Opal Resources LLC

Transaction Type
Sellers
Marketers
Post Date
Close Date
Estimated Price
MM
Description

Opal Resources LLC has retained Macquarie Tristone to help sell its 100% operated and working interest in the Wolfberry trend of the Permian Basin.

The largely contiguous position in 29 separate leases in Upton County, Texas, includes 19,172 gross (18,199 net) acres with a net revenue interest ranging from 75% to 79%. The acreage includes 16 wells, gathering systems, seven water source wells and six frac pits.

The position includes total net reserves of 67 million barrels of oil equivalent (BOE), 84% of which come from liquids, with a present value of $593 million when discounted by a rate of 10%. Net proved developed reserves total 2.1 million BOE.

July’s net production was 500 BOE per day, 79% of which were natural gas liquids. There are currently 14 producing vertical wells and two waiting on frac. The NGL yield for produced gas is about 150 bbl per million cubic feet (MMcf).

Opal’s development plan has 99 horizontal Wolfcamp B drilling locations plus 146 vertical Wolfberry locations and is self funded by 2015.

Bids are due Nov. 1 and data rooms are open from Oct. 2 through Oct. 19. The effective date is Sept. 1.