Piedra Resources LLC

Transaction Type
Sellers
Marketers
Basin
Permian
Post Date
Close Date
Estimated Price
0MM
Description

Piedra Resources LLC has retained RBC Richardson Barr to sell certain Wolfberry assets in the West Texas Permian Basin.

The package includes an average 95% working interest in proved operations on approximately 5,890 mostly contiguous net acres in Glasscock and Midland counties.

Production for March is projected to be 650 barrels of oil equivalent per day from 18 Wolfberry wells. Proved reserves are 18.5 million barrels equivalent (70% oil, 9% proved developed producing) and proved, probable and possible resrves are 26.9 million barrels equivalent. Monthly cash flow for March is projected to be $1.3 million.

Upside includes an inventory of 136 40-acre drilling locations, potential for an additional 82 locations by downspacing to 20-acre units and potential high-impact Wolfcamp detrital completions, horizontal drilling in the Wolfcamp and Cline and possible Spraberry waterflood reserves.

The bid due date is March 22. Contact Craig Lande, 713-585-3335, craig.lande@rbccm.com.