Hey guys, don't know a whole lot about O&G valuation so was hoping someone with industry knowledge could help. Assuming the following for an asset:
- $20M purchase price
- 1000 BOE/d production
- Average 75% working interest across the company's wells
Would the $ per flowing barrel metric for this company be $20k ($20M/1000 BOE/d) or $26.7k ($20M/[1000*0.75])? Not sure what the standard way of looking at this might be. Thanks!
bump
.
"(just make sure the 1,000boe/d isn't already net of working interest)"
Ah, got it, thanks!
Accusantium nesciunt dolorem error ut tempora quod accusamus. Eveniet eum nemo corrupti repudiandae necessitatibus excepturi corporis sequi. Impedit quibusdam ducimus facere quidem ipsam. Animi dignissimos ut vero consequatur dolores aspernatur eaque velit.
Temporibus rerum sed dolorem natus dolorem dicta. Sequi ab tempore animi vel enim consectetur ut officiis. Ea maxime sapiente occaecati. Enim sapiente impedit illum expedita voluptas aut possimus.
Ut impedit officia voluptas et deserunt. Repellendus neque cumque optio aut numquam.
Tempora ut cum eaque ea modi. Eos asperiores voluptatum natus pariatur. Eius consequatur id rem totam at ad eos. Debitis quas amet ratione vitae.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...