Our Methodology

We provide growth capital for high-quality, undervalued companies to appraise and develop oil and gas reserves.

Combine technical analysis and commercial analysis for rigorous company valuation.  On the technical side, we build our own reserves report.  We tend to focus on assets and companies with Proven and Probable reserves and sufficient sub-surface data (e.g. seismic) to make data-driven evaluation of development economics.  

We build core, base and upside scenarios through technical analysis of production, reserves, and resources:

This technical analysis and cash flow scenarios are then combined with detailed commercial analysis including:

  • Assessment of operator, partners and/or management team
  • Assessment of value chain such as how hydrocarbons will be transported
  • Cost analysis – both opex and capex
  • Country risk including regulatory regime, infrastructure, safety, etc

After the valuation work is done we take the time to consider how much capital is required to complete an optimal (thrifty but aggressive) work program.  We then propose a capital amount, valuation, and structure that we believe will suit all parties (investors and investees).  

When we see this true synergy of investors’ parameters and investees’ needs, we push hard to get our deals done.  We believe the upstream industry needs more and better capital providers.  Our mission is to be an informed and important player in bringing capital together with upstream talent.  

Next: Deals and Track Record