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.
Midwest Energy Investments LLC retained Eagle River Energy Advisors LLC for the sale of mineral, lease and overriding royalty interest (ORRI) assets and associated development rights in the Stack play of Oklahoma.
- About 1,166 Net Royalty Acres (Normalized to 1/8th)
- Minerals: 1,016 Net Royalty Acres (23% Average Royalty Rate)
- ORRI: 150 Net Royalty Acres across 104 Drilling and Spacing Units
- 32 Net Leasehold Acres (82% Average Net Revenue Interest)
- About 112 Boe/d net production (67% Liquids)
- $111,000 per month net cash flow (Average April-September 2019)
- 171 Proved Developed Producing wells provide stable and diversified production profile
- 16 Drilled but Uncompleted wells and 62 proposed wells provide near-term upside
- Signficant remaining Reserves with 900,000 to 2.8 million boe EURs from multibench development across the acreage
- Economic development of the Woodford and Mississippian yield internal rate of returns greater than 50%
- 500-plus remaining, economic drilling locations provide multiple years of stacked-pay development potential
- Recent successful Woodford and Mississippian delineation across entire position
- Additional, unquantified resources potential in multiple other formations currently being tested
- Portfolio operators include Continental Resources Inc., Devon Energy Corp., EOG Resources Inc., Cimarex Energy Co., Marathan Oil Corp. and Encana Corp. (currently operating as Ovintiv Inc.)
- Portfolio operators actively permitting and are drilling with 32 of 53 total active rigs in the Basin
Bids are due 4 p.m. MT March 10. Virtual data room opens Feb. 11. The transaction is expected to have a March 1 effective date.
Gulfport Energy, which has faced activist investor pressure this year to improve its stock performance, agreed to divest various noncore assets including water assets across its Scoop position in Oklahoma.
Today’s featured Forty Under 40 honoree is Lacey Falls, CFO of AEGIS Hedging Solutions who played a leading role in the firm’s transaction with Trilantic Capital Partners and integration of three subsequent acquisitions.
While U.S. natural gas demand was mostly flat in 2020, Mexico’s grew. And it came from Texas. The outlook is that Mexico will be ordering more, including from the Eagle Ford’s underdeveloped gas fairway.