NiMin Energy Corp.

NiMin Energy Corp. has retained Macquarie Tristone to sell its assets in Wyoming and California in two packages.

The Wyoming package includes assets in Feguson Ranch, Willow Draw, Hunt and Sheep Point fields in Park County in the Big Horn Basin. The leases feature an average 95.8% working interest (77.8% net revenue interest) covering 3,422 gross acres (3,225 net) with 2,241 acres held by production. The properties feature 36 producing wells, 12 shut-ins, one saltwater disposal and two injectors targeting the Tensleep, Phosphoria and Dinwoody formations.

Net production is 588 barrels of oil equivalent per day. Proved reserves are 12.77 million barrels equivalent (2.57 million proved developed producing) and proved and probable reserves are 13.6 million barrels equivalent. Average cash flow is $762,000 per month.

The California package includes an average 100% working interest (77.4% net revenue interest) 674 gross and net lease acres in Pleito Creek Field in Kern County in the San Joaquin Basin. The properties feature 10 producing wells, 6 shut-ins, one saltwater disposal and one injector targeting the Santa Margarita formation.

Net production is 185 barrels of oil equivalent per day. Proved reserves are 3.15 million barrels equivalent (859,000 proved developed producing) and proved and probable reserves are 9.45 million barrels equivalent. Average cash flow is $349,000 per month.

Total net production is 773 barrels of oil equivalent per day from 46 wells. Total proved reserves are 15.9 million barrels equivalent and proved and probable reserves are 23 million barrels equivalent.

Also, NiMin’s 8.7% interest in the Fourbear pipeline in Wyoming is included.

Both packages contain substantial upside potential with infill drilling and enhanced recovery techniques. Peak net production is expected to reach 2,600 barrels per day in Wyoming and 1,300 barrels per day in California.

The bid due date is March 7. Contact Tom Duncan, 713-651-4223, tom.duncan@macquarie.com.