring charges (generating the adjusted pre-tax cashflow), and accrued Petroleum Income Tax Act ("PITA") taxes and special remuneratory benefit ("SRB") expenses, and b) to enhance and facilitate to the reader a reconciliation of this non-IFRS measure, the Company also presented the adjusted cash flow from operations by calculating from cash generated from (used in) operating activities in the consolidated statement of cash flows, adjusting with non-cash items, adjusted opex, general and administrative costs which are adjusted for non-recurring charges (generating the adjusted pre-tax cashflow), and accrued PITA tax and SRB expenses.

Adjusted cashflow from operations is divided by production in the period to arrive at adjusted cashflow from operations per bbl. Valeura calculates Adjusted cashflow from operations per barrel, to provide a more consistent indication of cashflow generated from operations by the Company.

Free cash flow: is a non-IFRS financial measure which does not have a standardised meaning prescribed by IFRS Accounting Standards. This non-IFRS finance measure and ratio are included because management uses the information to analyse cash generation and financial performance of the Company. To calculate free cash flow, Valeura starts with adjusted cashflow from operations, subtracts adjusted capex and exploration expenses, adds other income, deducting any impact from foreign exchange gains or losses.

Outstanding debt and net cash: are non-IFRS financial measures which do not have a standardised meaning prescribed by IFRS Accounting Standards. These non-IRFS financial measures are provided because management uses the information to a) analyse financial strength and b) manage the capital structure of the Company. These non-IFRS measures are used to ensure capital is managed effectively in order to support the Company's ongoing operations and needs.

Net working capital and adjusted net working capital: are non-IFRS financial measures which do not have a standardised meaning prescribed by IFRS Accounting Standards. These non-IFRS financial measures are included because management uses the information to analyse liquidity and financial strength of the Company. Net working capital is calculated by deducting current liabilities from current assets. Adjusted net working capital is calculated by adding back the current leases liabilities and including non-current restricted cash in net working capital.

The leases are associated with operations, such as bareboat contracts for key operating equipment, such as FSOs, FPSOs, MOPU, and warehouses which are included in the Company's disclosed adjusted opex (and adjusted opex guidance). Management believes the adjusted net working capital provides a useful data point to the reader to ascertain the business' next-twelve-months surplus or deficit capital requirement. It is also a data point that management uses for cash management.

Adjusted capex: is a non-IFRS measure which does not have a standardised meaning prescribed by IFRS Accounting Standards. Adjusted capex is defined as the addition in capital expenditure for capital work in progress, drilling, brownfield, and other PP&E. Management uses this non-IFRS measure to analyse the capital spending of the Company and assess investments in its assets.

Advisory and Caution Regarding Forward-Looking Information

Certain information included in this news release constitutes forward-looking information under applicable securities legislation. Such forward-looking information is for the purpose of explaining management's current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes, such as making investment decisions. Forward-looking information typically contains statements with words such as "anticipate", "believe", "expect", "plan", "intend", "estimate", "propose", "project", "target" or similar words suggesting future outcomes or statements regarding an outlook.  Forward-looking information in this news release includes, but is not limited to, the expectation that the Farm-in will transform Valeura's portfolio through multiple gas and oil developments in the coming years; the Wassana field redevelopment project extending the life of the Wassana field, and the anticipated first oil from the Wassana field redevelopment project occurring in 2027;  the expectation that the Wassana field redevelopment project will increase production, reduce unit costs and create a hub for eventual tie-in of potential additional satellite wellhead platforms; the Company's expectations that no tax payments related to Petroleum Income Tax will be required for the remainder of 2025; the anticipated timing of  Company's Jasmine drilling campaign and the amount of wells to be drilled; the Company's anticipation that the Nong Yao reservoirs encountered on the Nong Yao drilling campaign may add to the ultimate production potential of the Nong Yao field and extend its economic life; the Company's expectation that ongoing work on MOPU Ingenium will keep the facility in good working order; management's estimate of the Wassana field's oil production of approximately 10,000 bbls/d (before royalties) in the second half of 2027; the Company's expectation that no further inspections will be required prior to commencement of production from the Wassana platform; expectations that the Farm-in will result in a substantial expansion of Valeura's gross acreage position in Thailand from 2,623 km² to 22,757 km² and will provide access to discoveries and exploration prospects that can be tied back quickly to existing oil and gas infrastructure; timing and results of the seismic processing in respect of the Blocks; timing and commencement of a new drilling programme on the Blocks; more information on the development planning and timing of a final investment decision on Block G3/65; results of the Company's partnership with the operator to assess the full resource potential of the Blocks and the timing thereof; the Company's plan to commission a third-party estimate of oil and gas resources, and the anticipated timing of the results thereof; results of the re-entry of the Devepinar-1 and the timing of results thereof; anticipated hydraulic stimulation and testing of the Kesan formation and the timing thereof; the Company's intention to update the 2025 guidance upon closing of the Farm-in; the Farm-in receiving approval of the Government of Thailand;

and the expectation of a per barrel Adjusted opex result in line with the Company's mid-case for the year.

Although the Company believes the expectations and assumptions reflected in such forward-looking information are reasonable, they may prove to be incorrect.

Forward-looking information is based on management's current expectations and assumptions regarding, among other things: political stability of the areas in which the Company is operating; continued safety of operations and ability to proceed in a timely manner; continued operations of and approvals forthcoming from governments and regulators in a manner consistent with past conduct; ability to achieve extensions to licences in Thailand and Türkiye to support attractive development and resource recovery; future drilling activity on the required/expected timelines; the prospectivity of the Company's lands; the continued favourable pricing and operating netbacks across its business; future production rates and associated operating netbacks and cash flow; decline rates; future sources of funding; future economic conditions; the impact of inflation of future costs; future currency exchange rates; interest rates; the ability to meet drilling deadlines and fulfil commitments under licences and leases; future commodity prices; the impact of the Russian invasion of Ukraine; the impact of conflicts in the Middle East; royalty rates and taxes; management's estimate of cumulative tax losses being correct; future capital and other expenditures; the success obtained in drilling new wells and working over existing wellbores; the performance of wells and facilities; the availability of the required capital to funds its exploration, development and other operations, and the ability of the Company to meet its commitments and financial obligations; the ability of the Company to secure adequate processing, transportation, fractionation and storage capacity on acceptable terms; the capacity and reliability of facilities; the application of regulatory requirements respecting abandonment and reclamation; the recoverability of the Company's reserves; future growth; the sufficiency of budgeted capital expenditures in carrying out planned activities; the impact of increasing competition; the availability and identification of mergers and acquisition opportunities; the ability to successfully negotiate and complete any mergers and acquisition opportunities; the ability to efficiently integrate assets and employees acquired through acquisitions; global energy policies going forward; international trade policies; future debt levels; and the Company's continued ability to obtain and retain qualified staff and equipment in a timely and cost efficient manner. In addition, the Company's work programmes 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, offshore storage and offloading facilities and other specialised oilfield equipment and service providers, changes in partners' plans and unexpected delays and changes in market conditions. Although the Company 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 and resources are speculative activities and involve a degree of risk. A number of factors could cause actual results to differ materially from those anticipated by the Company including, but not limited to: the ability of management to execute its business plan or realise anticipated benefits from acquisitions; the risk of disruptions from public health emergencies and/or pandemics; competition for specialised equipment and human resources; the Company's ability to manage growth; the Company's ability to manage the costs related to inflation; disruption in supply chains; the risk of currency fluctuations; changes in interest rates, oil and gas prices and netbacks; the risk that the Company's tax advisors' and/or auditors' assessment of the Company's cumulative tax losses varies significantly from management's expectations of the same; potential changes in joint venture partner strategies and participation in work programmes; uncertainty regarding the contemplated timelines and costs for work programme execution; the risks of disruption to operations and access to worksites; potential changes in laws and regulations, including international treaties and trade policies; the uncertainty regarding government and other approvals; counterparty risk; the risk that financing may not be available; risks associated with weather delays and natural disasters; and the risk associated with international activity. See the most recent annual information form and management's discussion and analysis of the Company for a detailed discussion of the risk factors.

Certain forward-looking information in this news release may also constitute "financial outlook" within the meaning of applicable securities legislation. Financial outlook involves statements about Valeura's prospective financial performance or position and is based on and subject to the assumptions and risk factors described above in respect of forward-looking information generally as well as any other specific assumptions and risk factors in relation to such financial outlook noted in this news release. Such assumptions are based on management's assessment of the relevant information currently available, and any financial outlook included in this news release is made as of the date hereof and provided for the purpose of helping readers understand Valeura's current expectations and plans for the future. Readers are cautioned that reliance on any financial outlook may not be appropriate for other purposes or in other circumstances and that the risk factors described above or other factors may cause actual results to differ materially from any financial outlook.

The forward-looking information contained in this news release is made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless required by applicable securities laws. The forward-looking information contained in this news release is expressly qualified by this cautionary statement.

This news release does not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction, including where such offer would be unlawful. This news release is not for distribution or release, directly or indirectly, in or into the United States, Ireland, the Republic of South Africa or Japan or any other jurisdiction in which its publication or distribution would be unlawful.

Neither the Toronto Stock Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Toronto Stock Exchange) accepts responsibility for the adequacy or accuracy of this news release.