Corporate Valuation, Oil & Gas

February 26, 2018

Valuing Oil & Gas Reserves (Part II)

Don Erickson, Managing Director of Mercer Capital, educates the public on valuation methodologies and trends impacting various industries. One such industry is Oil & Gas. In the second part of this two-part slide deck, he discusses the basics of how to value oil & gas reserves. Structured in two parts, this slide deck was originally presented to notable professionals in the valuation industry and is designed as a high level overview of the technological and production method changes currently employed by the oil and gas industry. Mercer Capital’s goal with this slide deck is to give the public a vocabulary and conceptual framework for thinking about valuation issues and challenges within the industry given it is prone to volatile swings in commodity prices. Mercer Capital has significant experience valuing assets and companies in the oil and gas industry, primarily oil and gas, bio fuels and other minerals. We also provide financial education services to family businesses.  We help family ownership groups, boards, and management teams align their perspectives on the financial realities, needs, and opportunities of the business. Contact a Mercer Capital professional today to discuss your needs in confidence.

Continue Reading

How Do Reserve Categories Affect Oil and Gas Valuation?
How Do Reserve Categories Affect Oil and Gas Valuation?
Reserve categories influence oil and gas valuation through differences in recovery certainty, required capital, development timing, and exposure to execution risk. Understanding how PDP, PDNP, PUD, probable, and possible reserves differ helps support more defensible valuation assumptions and conclusions.
How Do Business Appraisers Account for Cyclicality When Valuing Oilfield Services Companies?
How Do Business Appraisers Account for Cyclicality When Valuing Oilfield Services Companies?
Oilfield services companies present distinctive valuation challenges because earnings, market multiples, cash flow, and equipment values can shift materially across the industry cycle. Effective appraisal requires applying the income, market, and asset-based approaches with careful attention to normalized performance and cycle position.
Digging Into Frac Sand Royalty Valuation
Digging Into Frac Sand Royalty Valuation
Frac sand royalty valuation requires more than applying a royalty rate to estimated reserves. A supportable analysis must consider lease terms, recoverable and saleable tonnage, production timing, regional demand, and the risks that affect future royalty cash flows.
Energy Valuation Insights Blog Oil & Gas
Read Now about Digging Into Frac Sand Royalty Valuation

Cart

Your cart is empty