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 retained by Production Energy Partners (PEP), a portfolio company of Fulcrum Energy Capital, relating to the potential divestiture of overriding royalty interest (ORRI) assets in the Williston Basin of North Dakota and Montana and the Powder River Basin of Wyoming.

The assets offer the potential investor the opportunity to acquire conventional, shallow-decline oil production with roughly $200,000 forecasted cash flow for 2021. The package, diversified across 36 PDP wells, is comprised of ORRI in the Flat Lake Field in Montana, the Sherwood Field in North Dakota and the Rocky Point Field in Wyoming.

Eagle River successfully facilitated a sale of a similar set of ORRI assets on behalf of PEP in September 2020. PEP is looking to replicate the outcome of the previous engagement, Eagle River said, and anticipates using the proceeds from this proposed transaction for capital projects in both the Flat Lake and Rocky Point Fields. 

Highlights:

  • Producing wells with ORRI: 36
    • All wells are operated by Seller with 3.2% average ORRI being delivered
  • ~400 gross boe/d (January 2021 forecast)
  • ~$200,000 Forecasted Cash Flow for 2021
  • Low-decline production profile diversified across three fields: Flat Lake Field (Montana), Sherwood Field (North Dakota), Rocky Point Field (Wyoming)
Marketed: ORRI Assets across Williston, Powder River Basin

The package, which Eagle River describes as a great opportunity to partner with an operator with significant experience operating legacy conventional oil fields in the Rockies, is being sent to a limited buyer pool given the size and nature of the assets.

Bids are due at 4 p.m. MT March 2. For information contact Mallory Weaver, marketing director at Eagle River, at 720-726-6093 or mweaver@eagleriverea.com.