Global commodity merchant Castleton Commodities International LLC is selling a stake in more than 1,000 operated and nonoperated wells and roughly 55,000 net leasehold acres in the Black Warrior Basin through a sealed-bid offering handled by EnergyNet.
The offer comprises 100% gross working interest with operations, royalty and overriding royalty interests located in Tuscaloosa County, Ala. Castleton acquired some of the acreage from Constellation Energy Partners LLC in 2013.
- 677 operated wells with pumping units;
- 100% gross working interest and 68.35926%-100% net revenue interest;
- Includes additional 0.23217%-15% royalty interest and 0.40312% overriding royalty interest;
- 649 producing and 28 inactive wells;
- Six-month average 8/8ths production of 14.601 million cubic feet per day (MMcf/d);
- About 55,000 net leasehold acreage (80% HBP);
- 414 nonoperated royalty interest wells;
- 0.39375%-21.00049882% royalty interest;
- 397 producing and 17 inactive wells;
- Six-month average 8/8ths production of 13.384 MMcf/d;
- Operators include ARP Production Co. LLC, P.G.P. Operating LLC, Saga Resource Management LLC and Warrior Met Coal Gas LLC;
- Six-month average net cash flow of $425,131 per month (operated properties only); and
- Aggregate six-month average 8/8ths production of 27.985 MMcf/d.
Bids are due by 4 p.m. CT July 6 and can be emailed to Cody Felton, EnergyNet vice president of business development. For information visit energynet.com or contact EnergyNet's Denna Arias at 281-949-8463.