Just over six months since its London listing, Valeura Energy (VLU) is trading at a major discount to its initial price of 178p.
The company’s shares have fallen 76 per cent since September, when it got over 200p. Valeura pointed to events in Turkey as the driver for the sell-off in a statement in October. Turkey sparked international condemnation after quickly taking advantage of Donald Trump's removal of US troops from northern Syria to attack Kurdish forces.
That on top of a spat between the countries' presidents saw sanctions loom as a response and Recep Tayyip Erdoğan has this week doubled down on his intent to buy Russian missiles despite a recent White House visit.
Valeura’s holdings, including its Equinor-backed basin-centred gas accumulation (BCGA) project, are far from the danger zone near the Syrian border, but sanctions could hurt its ability to raise cash for the project even if they are only on senior government officials and arms sales.
