The following information is provided by Detring Energy Advisors LLC. All inquiries on the following listings should be directed to Detring. Hart Energy is not a brokerage firm and does not endorse or facilitate any transactions.

Lime Rock Resources retained Detring Energy Advisors to market for sale its operated, contiguous, 100% HBP Norge Marchand Sand Unit located in western Grady County, Oklahoma.

The assets comprise substantial liquids-weighted production generating roughly $11 million of next 12-month PDP cash flow, with multiple economic development projects including highly-economic Marchand and Medrano horizontal locations, vertical refracs, returns to production and waterflood optimization, according to Detring.

Highlights: 

  • Substantial Liquids-Rich Production
    • Current net production: 900 boe/d (60% oil / 80% liquids)
      • PDP PV-10: $42 million
      • PDP Net Reserves: 3.1 MMboe
      • Well Count: 46 producers (40 verticals / 6 horizontals)
    • Sizeable base of low-decline, predictable cash flow
      • PDP Next 12-month Cash Flow: $11 million
      • 15% Next 12-month Decline (11% 2024E)
      • Low lifting costs of $13/boe
  • Operated and HBP Waterflood
    • Large, operated, and contiguous footprint of ~12,000 gross acres
      • 100% HBP across multiple formations provides complete operational control with the opportunity for value-add projects
      • Assets offer attractive optionality with exposure to the liquids-rich Marchand and gas-rich Medrano
      • Efficient operations allowed by concise footprint (~8x4 miles)
    • Attractive royalty burden at ~86% net revenue interest 8/8th (average 78% working interest / 67% net revenue interest)
  • Large Inventory of Economic Development Opportunities
    • 10 high-impact undeveloped locations identified for Marchand and Medrano horizontal development with 100%+ IRR
    • Significant pipeline of 40 low-risk return-to-production and refrac projects
    • Substantial 3P PV-10 ($96 million) and net reserves (10.9 MMboe)
Detring Marketed Map - Lime Rock Resources Norge Marchand Sand Unit
(Source: Detring Energy Advisors LLC)

Process Summary:

  • Evaluation materials available via the Virtual Data Room on Nov. 8
  • Proposals due on Dec. 15

For information visit detring.com or contact Melinda Faust at mel@detring.com or 512-296-4653.

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