Exploration & Production | Deals - Acquisition, Mergers, Divestitures | Capital Markets | Private Equity Activity
Banner Puts Oily Oklahoma, Texas Properties on the Market
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Banner Oil & Gas LLC has retained E-Spectrum Advisors LLC to sell certain conventional, operated oil properties located in Oklahoma and North Texas. The properties are stable, long life properties located in mature oil fields with substantial infill drilling locations and reactivation inventory.
Banner is the operator of the properties with an average WI of approximately 99.6% and an average NRI of approximately 81.7%. The conventional oil properties are predominately HBP.
Current net production from the properties is 606 BOEPD (99% oil) from 237 producing wells. Peak production from total proved reserves is expected to reach 1,480 BOEPD net in December 2016. Projected third quarter 2013 net operating cash flow is $1.4 million per month and net operating cash flow is expected to increase to $2.8 million per month by 2016.
Total net proved reserves are 8.3 million barrels of oil equivalent (BOE) with a PV-10 value of $145.5 million. Approximately 36% of the reserves are proved developed producing (PDP). Upside includes 299 low cost PUDs and 48 reactivations / pump-upgrades. The reserves are long-lived with a total proved reserves to production ratio of ~38 years.
The online data room is now open. Bids are due October 24.
Contact information:
Lindsay Sherrer, 214-987-6109
lindsay.sherrer@energyspectrum.com