Business Overview:
Asking Price: Best Offer
2010 Revenue: $753,730 (8/8ths)
2010 EBITDA: $354,368
2011 YTD Revenue (Through 8-31-11): $619,825
2011 YTD EBITDA (Through 8-31-11): $270,689
With proven results over years of production, these wells provide a low-risk platform for future performance. All five of the available wells are currently in full production, with proven histories going back as far as the 1980’s. This offering includes five mature stripper wells on 200 developed acres of leased land. Operator rights for the five wells are included with this package.
Currently, the wells each produce an average of seven barrels of oil equivalent per day. Working Interests and Net Revenue Interests average 90% and 71%, respectively on the five wells. Working Interests and Net Revenue Interests on the development acreage are 100% and 79.167%, respectively. Operating costs are reasonably low. One well, and all development acreage is on a state lease. Four wells are located on federal leases. All leases are held by production. The long-term, consistent production history from these wells provide bankable reserves for future revenue.
In addition to the current proven producing reserves, the potential exists for a secondary recovery unit (water flood) to be formed which could increase the ultimate recovery of oil from these properties by as much as 50%. Cumulative oil production to date from these five wells is 495,520 BBLS.
For more information, please contact Jare Payne.
For more information regarding this listing please contact us by completing the "Contact the Seller" form to the left. We look forward to hearing from you.
Property Features and Assets:
Current wells are on 200 acres.
Additional Details:
- The property is leased.
- The owner is willing to train/assist the new owner.
- This is not a homebased business opportunity.
- This is not a franchise resale opportunity.