The following information is provided by EnergyNet. All inquiries on the following listings should be directed to EnergyNet. Hart Energy is not a brokerage firm and does not endorse or facilitate any transactions.
Chevron Corp. retained EnergyNet Indigo for the sale of its Eunice/Hobbs asset in the Permian’s Central Basin Platform. The offering includes operated, nonoperated and overriding royalty interest (ORRI) in over 300 producing wells targeting multiple benches in New Mexico’s Lea County.
Highlights:
- Operations in the Eunice/Hobbs Field:
- Average Working Interest 92.20% / Average Net Revenue Interest 78.82%
- 330 Producing Wells | 17 Inactive Wells | 207 Shut-In Wells | 10 TA'd
- Producing from the Blinebry, Drinkard, Grayburg, and San Andres Formations
- Nonoperated Working Interest in the Eunice/Hobbs Field:
- Average Working Interest 11.52% / Average Net Revenue Interest 10.13%
- 587 Producing Wells | 180 Injecting Wells | 106 Inactive Wells
- Select Operators include Apache Corp. and ConocoPhillips Co.
- Royalty Interest in the Eunice/Hobbs Field:
- Average Royalty Interest 3.84%
- 108 Producing Wells | 29 Injecting Wells | 5 Inactive Wells | 1 Shut-In Well | 1 TA'd
- Select Operators include BXP Operating LLC and Providence Energy Service Inc.
- Six-Month Average 8/8ths Production: 5,538 bbl/d of Oil and 23.690 MMcf/d of Gas
- Six-Month Average Net Income: $1,100,959/Month
- 93,495.29 Gross (73,016.62 Net) Acres
Upside:
- PDP Workover Optimization:
- Opportunity for Economic Enhancement through Maintenance and Improved Operation Efficiencies
- Operating Expense Reduction through Routine Workovers, Water Handling, and Maintenance
- Additional ~600 boe/d in Incremental Production by Returning Certain SI Wells to Production and Reduction ff Downtime
- Horizontal Potential on Contiguous COP Land Position:
- 160 Additional Horizontal Locations for Development
- Extended Lateral Development Well Positioned within the Southeast Eunice and Northwest Hobbs Areas
- Primary Development Positions Contain Additional Inventory for Infills and Step-Outs within the Grayburg-San Andres and Wichita Albany
- EOR Potential
- Southwest Eunice is an Existing EOR Producing Nonop and Royalty Asset
- Future CO₂ Flood Project being Considered within the Central Drinkard Unit
Bids are due May 20. The transaction is expected to have a June 1 effective date.
A virtual data room is available. For complete due diligence information visit indigo.energynet.com or email Cody Felton, vice president of business development, at Cody.Felton@energynet.com, or Denna Arias, vice president of corporate development, at Denna.Arias@energynet.com.
Recommended Reading
Sinopec Brings West Sichuan Gas Field Onstream
2024-03-14 - The 100 Bcm sour gas onshore field, West Sichuan Gas Field, is expected to produce 2 Bcm per year.
US Drillers Cut Oil, Gas Rigs for Second Time in Three Weeks
2024-02-16 - Baker Hughes said U.S. oil rigs fell two to 497 this week, while gas rigs were unchanged at 121.
Sangomar FPSO Arrives Offshore Senegal
2024-02-13 - Woodside’s Sangomar Field on track to start production in mid-2024.
US Gas Rig Count Falls to Lowest Since January 2022
2024-03-22 - The combined oil and gas rig count, an early indicator of future output, fell by five to 624 in the week to March 22.
CNOOC Makes 100 MMton Oilfield Discovery in Bohai Sea
2024-03-18 - CNOOC said the Qinhuangdao 27-3 oilfield has been tested to produce approximately 742 bbl/d of oil from a single well.