M&J Energy Inc.

M&J Energy Inc. has retained Simplex Energy Solutions to market the firm’s working interest in producing wells in the heart of the Permian Basin.

M&J is looking to sell assets which produce 65 barrels of oil per day, 600,000 cubic feet of natural gas per day and 30 barrels of water per day from 17 wells located almost entirely in northwest Ector County, Texas. Working interests range from 60% to 100%, with net revenues from 48% to 80%. Net production above gross rates is 36.7 barrels of oil per day and 362,000 cubic feet per day of natural gas.

The leases are in well-established, shallower fields and are low maintenance and long-lived.

Average net income is $123,269 per month. Revenues outpace expenses by over 14 to 1, resulting in an average lifting cost of about $5.50 per barrel of oil equivalent. The 1,240 acres of leasehold offers opportunities for some drilling, recompletion and workover potential.

For additional information, contact David Fowler, president of Simplex Energy Solutions, at 432-683-3791.