Turkey-focused gas explorer Valeura to make secondary listing in London

TSX-listed gas firm Valeura Energy has revealed it expects to start trading on the London Stock Exchange (LSE) next week in a non-dilutive secondary listing, after trialing the idea in the past.

Valeura is testing onshore gas resources in Turkey’s Thrace basin, where it operates with Norway’s Equinor, with a few to extract gas by fracking. The mid-tier firm and its partners sit on 20 trillion cubic feet, or roughly 3.5 billion barrels of oil equivalent in the basin.

The company said listing in London would help fund future drilling in the basin before adding that it would continue to trade in Toronto, with all shares becoming fully fungible between the two exchanges.

However, CEO Sean Guest said that Valeura is not looking to tap the market through the listing having raised funds a year ago, mostly out of the UK, but is open to future fundraising.

“London has always been a good place for international oil and gas. But in the past Toronto has also been very good for raising capital for international oil and gas and mining,” he told City AM.

“But Toronto markets have really dried up and there isn’t that support anymore for oil and gas, and especially not for international.

“London understands the European gas story. And that will be where we will focus,” he added.