we are buying non-operated interests (WI, ORRI & RI) in LONG LIFE producing properties with predictable decline curves in most of the lower 48 oil and gas producing states.
Kona's Current Activities
ASSET PREFERENCE
We prefer assets that meet most of the following parameters:
- Non-operated working interests, overriding royalty interests and minerals.
- Long-life properties with an expected life of > 10 years.
- High-margin properties where lease operating expenses (LOE) < than 40-50% of the revenues.
- Property packages with a value range of $1 to $50 million.
- Producing properties with >75% of expected value allocated to producing (PDP) reserves.
DRILLING PREFERENCE
- Horizontal development drilling
- Multi-well potential
- Permian (Delaware & Midland Basins), Bakken, Eagle Ford, Scoop & Stack
BUYER QUALIFICATIONS
- Known industry player. In our 70+ years of combined experience in the acquisitions business, we have developed an extensive list of industry contacts with small private operators to large independents and majors. Our memberships in the industry include: The Society of Petroleum Engineers (SPE), Society of Professional Evaluation Engineers (SPEE), IPAA, TIPRO, Houston’s Producer’s Forum, Houston A&D Group and HAPL.
- We evaluate deals quickly. We usually evaluate and respond to sellers within days of receiving a complete LOS for the past 12 months.
- We are privately capitalized cash buyers. We use bank financing which enables us to move and close quickly.
Kona has an interest in over 1500 wells in:
TEXAS
OKLAHOMA
NEW MEXICO
ALABAMA
ARKANSAS
COLORADO
KANSAS
LOUISIANA
MICHIGAN
MISSISSIPPI
MONTANA
NORTH DAKOTA
UTAH
WYOMING