Plano, Texas-based Mentor Capital Inc. has acquired a 25.127 net royalty acre stake in a producing 71-well pooled project in the Permian Basin, the firm said March 27.

The purchase includes 12.5% of the acreage’s oil and gas revenues, with no responsibility to pay any expenses, Mentor said in its press release. Financial details were not included.

The previous six-month average production of Mentor’s portion totaled 10 bbl/d of oil and 24,000 cf/d of natural gas.

The project, which is operated by Diamondback Energy, also includes 16 undeveloped well locations in the Dean and Wolfcamp formations, Mentor said.

Some existing and the 16 undeveloped wells are anticipated to utilize multi-leg horizontal and directional drilling with parallel lateral lengths of 2 miles to 3 miles.

The venture generates a total oil and gas revenue of approximately $1 million per day, with “considerable” production life, Mentor said.

“This oil interest purchase is part of Mentor Capital’s ongoing program to acquire and build up its inventory of classic energy assets in oil and gas, coal and uranium businesses,” the company said.

On a cost basis, Mentor said the purchase increases its portfolio of traditional energy assets owned to .081 cents per Mentor common share, with 21,686,105 shares outstanding.

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