The following information is provided by EnergyNet. All inquiries on the following listings should be directed to EnergyNet. Hart Energy is not a brokerage firm and does not endorse or facilitate any transactions.
Twin Oaks Production Partners has retained EnergyNet for the sale of a Piceance Basin Opportunity in Garfield County, Colorado. The Lot #110924 package includes an average royalty ownership of 2.9% in 2,790 wells.
![Twin Oaks map](/sites/default/files/inline-images/110924_map.jpg)
Opportunity highlights:
- Large Contiguous Garfield County, Colorado Position
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- Greater than 6,100 developed mineral acres in the Piceance Basin in Garfield County, Colorado
- 85% of value is in strategic producing area operated by Caerus Oil & Gas (successor to EnCana/Ovintiv)
- Operator owned production infrastructure contributes to decades of economic life remaining:
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- Parachute Ranch - 619 wells with average well life remaining of ~32.9 years
- Other Assets - 1,936 wells with average well life remaining of ~30.0 years
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- Unique, Large Royalty Ownership
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- Average royalty ownership of 2.9% in 2,790 wells
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- 500 wells (72% of total PV10 value) have royalty ownership in excess of 10% NRI
- 432 wells have royalty ownership greater than 1% and less than 10%
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- Predictable Production and Cash Flow
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- Low-decline, predictable production profile from established Piceance tight gas sands wells
- PDP net production of ~4,500 Mfce/d (95% gas) 1H 2023 average from LOS
- Next twelve-month production decline is ~6.1%
- NTM PDP Cash Flow of ~ $5.7 MM
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- Next 36-month PDP Cash Flow of ~$5.9 MM/yr without Capex or further development
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- All assets are fully held-by-production (HBP)
- High Profit Potential
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- 95% gross margins
- Very low administration (4 checks per month account for all asset revenue)
Bids are due Dec. 14 at 4:00 p.m. CST. For complete due diligence, please visit indigo.energynet.com or email Zachary Muroff, managing director, at Zachary.Muroff@energynet.com.
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