The following information is provided by Eagle River Energy Advisors. 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.
Valkyrie Resources LLC has retained Eagle River Energy Advisors in connection with the sale of its working interest in 11 operated, 1280-acre HBP DSUs in Divide County, N.D. to an operator committing to a three-well 2023 drilling and completion program.
For oil, gas, and water takeaway mid-stream systems, infrastructure is already in place. The assets include ~206 Net BOEPD and ~$4 MM of LTM net cash flow, and ~10,952 net HBP acres. A significant upside can be realized from modern completions across this asset. For example, the AABERG 8-5N-1H well located 162-100, Sec. 5 & 8, is a ~10,000-foot lateral completed with a modest 3.85MM lbs. of total proppant (385 lbs. per lateral foot). The well has CUMed 274,000 BO and has 600,000 BO EUR, again, from a very modest completion design. Eagle River believes well costs in the $6.5MM range is achievable for drilling and completion costs based on a review of the area operator’s recent AFEs. Single well economics are strong, with 3.8x ROI and 52% IRR at current oil prices.
- Total Investment Opportunity: ~$168 MM
- Operated DSU's: 11
- Target Formation: Upper Three Forks / Middle Bakken
- Average WI / (8/8) NRI: 78.2% / ~80%
- Single Well Economics: 52% IRR / 3.8x ROI
- Type Curve EUR: 500 MBO
- Net Acres: 10,952 Total Net Acres (HBP)
- Net Production: ~206 Net BOEPD
- LTM Net Cash Flow (Jan-Dec. 22): ~$4 MM
The Virtual Data Room is open now, and bids are due Feb. 17. For more information, contact Michael Stolze, senior managing director, at firstname.lastname@example.org or 720-726-6090, or Chris Martina, technical director, at email@example.com or 720-726-6092.
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