Amity sells gas in Turkey on an interruptible contracted basis to its major customers and as a consequence of this arrangement sales volumes can occasionally fluctuate. One of Amity’s major power generating customers has made the decision to reduce their gas take between now and the end of the calendar year in order to fulfil their “take or pay” obligation to the state gas company.

At this stage the decrease in gross volume taken by the customer is expected to be 7.5 MMscf/d (Amity is 50%).

Amity said it is now actively negotiating new contracts with industrial users in the area to replace the lost volume, with results expected within one to two months, allowing for any short pipelines that may be required.

The company said the reduction will not impact any ongoing programs in Turkey or the Unites States as there is no major expenditures forecast other than the Oklahoma drilling programs.