Eagle River Energy Advisors, LLC has been exclusively retained by a Private Seller to divest certain overriding royalty interest assets and associated development rights in the Williston Basin of Dunn, McKenzie, McLean & Mountrail Counties, North Dakota.
Download Files
Significant Producing Assets in the Core Williston Basin
- Overriding royalty interest position in ~60 DSUs / ~137,000 DSU acres on the Ft. Berthold Reservation in the Williston Basin
- ~334 existing wells
- ~120 Boe/d net production (Jan-21 Forecast)
- 77% Oil / 12% NGL / 11% Gas
- ~$21.3MM net cash flow since 2012 (~$2.4MM avg / year)
New Asset Operatorship & Other Active Operator
- Impending acquisition of QEP by Diamondback Energy provides catalyst to restored development of Seller’s assets
- QEP operates 33 DSUs / 177 wells with 73% of net production
- Diamondback Energy publicly announced its intention to divest the QEP Williston Basin assets
- Seller’s assets to meaningfully benefit from a change in operator
- Recent activity on assets by WPX, XTO, QEP and RimRock
- Flat production through 2018 as a result of ~32 wells drilled / year
Optimal Portfolio of Production with Upside Development
- Drilling economics at current prices across three viable targets yield IRRs of 40%–65% and EURs 1,000–1,200 MBoe
- Production base with sizeable undeveloped inventory provides ideal mixture of producing and future upside reserves
- ~5 avg PDP wells / DSU with ~30% of DSUs only having one well
- ~38 near-term locations either drilled awaiting completion, on confidential status, or permitted
- ~550 economic locations in the Bakken and Three Forks 1st & 2nd
