After a decade of big spending, the era of the bite-sized deal is upon the U.S. oil and gas industry.

For digital auctioneers, that’s fine: every deal is a perfect fit.

So far in 2016, large deals are still missing in action. U.S. onshore deal activity and values dropped by about 67% in 2015—to $32 billion from $98 million in 2014, according to Jefferies.

The prolonged downturn has forced E&Ps and other asset sellers to be more disciplined about their portfolios. Companies such as EnergyNet have been meeting the demand to move smaller, lucrative assets through its massive online presence.

“Sellers are having success closing with EnergyNet buyers, and there is no shortage of acquisitive buyers looking for investment opportunities” said William Britain, EnergyNet chairman.

So far in 2016, EnergyNet sellers have divested $155 million in property sales, approaching a two-to-one increase compared to last year.

Buyers and sellers may have felt more exposed to commodity turbulence in 2015, creating a more measured and subdued marketplace. This year, companies have adapted with fully realized divestment plans.

“The A&D activity in the summer of 2016 so far is a realization of divestment plans that were to six to 12 months in the making,” said Chris Atherton, EnergyNet’s president. “There are more deals and better quality deals on the market in the summer of 2016 than there were in 2015.”

Scores of sellers have used EnergyNet’s platform and marketing services to divest. While small companies employ the firm, large independents and industry giants are also clients.

EnergyNet’s online sealed-bid and auction marketing allows sellers exposure to a marketplace of more than 20,000 qualified buyers.

Current sellers utilizing EnergyNet’s divestment platform include:

  • Chevron U.S.A. Inc;
  • Marathon Oil Co.;
  • XTO Energy/ExxonMobil;
  • QEP Energy;
  • Hilcorp Energy;
  • Anadarko Petroleum;
  • BHP Billiton;
  • RSP Permian;
  • Bank of America; and
  • The Federal Deposit Insurance Corp.

In 2016, large-value activity has largely centered on the Permian Basin and Scoop/Stack plays of Oklahoma. But E&P companies are divesting oil and gas fields, leasehold and other assets across the U.S. Atherton said EnergyNet has also seen considerable A&D activity among the Williston Basin as well as the Midcontinent and East Texas conventional plays.

In early July, EnergyNet said it has closed 354 deals over 66 separate days—a rate of roughly four out of every five days.

The tough commodity environment has made it more challenging for sellers to divest in the Tuscaloosa Marine Shale, Mississippi Lime, Gulf of Mexico shelf and Gulf Coast Basin as well as south Louisiana, the Fayetteville Shale and fringe areas of the Niobrara, Atherton said.

EnergyNet’s online, continuous marketplace allows buyers to take part in transparent bid auctions and rapid cycle sealed-bids and government lease sales. EnergyNet’s interface also enables sellers to time their divestiture with commodity prices rather than an arbitrary date.

Buyers can also review complete seller due diligence data as well as third-party corroborating data for three weeks prior to the end of the sale.

“Buyers ranging from large, publically-traded E&Ps as well as private equity-sponsored teams have been active through the EnergyNet marketplace,” said Ethan House, vice president of business development for the Midcontinent. “We engage the entire buying column of the marketplace on a daily basis from communicating the availability of assets on the market through negotiation and closing.”

Increasingly, state and federal agencies are also selling via online platforms.

“Government agencies are transitioning to online marketing for the convenience, increased exposure and better values received” said John Munroe, vice president of government lease sales. “EnergyNet now has contracts with eight government agencies to market their oil and gas leases and other minerals using online auctions and sealed bid platforms.”

Clients include the Bureau of Land Management, Texas General Land Office and state agencies in North Dakota, Colorado, Wyoming, Utah and New Mexico.

Currently EnergyNet clients have 1,454 properties in 12 states listed for buyer review, evaluation and screening.

Darren Barbee can be reached at dbarbee@hartenergy.com.