Trillion Energy International Inc. is pleased to announce sale price increases for both its oil and natural gas produced in Turkey, which is having a positive impact on the Company’s revenues and net backs.
Effective July 1, 2021, natural gas prices increased by 20% to almost $6 /MCF, reaching pre-COVID levels. Natural gas prices in Turkey are set by BOTAS, as most natural gas is imported where periodic step pricing adjustments occur based on market conditions and international pricing. Prior to this increase, natural gas prices averaged US $5.24/mcf during the year due to COVID vs over $6/MCF in prior years.
The Company also benefited from the recent run up in international oil prices, which recently reached a five year high. The Company now earns US $74/bbl for production on its Cendere oil field, an increase of of US $12/bbl or 19.5% vs the year to date average for 2021 of US $61.87/bbl. Net backs increased to approximately US $45/bbl vs $35.47, an increase of 21%.
“Increases in commodity prices have improved the company’s cash flows and are expected to have an positive effect on the Company’s upcoming Saturn Rig drilling program at the SASB gas field, where two new wells will be placed into production this year, as a prelude to a larger development program for the field” stated CEO Arthur Halleran.
