Valeura Energy Inc. has announced robust operational and financial results for the second quarter of 2026, showcasing notable growth in various key metrics. The company reported an adjusted EBITDAX of US$162.8 million, an adjusted cash flow from operations of US$154.1 million, and free cash flow amounting to US$104.7 million. This performance was primarily driven by increased oil production and a significant rise in average realized oil prices, which reached US$105.8 per barrel.
During Q2 2026, Valeura produced 2.030 million barrels of oil, translating to an average daily production of 22,309 barrels. This output reflected a 4% increase compared to the same period in 2025, aligning with the company's production guidance for the year. Additionally, total oil sales for the quarter amounted to 2.454 million barrels, amidst a reduction in crude inventory levels.
By the end of June 2026, Valeura reported a cash balance of US$316.5 million, comprising both unrestricted and restricted cash, without any debt obligations. The company’s financial stability enables it to pursue various growth strategies, including potential mergers and acquisitions, supported by a newly established revolving credit facility of up to US$75 million. This facility has an additional uncommitted accordion feature that could provide up to US$250 million in further liquidity as needed.
Despite these strong results, Valeura faced increased operational costs due to rising diesel prices, which could influence profit margins in the upcoming quarters. The company remains focused on maintaining its production guidance while closely monitoring cost dynamics, particularly as it undertakes capital projects associated with its growth ambitions, including the Wassana redevelopment project with advanced plans for drilling new wells.
For Q2 2026, Valeura Energy Inc. reported adjusted EBITDAX of US$162.8 million, adjusted cash flow from operations of US$154.1 million, and free cash flow of US$104.7 million. Oil production reached 2.030 million barrels, with average daily production of 22,309 bbls/d and revenue of US$259.8 million, driven by realised oil prices averaging US$105.8/bbl.
Valeura's oil production for Q2 2026 was 2.030 million barrels, an increase of 4% compared to Q2 2025. The production aligned with the company's expectations and supported its guidance outlook for the year.
Valeura's financial performance in Q2 2026 benefitted from a 56% increase in realised oil prices, averaging US$105.8/bbl compared to Q2 2025. This price increase significantly contributed to the company's revenue growth, which was approximately double that of Q2 2025.
As of June 30, 2026, Valeura reported net cash of US$316.5 million, with no debt. This figure includes US$15.8 million in restricted cash and demonstrates the company's strong liquidity position.
During Q2 2026, Valeura drilled several wells in its Gulf of Thailand fields, including the longest horizontal lateral ever recorded in the area. Notably, the company also completed its first complex multi-lateral development well at the Nong Yao field.
Valeura uses several non-IFRS financial measures, including adjusted EBITDAX, adjusted cash flow from operations, and adjusted opex. These measures help provide insights into the company's operating performance but do not have standardised meanings under IFRS.
Valeura maintains its production guidance for the full year 2026, with expectations that its adjusted opex will be at the upper end of its forecast range due to rising diesel costs. The company may also accelerate some capital expenditures if it finalises agreements related to its Wassana redevelopment project.
Valeura plans to use financial resources from its new credit facility, which includes up to US$75 million, to support potential mergers and acquisitions. However, the company will only draw on this facility when acquisition funding is required.