Latest News and Analysis
Deals and Transactions
Track Drilling (Rigs by operator) | Completions (Frac Spreads)

    emailEmail    |    bookmarkBookmark

Mach Resources,Bayou City Energy Acquires Bankrupt Alta Mesa Assets

Announced Date
April 08,2020
Deal Value $
160,000,000
Net Acres
130,000
Transaction Type
Corporate
Buyer
Seller
Price Per BOE $
40,000
Source Documents:
   Source Link
Location
Region
Mid-Continent - Anadarko Basin

Country
United States

State
Oklahoma

Play


Production & Reserves
Production
30,000 Boe/d

Production Mix
67 % Liquid

Reserves
72 MMboe (1P)


Multiples
Production ($/boe/d)
5,333

$Price/Net Acre
1,231

$1P Boe
2

Adj. $/acre is based on production @40,000 Boe/d

Transaction Details: 

BCE-Mach III, the third partnership between Bayou City and Mach Resources LLC, has agreed to acquire the assets from bankrupt Alta Mesa Resources and its midstream arm, Kingfisher Midstream, for a combined price of $220 million.  Shale Experts allocated $160 million for Alta Mesa and the remainder for Kingfisher Midstream

Assets being acquired from Alta Mesa include:

  • Production: 30 Mboe/d (67% liquids, 55% oil)
  • Proved Reserves: 72 MMBOE
  • Operated Wells: 900
  • Land: 130,000 net acres (90% HBP)

Kingfisher Midstream assets include:

  • Gas Processing Capacity: 350 MMcf/d
  • Gathering Pipeline: 453 Miles of Gas Gathering
  • Produced Water: 157 Mbw/d, 224 miles of water disposal , 108 miles
  • Oil Gathering: 108 miles of pipeline, 50 Mbbl oil storage capacity

Alta Mesa STACK/SCOOP Map

Sourced : Shale Experts Mapping Group

Mach CEO Tom Ward said: “This was a unique opportunity to acquire a sizeable cash-flowing asset with the supporting midstream infrastructure, through a bankruptcy process, in an area of our team’s expertise and still have an extensive inventory for future development. Our strategic aim in partnership with BCE has been to aggressively consolidate and maximize underdeveloped, undercapitalized or otherwise distressed areas in the Mid-Continent. We have been successful in buying assets at a discount, increasing production in a cost-effective manner and avoiding overspending. In a lot of ways, we have gone back to the fundamentals that were true when I began my career.”

BCE Founder and Managing Partner Will McMullen added: “BCE is thrilled to be making another attractive acquisition in the Mid-Continent in conjunction with Mach Resources. We know these particular assets well and are confident that the Mach team will be able to operate them in a manner suitable to the current macro environment, focused on maximizing free cash flow generation and delivering a sustainable, conservatively leveraged return to our investors. We continue to be encouraged by the opportunities we see to further consolidate assets in the Mid-Continent under the BCE-Mach banner.”

This acquisition represents the sixth acquisition by partnerships between BCE and Mach. To date, BCE-Mach LLC has made three acquisitions in the Mississippi Lime, and BCE-Mach II LLC has made two acquisitions in the Western Anadarko Basin. This acquisition of AMH and KFM represents the first acquisition in the newly formed BCE-Mach III LLC. Following closing, on a combined basis, the BCE-Mach partnerships will have net daily production of ~58 Mboe/d, interests in over 5,700 wells and ~500,000 net acres across the Mid-Continent.

Mid-Continent - Anadarko Basin Deal Activity In Last 12 Months



Other Mid-Continent - Anadarko Basin Region's Deals



Announced DateBuyerSellerDeal Value($mm)LocationCategory
Aug-27-2020 - - Click here Oklahoma  E&P
Aug-06-2020 - - Click here Oklahoma  E&P
Jan-09-2020 - - Click here Texas  E&P
Dec-10-2019 - - Click here Oklahoma  E&P
Dec-09-2019 - - Click here Oklahoma  E&P

Price History



Date Deal Headline Price$/acre
Aug-27-2020 Panhandle to Acquire Haynesville, SCOOP Royalty Package $6.90  Million
Oct-08-2019 PE-Backed Citizen to Take Roan Resources Private In $1.0B Deal $1000.00  Million
Dec-15-2016 Gulfport Enters SCOOP With Acquistion of Vitruvian II For $1.8 Billion $1850.00  Million 39,435

Other Alta Mesa Resources Deals



Announced DateBuyerSellerDeal Value($mm)LocationCategory
Aug-17-2017 - - Click here Oklahoma  E&P
Jan-19-2016 - - Click here Oklahoma  E&P
Sep-22-2015 - - Click here Oklahoma  E&P
Sep-22-2015 - - Click here Texas  E&P
Oct-14-2014 - - Click here Texas  E&P

Other Mach Resources Deals



Announced DateBuyerSellerDeal Value($mm)LocationCategory
Jul-16-2019 - - Click here Oklahoma  E&P
May-22-2019 - - Click here Kansas  E&P
Aug-20-2018 - - Click here Kansas  E&P
Feb-07-2018 - - Click here Oklahoma  E&P