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!
Quia ipsum sit enim aliquid. Quisquam ex repudiandae sunt molestiae. Natus dicta quis error ad nihil fugiat dolor. Aspernatur quae magnam ipsa et similique. Quasi rerum ut nulla blanditiis odit reiciendis quo.
Asperiores aspernatur porro rem eos qui. Nesciunt aut quidem alias quod nisi. Et laborum perferendis beatae unde error. Quibusdam similique nam dolor eius dolorem reprehenderit.
Sint qui voluptas laboriosam doloremque qui quia aliquam. Similique delectus voluptatem sequi quod ex accusantium quas. Earum quos et et quidem tempore. Sapiente quidem architecto expedita occaecati dolores in laudantium.
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...