Kerns Resources LP has retained Energy Spectrum Advisors Inc. to sell certain operated oil properties and leasehold in Reagan County, Texas.
The properties are in the middle of the horizontal Wolfcamp play and consist of 1,762 net contiguous acres (34.5% held by production) with an average 76% working interest (57% net revenue interest). The properties include five producing wells.
Total net proved reserves are 378,000 barrels of oil equivalent. Average net cash flow is $64,688 per month.
Upside includes 19 horizontal Wolfcamp B locations and two uncompleted vertical wells. The sale includes the option to purchase a 3-D seismic license over the leasehold.
There are several operators that are active in the horizontal Wolfcamp play including Approach Resources, Apache, Pioneer Natural Resources, Devon Energy, EOG, El Paso, Laredo Energy and others.
The bid due date is May 24. Closing is expected by June 29. Contact Lindsay Sherrer, 214-987-6109, email@example.com.