The following information is provided by Detring Energy Advisors. All inquiries on the following listings should be directed to Detring Energy Advisors. Hart Energy is not a brokerage firm and does not endorse or facilitate any transactions.

Stephens Natural Resources, LLC & Stephens Energy Group, LLC (“Stephens”) are offering for sale their oil & gas producing properties, leasehold, and related assets located in Blaine, Kingfisher, Garfield, Payne, and Logan Counties, Oklahoma.  The assets offer an attractive opportunity to acquire a large, contiguous, and HBP ~21,900 net acre majority operated position underpinned by a balanced production base garnering ~$10MM of annual cash flow, coupled with a highly economic drill-ready development program targeting multiple de-risked formations. Stephens has retained Detring Energy Advisors as its exclusive advisor relating to the transaction.

Stephens Operated STACK Opportunity
(Source: Detring Energy Advisors)

Asset Highlights:

  • Substantial Production Base | ~1.4 MBoed & $10MM Operating Cash Flow
    • Balanced net production comprised of ~300 Bod (oil), 4.0 MMcfd (gas), and 460 Bbl/d (NGL) (52% liquids)
      • PDP PV10: $50MM
      • PDP Net Reserves: 6.0 MMBoe
      • Well Count: 111 current producers
    • Sizeable base of predictable, high-margin cash flow
      • $10MM NTM (PDP Only)
      • Healthy returns with an operating cash flow margin of $21/Boe at current commodity prices
    • 78 operated producers account for 95% of PDP value (average 58% WI)
  • ~21,900 Net Leasehold Acres | 100% Held By Production
    • Majority operated and concentrated position allows for ease of operations and capital budget control
    • Extensive and high-quality infrastructure in place
    • High-quality operated SWD pipeline system with nine SWD wells supporting on-going operations
  • Robust Upside Inventory | >150 Mississippian Locations
    • Stacked-pay with multiple de-risked targets across the position
      • Drill-ready development program focuses on the prolific Mississippian with further upside potential in the Oswego reservoir
    • 150+ highly-economic development locations (avg. 45% WI) generating >100% IRRs + >2x ROI (Disc. 10%)
      • 3P PV10: $122MM
      • 3P Net Reserves: 25 MMBoe

Bids are due on April 12. Evaluation materials available via the Virtual Data Room (“VDR”) on Wednesday, March 15th. For complete due diligence information or to request a confidentiality agreement, please contact Melinda Faust, managing director, at mel@detring.com.

Comments