Shoreline Energy LLC

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

Shoreline Energy LLC has retained Evercore Partners to sell its entire Louisiana gulf coast portfolio.

The current net production from the assets is around 2,045 barrels of oil per day and 27.9 million cubic feet of natural gas per day, for a total net production of about 6,700 barrels of oil equivalent (BOE) per day. Net cash flows were about $7 million per month from about 151,683 gross (83,728 net) acres. The oil is priced against Louisiana Light Sweet, which carries a premium of about $15 per barrel above West Texas Intermediate.

Shoreline’s net proved reserves reached 9.257 million barrels of oil, 300,000 barrels of NGLs and 121.526 billion cubic feet (Bcf) of natural gas. The present value of the net proved reserves base is $670.299 million using a 10% discount rate.

The assets have a mix of primarily onshore and inland waters and are a balanced package with high quality opportunities across all reserve categories.

The results from the 2012 drilling and acquisition activity show an 86% success rate and a proved reserves value creation of $78.5 million. Three recent drills are scheduled to begin production in March.

An online virtual data room is expected to be available by Feb. 5. Bids are due by March 20. For additional information, contact Lance Dardis, managing director of Evercore Partners, at 713-427-5130 or lance.dardis@evercore.com.