The following information is provided by PetroDivest Advisors. All inquiries on the following listings should be directed to PetroDivest Advisors. Hart Energy is not a brokerage firm and does not endorse or facilitate any transactions.
Costa Energy (Costa) is offering for sale its operated oil and gas leasehold, producing properties and related assets located primarily along the Texas Gulf Coast. The lot includes a conventional Gulf Coast gas-weighted production offer of $1.5 million in the next 12 months, in addition to approximately 2,500 net acres as well as low-cost behind-pipe and other conventional opportunities. Costa Energy has retained PetroDivest Advisors as its exclusive advisor relating to the transaction.
Asset Highlights:
- Gas Weighted Net Production (1.1 MMcfed | 79% Gas)
- Conventional Gulf Coast gas-weighted production offers $1.5 million in next-twelve-month operating cash flow
- Produces from multiple intervals of Yegua, Cook Mountain, and other conventional targets
- Current contango gas strip pricing sustains cash flow over 5 years
- $7.4MM PDP PV10
- Low lifting costs ensures positive cash flow and asset resiliency in any price environment
- LTM Average Lifting Cost: $0.78/Mcfe
- Conventional Gulf Coast gas-weighted production offers $1.5 million in next-twelve-month operating cash flow
- ~2,500 Net Acres | 100% Held By Production
- Legacy assets, fully HBP with well-established production histories, offer long-term optionality on future development
- 14 active producing wells
- 24 total wellbores
- 68.7% average WI & 51.4% average NRI
- Premium differentials for Gulf Coast assets with optionality and access to coastal LNG and marketing
- Legacy assets, fully HBP with well-established production histories, offer long-term optionality on future development
- Low-Cost Behind-Pipe & Conventional Opportunities
- Two highly economic Liberty County vertical infill locations
- 4.4 Bcfe of additional net reserves (94% gas)
- Low D&C cost of $2.3MM/well
- Seven stacked-pay behind-pipe opportunities provide additional reserves and asset production maintenance
- PDNP+PUD PV10: $17.3MM
- Grand Total PV10: $24.7MM
- Two highly economic Liberty County vertical infill locations
Bids are due on June 7. For complete due diligence information on this property, please visit http://www.petrodivest.com/ or contact Linda Fair.
Recommended Reading
Imperial Oil Shuts Down Fuel Pipeline in Central Canada
2024-03-18 - Supplies on the Winnipeg regional line will be rerouted for three months.
Energy Transfer Remains Hungry for M&A, Sees 1Q Oil Volumes Surge
2024-05-09 - Energy Transfer reported record first-quarter crude volumes and expects demand for petrochemicals to continue rising.
Pembina Pipeline Enters Ethane-Supply Agreement, Slow Walks LNG Project
2024-02-26 - Canadian midstream company Pembina Pipeline also said it would hold off on new LNG terminal decision in a fourth quarter earnings call.
TC Energy’s Keystone Back Online After Temporary Service Halt
2024-03-10 - As Canada’s pipeline network runs full, producers are anxious for the Trans Mountain Expansion to come online.
Waha NatGas Prices Go Negative
2024-03-14 - An Enterprise Partners executive said conditions make for a strong LNG export market at an industry lunch on March 14.