Case Study

European E&P Company

Provided equity capital and convertible debt facility to UK-based management team with assets in North Sea, Offshore Romania, France, and the Netherlands

Growth capital funded the appraisal of a major gas field in the Southern Gas Basin of the North Sea and enabled participation in very successful gas fields in Romania.

This company was non-operational -- their strategy was to farm into attractive assets around Europe with high-quality operators.  

Drilling program in North Sea was very successful and assets were sold to European utility for six times invested capital.  Romanian assets are still performing well with BCF doubling over four years.  

This case study provides an example of the capabilities of our technical team.  By building our own technical analysis and building our own reserve report, we were able to see the upside potential in both the North Sea and Romanian assets.  By comparing our reserves analysis to the many reserves analyses we have done in the past, we were able to determine a fair entry price.  

Doing our own technical work also provides the basis for risk management.  By calculating the true, core value of assets, we are able to understand the potential downside in our investments.  In this case study, the drilling program was very successful, but if it had not been, because we entered at core value, we would have been able to exit the transaction with little to no loss.  

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Southeast Asian E&P Operator