The following information is provided by Eagle River Energy Advisors LLC. All inquiries on the following listings should be directed to Eagle River. Hart Energy is not a brokerage firm and does not endorse or facilitate any transactions.
Eagle River Energy Advisors LLC has been exclusively retained by a private seller to divest certain operated assets in the Midland Basin in Borden County, Texas.
The assets are producing about 65 gross bbl/d of oil, with a roughly 80% oil cut, and a next 12-month cash flow projected at $855,000. This is a low cost, shallow horizontal oil carbonate play, with a shallow 10% annual production decline from the Mississippian formation, according to Eagle River. The DSU offsets the largest Mississippian Chert Field in the Permian Basin and has 11 potential horizontal drilling locations in the Mississippian, Wolfcamp and Spraberry formations, the firm added.
Highlights:
Operated Oil Production
- Single operated DSU in Borden County, Texas
- 89% Working Interest / 67% Net Revenue Interest
- Two producing wells ~65 gross bbl/d of Oil
- ~$855,000 next 12-month cash flow
- Offsetting the largest Mississippian Chert field in the Permian Basin (Fluvanna Field)
- Oil production with ~80% oil cut
- Shallow decline production profile at ~10%
Upside Potential in Undeveloped Locations
- ~$52 million total potential capex investment
- Multiple prospective plays including the Wolfcamp, Mississippian Chert, Ellenberger, Strawn and Spraberry
- Three horizontal Mississippian infill locations
- Eight potential horizontal drilling locations in the Mississippian, Wolfcamp and Spraberry formations
- Low cost, shallow horizontal oil carbonate play
Bids are due at 4 p.m. MT on Aug. 5. The sale is expected to have a July 1 effective date.
A virtual data room will be available starting July 7. For information contact Chris Martina, technical director at Eagle River, at 720-726-6092 or cmartina@eagleriverea.com.
Recommended Reading
APA Divests $950 Million in Non-core Permian Basin Assets
2024-09-10 - APA Corp. said it would sell assets in the Central Basin Platform, Texas and New Mexico Shelf and Northwest Shelf that average 21,000 boe/d, 57% oil.
Methanex to Buy OCI Global’s Methanol Business in $2.05B Deal
2024-09-10 - The agreement includes OCI Global’s stake in two methanol production facilities in Beaumont, Texas.
Tellurian’s Dismissed Founder Souki Builds Woodside Stake After Deal
2024-09-10 - U.S. LNG export developer Charif Souki spoke to Hart Energy post-ousting from his second LNG company, Tellurian Inc. He’s buying shares in Tellurian’s buyer, Woodside Energy.
Service Companies Innovex, Dril-Quip Complete Merger
2024-09-06 - The combined onshore and offshore services companies Dril-Quip Inc. and Innovex Downhole Solutions, are expected to generate more than $1 billion in annual revenue.
H&P’s $2B KCA Deutag Deal Positions Driller as Global Powerhouse
2024-07-25 - Helmerich & Payne’s acquisition of U.K. service company KCA Deutag will expand its international reach, particularly in the Middle East, as well as its onshore presence in the U.S.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.