1
August 21, 2017
Oil ended last week slightly down as the force majeure was lifted Monday on Bonny Light which likely contributed to
the selloff. Having Nigeria back in the picture also had a bearish influence on prices. The market will be watching
growing issues in Libya and stocks here in the US, along with import quantities from major OPEC suppliers. The near-
term contract closed the week down $0.31, or 0.6%, at $48.51
Natural gas dropped last week as weather models showed cooler than expected temperatures with some sporadic hot
spots. Power burn increased from the anemic levels of last week, up 2.8 bcf/d, but that did little to change the current
downward trend in prices. The near-term contract closed the week down $0.09, or 3.1%, at $2.89
Debt
Markets
Energy Week in Review
S&P E&P(2) underperformed last week (4.5%) vs. SPX(2) (0.7%)
The big story this week was the backlash to Trump's reaction to violence in Charlottesville, in which he called to
preserve Confederate statues and continued attacks on Republicans in Congress. This led to the disbanding of two
business councils and speculation about the departure of key White House staff, particularly Gary Cohn, which was
not well received by the markets. Friday's dismissal of Chief Strategist Steve Bannon had a small positive effect on
markets
Seven issuers priced seven issues to raise $3.6 billion last week
Year-to-date volume stands at $273.9 billion, compared to $205.9 billion in year-to-date 2016
Retail cash outflows from U.S. high yield mutual funds totaled $2.2 billion last week, compared to the prior week’s inflows
of $123 million. This brings year-to-date outflows for 2017 to $8.6 billion, compared to $9.6 billion of inflows in year-to-
date 2016
No E&P HY issuances priced last week
Whiting Petroleum announced that it has an agreement to sell
29,637 net acres in the Fort Berthold Indian Reservation to
RimRock Oil & Gas for $500 million; BMO acted as Joint Lead
Arranger and Bookrunner for RimRock on the financing of the
acquisition
Silver Run Acquisition Corporation II announced that it entered into
a definitive agreement to merge with Alta Mesa Holdings, LP and
Kingfisher Midstream, LLC; the combined company, valued at $3.8
billion, is expected to be renamed Alta Mesa Resources, Inc.
Sanchez Energy announced that it divested ~68,000 net acres in
the Eagle Ford dry gas window to an undisclosed buyer for
$105 million
Rockcliff Energy announced that it acquired ~60,000 net acres of
Haynesville Shale rights in East Texas from Sheridan Production
Company, LLC
Carbon Natural Gas entered into an agreement to acquire natural
gas producing properties and midstream assets in Eastern West
Virginia for $21.5 million from an undisclosed seller
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, EIA
Note: Current quarter’s data is through the week covered by this issue.
1. EIA U.S. natural gas gross withdrawals and production reported monthly as of May 2017.
2. S&P E&P = S&P Oil & Gas E&P Select Industry, SPX = S&P 500 Index, ADTV = Average Daily Trading Volume.
Key Industry Indicators
Quarterly Deal Activity
Equity
Markets
Commodities
$28.7 $30.7
$2.2
$8.1 $10.2 $10.0
$4.7
$17.2
$21.0 $20.5
$24.0
$18.9
$8.6
--
50
100
150
200
250
300
--
$5
$10
$15
$20
$25
$30
$35
$40
3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17
77% 20% 61% 82% 76% 79% 52% 55% 56% 71% 91% 31% 74%
Nu
mb
er
of
Tra
ns
ac
tio
ns
Tra
ns
ac
tio
n V
alu
e (
$b
n)
Asset Corporate Number of Transactions
% Oil
Indicator
Current
Value
Week's
Change
%
Change Direction
Prompt Oil Price ($/bbl) $48.51 ($0.31) (0.6%)
Prompt Gas Price ($/mmbtu) $2.89 ($0.09) (3.1%)
Wkly Trans. Value ($mm) $3,120 $2,701 nmf
Wkly Trans. Count 6 (2) (25%)
US Rig Count 946 (3) (0.3%)
US Oil Prod'n (mmbbl/d) 9.5 0.1 0.8%
US Gas Prod'n (bcf/d)(1) 89.5 -- --
US Oil Storage (mmbbl) 466.5 (8.9) (1.9%)
US Gas Storage (tcf) 3.1 0.0 1.4%
Covering the Week of August 12 – August 18, 2017
Week in Review
In Commodities, ECM and DCM, let’s go to journalism
standards, even though that’s not how we get the text from
those groups. Main change is that any number below 10 is
spelled out (one instead of 1). This does not apply to
statistical analyses, percentages, or money, of course.
Let’s follow these guidelines when sorting articles:
• First priority: Domestic A&D, ranked by size
• Next: Domestic M&A
• Then: US companies doing international deals (like
Noble’s Tamar)
• Then: Others (Cabot’s Lackawanna)
• Then: Prices, rig count, completions, etc.
To paste the arrows with colors,
• FactSet
• Settings
• Presentation Linking and Formatting
• Import
• Colors
• Change Color font…
For the primary Commodities bullet points on oil and gas
prices, please start with “The near-term contract opened the
week at $___” and end that same bullet point with “The
near-term contract closed the week at $____, down(up)
$___, or ___%.” You don’t have to use exactly those words
as long as the opening and closing prices are included . For
example, you could write, “Opening the week at $45.21, the
near-term oil contract declined steadily based on …” – you
know, think like a journalist, be creative.
TBU – Friday post close
2
August 21, 2017
The 10 Most Recent Asset Transactions Over $20 Million
A&D Valuation Trends(3)
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg
1. Represents total enterprise value.
2. Calculated as percentage of total LTM transaction count.
3. 100 transactions from May 2013 to 2017YTD with transaction value >$20mm. Adjusted for changes in price outlooks. Recalculated boe reserves are on a 15:1
(gas:oil) basis. Acreage transactions excluded by using deals with PDP of >= 40% of total proved.
Permian35%
Gulf of Mexico 1%
Bakken6%
Appalachia14%
Mid-Con10%
Eagle Ford9%
Ark-La-Tex4%
Rockies (ex Bakken)
8%
Other14%
LTM By Region
Oil61%
Gas39%
LTM By Commodity
Public Company
48%PE / PE-Backed
19%
Private7%
MLP1%
Other25%
LTM By Buyer Type
Ann'd
Date Buyer Seller Area Asset Description Value(1)
Proved
Multiple
Prod.
Multiple
Net
Acres
($mm) ($/boe) ($/boe/d) ($/acre)
17-Aug-17 Undisclosed Sanchez Energy Corp Eagle Ford 68,000 net acres in Eagle Ford $105 n.a. n.a. $1,544
15-Aug-17 RimRock Oil & Gas Whiting Petroleum Bakken 29,637 net acres in ND $500 n.a. $64,226 $16,871
15-Aug-17 Carbon Natural Gas Co Undisclosed Marcellus / Utica Eastern West Virginia assets $22 n.a. $17,200 n.a.
08-Aug-17 Undisclosed Continental Resources Inc Mid-Continent 26,000 net acres in Arkoma Basin $68 $10.01 $38,031 $2,615
08-Aug-17 Undisclosed Continental Resources Inc Mid-Continent 6,590 net acres in STACK $73 n.a. n.a. $11,002
07-Aug-17 Verdun Oil Noble Energy Eagle Ford 1,900 net acres in Eagle Ford $50 n.a. $100,000 $26,316
07-Aug-17 RSP Permian Inc Shell; Florida Oil LP Permian 6,563 net acres in Delaware Basin $228 n.a. nmf $34,728
03-Aug-17 Undisclosed LINN Energy Permian Delaware Basin acreage $21 n.a. n.a. n.a.
02-Aug-17 Undisclosed Chesapeake Mid-Continent Mid-Continent assets $360 n.a. n.a. n.a.
02-Aug-17 Rice Energy Inc. LOLA Energy Marcellus / Utica 16,500 net acres in the Marcellus Shale $180 n.a. n.a. $10,909
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
R / PSales Value /
Proved Reserves (15:1)
(ratio) ($ / boe) ($ / mcfe)
8x $18.94 $1.26
10x $16.55 $1.10
15x $11.81 $0.79
20x $8.43 $0.56
y = 32.491e-0.067x
R² = 0.3512
--
$10.00
$20.00
$30.00
$40.00
$50.00
$60.00
-- 5.0x 10.0x 15.0x 20.0x 25.0x
Sa
les
Pri
ce /
Pro
ve
d
Re
serv
es (
$/b
oe
@ 1
5:1
)
R / P
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
(2) (2) (2)
3
August 21, 2017
Select Significant Deals on the Market
Disclaimer: The foregoing links are for convenience only and relate to materials that were not prepared or reviewed by BMO Capital Markets. BMO Capital Markets takes
no responsibility for and makes no representations with respect to the contents thereof. These materials may be inconsistent with the views of BMO Capital Markets.
Source of Select Significant Deals on the Market: BMO Transaction Database
Energy Headlines
Industry Headlines
Whiting Petroleum Corporation Announces $500
Million Sale of Fort Berthold Area Assets in North
Dakota
Silver Run Acquisition Corporation II to Merge with
Alta Mesa and Kingfisher Midstream to Form a
Combined Company Valued at Approximately $3.8
Billion
Sanchez Energy Corporation Annouces $105 Million
Sale of Javelina Asset
Rockcliff Energy Purchases Additional Haynesville
Shale Rights in East Texas
Carbon Natural Gas Company Announces Acquisition
of Natural Gas Producing Properties and Midtream
Assets
Bakken
2 Deals Appalachia
6 Deals
Mid-Con
17 Deals
Eagle Ford
8 Deals
Permian
28 Deals
Other
10 Deals
Ark-La-Tex
7 Deals
Rockies
14 Deals
8/18/2017
Appalachia 6
Ark-La-Tex 7
Bakken 2
Eagle Ford 8
Mid-Con 17
Other 10
Permian 28
Rockies 14
92
BMO Deals (Status)
Elk River Permian Basin (In Market) - See Page 6
EOG Green River (Post Bid)
East Texas Haynesville (Post Bid)
Rice Barnett (Announced)
QEP Pinedale (Announced)
(Click headline to link to the full article)
Lighter Stuff
A&D Headlines
E&P Headlines Big Oil Dangles $19 Billion in Investments for Norway
Tax Breaks
U.S. Oil Drillers Keep Pressure on OPEC With Record
Shale Output
Breakneck U.S. Drilling Creates “Industrial Inventory”
of Untapped Wells Waiting to Flow
The Boom in West Texas Sand Mines Could Cut
Frackers' Logistics Costs by 40%
US GoM Lease Sale Brings in $121 Million in High
Bids
4
August 21, 2017
Purchase Price (US$ mm)
Total Consideration(1) $2,493
Metrics
Daily Production (boe/d) 20,841
Proved Reserves (mmboe) 144
Net Acres 120,000
Gross Locations 4,196
Multiples
TEV / Production ($/boe/d) $119,620
TEV / Proved Reserves ($/boe) $17.31
TEV / Net Acre $20,775
TEV / Adj. Net Acre(2) $14,696
TEV / Gross Location $594,137
TEV / Adj. Gross Location(2) $420,297
On August 16, 2017, Silver Run Acquisition
Corporation II (“Silver Run” or the “Company”)
announced that it entered into a definitive agreement
to merge with Alta Mesa Holdings, LP and Kingfisher
Midstream, LLC
Silver Run is contributing $999 million and Riverstone
is investing $600 million to secure a 49% stake (27%
and 22% to Silver Run holders and Riverstone,
respectively) in the entity
Current Alta Mesa owners will hold 37% of the shares
while Kingfisher Midstream owners will receive $813
million in cash and 14% of the shares in Alta Mesa
Resources
The transaction is expected to close in Q4 2017
TRANSACTION SUMMARY
UPSTREAM ACQUISITION METRICS
Source: Company press releases, 1Derrick
1. Total consideration derived by reducing TEV of $3,836.0 million by implied midstream asset value of $1,343.2 (7.3x 2018E EBITDA of $184 million).
2. Adj. Net Acre and Adj. Gross Location multiples based on flowing production adjustment of $35,000 per flowing boe.
Silver Run will change its name to Alta Mesa
Resources, Inc, will trade on the NASDAQ under the
symbol “AMR,” and will have an estimated market
capitalization of $3.8 billion based on a $10/share price
Jim Hackett, former CEO of Anadarko Petroleum
Corp., will serve as Executive Chairman of Alta Mesa
Resources and COO of Kingfisher Resources
OBSERVATIONS ACQUIRED ASSETS
ASSET SUMMARY
Acquired Acreage
Interesting Deal of the Week – 1:
Silver Run Acquisition Corp II Merges with Alta Mesa and Kingfisher Midstream
TBU – Friday post close
~467,000 net acres across several plays
~120,000 net contiguous STACK acres
~12,000 net acres in the Weeks Island area
335,167 net acres on other states across the US
205 gross operated horizontal STACK wells
(167 producing)
20,841 boe/d current STACK production (69% liquids)
4,196 gross STACK locations
144 mmboe proved reserves for STACK assets
$358 million 2018E EBITDA
5
August 21, 2017
Purchase Price (US$ mm)
Total Consideration $500
Metrics
Daily Production (boe/d) 7,785
Net Acres 29,637
Multiples
TEV / Production ($/boe/d) $64,226
TEV / Net Acre $16,871
TEV / Adj. Net Acre(1) $7,677
On August 15, 2017, Whiting Petroleum Corp.
(“Whiting” or the ”Company”) announced that it
has an agreement to sell 29,637 net acres in the
Fort Berthold Indian Reservation to RimRock Oil
& Gas (“RimRock”) for $500 million
The transaction is expected to close in Q3 2017
BMO acted as Joint Lead Arranger and
Bookrunner for RimRock on the financing of the
acquisition
TRANSACTION SUMMARY
ACQUISITION METRICS
Source: Company press releases, 1Derrick
1. Adj. Net Acre multiple based on flowing production adjustment of $35,000 per flowing boe.
Whiting plans to use the proceeds from the sale
to repay $500 million of its current $550 million
bank debt
Lease operating expenses on the divested
properties averaged $12.60/boe vs $7.50/boe on
its other operated Bakken properties
OBSERVATIONS ACQUIRED ASSETS
ASSET SUMMARY
Acquired Acreage
29,637 net acres in the Fort Berthold Indian
Reservation located in Dunn, McLean, and
Mountrail counties, ND
29 non-operated drilling spacing units and 17
operated units
7,785 boe/d of current net production
(90% liquids)
Interesting Deal of the Week – 2:
Whiting Petroleum Sells Bakken Assets to RimRock Oil & Gas for $500 Million
6
August 21, 2017
Opportunity to acquire ~13,940 highly
economic net acres in the Permian Basin
Current net production of ~140 boe/d
(June 2017)
Position de-risked through offset well
control
Continued improvement in well
performance driven by completion
optimization
Cochran and Andrews packages benefit
from low cost development opportunities
targeting the San Andres and other
shallow oil formations
Recent lease extensions allow buyer to
control development pace
Significant development and permitting
offsetting Elk River acreage
The Central Basin Platform and Northwest
Shelf are premier horizontal plays with a
rich history of prolific oil and gas
production from multiple stacked
reservoirs
Currently on the Market from BMO: Elk River Permian Basin
Net Production
Typical
TVD
in
Zavala
County
5,800’
6,100’
6,500’
9,400’
Stratigraphic Column
6,800’
VDR available now
Data Rooms open now
Contact Chelsea Neville ([email protected] or
713-546-9703) for a Confidentiality Agreement, access to the
VDR, and to request a data room presentation
ASSET OVERVIEW
PACKAGE HIGHLIGHTS
Stratigraphic
Column
Source: Elk River 2017 Permian Basin Divestiture announcement
Andrews County
Package
~9,290 net acres (majority 100% WI) in Andrews County offsetting strong well results by Apache
Position ideally suited for active development given its largely contiguous footprint
Elk River is preparing to spud two horizontal wells later this year
Favorable structural position and thick hydrocarbon column benefit development of multiple reservoirs
(San Andres, Clearfork, Wichita-Albany, etc.) throughout the CBP area
~125 locations in development plan with attractive economics
Additional upside in the deeper Devonian, Ellenberger, and Woodford formations
Elk River horizontal development to date has focused on the Upper Wichita-Albany
Current net production of ~140 boe/d (June 2017); 81% oil
Initial infrastructure in place with limited additional build required
Cochran County
Package
~4,650 net acres (6,200 gross) in southern Cochran County surrounded by prolific legacy fields
San Andres ROZ play provides a highly economic target with its low D&C costs and potential for efficient
operations
Approximately 75% of acreage can be held with a one rig program
Benefits from structural and stratigraphic trapping mechanisms
Position adjacent to active development by Steward, Element, Windy Cove, and Custer & Wright
High working interest lease (75%) and contiguous footprint provide operational control for efficient
development with existing JOA in place
PROCESS OVERVIEW
Andrews Detail
Cochran Detail
7
August 21, 2017
--
$1
$2
$3
$4
Jul-16 Jan-17 Jul-17 Jan-18 Jul-18
($/m
mb
tu)
$20
$30
$40
$50
$60
$70
$80
Jul-16 Jan-17 Jul-17 Jan-18 Jul-18
($/b
bl)
NGL PRICING(2)
HENRY HUB NATURAL GAS (HISTORICAL / FORECAST)
Commodity Prices
Source: BMO Commodity Products Group, Bloomberg, FactSet
1. Future prices are calendar year average unless stated otherwise.
2. Assumes typical Gulf Coast barrel composition.
WTI OIL (HISTORICAL / FORECAST)
NYMEX WTI Futures as of 18-Aug-17 Close ($/bbl) NYMEX Gas Futures as of 18-Aug-17 Close ($/mmbtu)
Period(1) Current Last Wk. 6 Mo. Ago 1 Yr. Ago
12 Mo. Strip $49.04 $49.36 $54.48 $47.81
2017 $48.73 $49.03 $54.41 $52.39
2018 $49.24 $49.49 $54.62 $54.33
2019 $49.52 $49.28 $54.13 $55.64
2020 $50.12 $49.39 $53.94 $56.79
2021 $50.99 $49.94 $54.06 $57.73
NYMEX Gas Futures as of 18-Aug-17 Close ($/mmbtu)
Period(1) Current Last Wk. 6 Mo. Ago 1 Yr. Ago
12 Mo. Strip $3.01 $3.05 $3.16 $3.01
2017 $3.00 $3.07 $3.11 $3.06
2018 $2.99 $3.02 $3.00 $2.97
2019 $2.84 $2.85 $2.85 $2.97
2020 $2.78 $2.80 $2.85 $3.05
2021 $2.79 $2.80 $2.85 $3.18
Historical Prices as of 18-Aug-17 Close ($/gal)
NGLs Current Last Wk. 6 Mo. Ago 1 Yr. Ago
Ethane $0.28 $0.27 $0.26 $0.17
Propane $0.77 $0.78 $0.73 $0.47
Butane $0.90 $0.85 $1.10 $0.58
Iso-butane $1.00 $0.93 $0.98 $0.66
Pentane+ $1.12 $1.10 $1.14 $1.09
20%
30%
40%
50%
60%
Jan-15 Apr-15 Jul-15 Oct-15 Jan-16 Apr-16 Jul-16 Oct-16 Jan-17 Apr-17 Jul-17
% o
f W
TI
NGL as % of WTI
Links:
http://www.nasdaq.com/markets/crude-oil.aspx
http://www.bloomberg.com/quote/CL1:COM
http://www.nasdaq.com/markets/natural-gas.aspx
http://www.bloomberg.com/quote/NG1:COM
Link to Detailed
Futures Data
Link to Detailed
Historical Graph
Link to Detailed
Futures Data
Link to Detailed
Historical Graph
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
8
August 21, 2017
$2.89
AECO
Northern
California
Sumas
Southern
California
El Paso - SJ
Waha
HSC
Henry Hub
Panhandle
CIG Chicago
Dominion
Transco
NATURAL GAS PRICING & DIFFERENTIALS TO HENRY HUB ($ / MMBTU) – AS OF 18-AUG-17
Commodity Prices (cont’d)
OIL PRICING & DIFFERENTIALS TO CUSHING WTI ($ / BBL) – AS OF 18-AUG-17
Clearbrook
Midland
Cushing
St. James
(LLS)
East Coast
U.S. (Brent)
Midland Sweet-
Sour Spread
EMS Legend
Price
Diff.
Legend
Price
Diff.
Source: BMO Commodity Products Group, Bloomberg
Note: Prices and differentials are for prompt month futures except for Clearbrook which is based on spot prices.
$48.51
$51.24
$2.73
$47.99
($0.52)
$45.23
($3.28)$48.61
$0.10
$52.72
$4.21
$0.57
$3.27
$0.38
$2.39
($0.50)
$2.71
($0.18)
MAPS IN
MASTER VIEW
$1.17
($1.72)
$2.52
($0.37)
$2.78
($0.11)
$2.85
($0.04)
$2.55
($0.34)
$1.87
($1.02)$2.59
($0.30)
$2.53
($0.36)
$2.76
($0.13)
9
August 21, 2017
--$20$40$60$80
$100$120
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
2 3 7 4 1 2 3 2 2 3 5 3 0 0 1
$ /
bo
e
# Deals
$27.12
Ann'd
Date Buyer Seller Asset Description Value(1)
Proved
Multiple
Prod.
Multiple Net Acres
($mm) ($/boe) ($/boe/d) ($/acre)(3)
07-Aug-17 RSP Permian Inc Shell; Florida Oil LP 6,563 net acres in Delaware Basin $228 n.a. nmf $34,728
03-Aug-17 Undisclosed LINN Energy Delaware Basin acreage $21 n.a. n.a. n.a.
26-Jul-17 QEP Resources Inc JM Cox; Alpine; Kelly Cox 13,800 net acres in Midland Basin $732 $16.64 nmf $53,051
17-Jul-17 Viper Energy Partners LP Undisclosed Seller 686 net royalty acres in Permian Basin $84 n.a. n.a. $122,303
17-Jul-17 Viper Energy Partners LP Undisclosed Seller 1,712 net royalty acres in Permian Basin $193 n.a. n.a. $112,558
Mean $252 $16.64 n.a. $80,660
Median $193 $16.64 n.a. $82,805
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
GROSS PRODUCTION
TRANSACTION ACTIVITY (EXCLUDES CORPORATE DEALS)
TRANSACTION PROVED RESERVE MULTIPLES(2) TRANSACTION PRODUCTION MULTIPLES(2)
PERMITTING ACTIVITY BY MONTH
DIFFERENTIALS
Permian Snapshot
RIG COUNT
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, Drilling Info
Note: Current quarter’s data is through the week covered by this issue.
1. Represents total enterprise value. Excludes transactions with deal value <$20 million.
2. Red line denotes average since 1-Jan-15. Calculated as the weighted average of each quarter’s transactions.
3. $/acre multiple not adjusted for value associated with production.
--
100
200
300
400
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
H V+D
-$0.50
-$0.30
-$0.10
$0.10
Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
-$4.00
-$2.00
$0.00
$2.00
$ /
mm
btu
$ /
bb
l
Midland Waha
--
$100,000
$200,000
$300,000
$400,000
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
3 7 9 6 1 3 8 8 5 9 12 14 15 7 0
$ /
bo
e/d
# Deals
$174,880
Item Value Wkly Change Last Week Item Value Wkly Change Last Week
Rig Count 377 -- 377 Oil Differential $0.55 $1.10 ($0.55)
Permitting Activity 240 (15) 255 Gas Differential ($0.29) -- ($0.29)
592 606733
552
784 723836
1090
702
933
1116
917
675
Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17
V+D H
5,000
6,000
7,000
8,000
9,000
1,400
1,600
1,800
2,000
2,200
2,400
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17
mm
cf/
d
mb
bl/
d
Oil Gas2,323
7,980
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
10
August 21, 2017
Ann'd
Date Buyer Seller Asset Description Value(1)
Proved
Multiple
Prod.
Multiple Net Acres
($mm) ($/boe) ($/boe/d) ($/acre)(3)
17-Aug-17 Undisclosed Sanchez Energy Corp 68,000 net acres in Eagle Ford $105 n.a. n.a. $1,544
07-Aug-17 Verdun Oil Noble Energy 1,900 net acres in Eagle Ford $50 n.a. $100,000 $26,316
31-Jul-17 Penn Virginia Devon Energy 19,600 net acres in Eagle Ford $205 n.a. $68,333 $10,459
30-May-17 Lonestar Resources Inc Sanchez; Battlecat; Grey Rock 21,238 net acres in East TX Eagle Ford $117 $3.71 $56,823 $5,490
11-May-17 WildHorse Anadarko; KKR 111,000 net acres in East TX Eagle Ford $625 n.a. $82,421 $5,631
Mean $220 $3.71 $76,894 $9,888
Median $117 $3.71 $75,377 $5,631
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
Item Value Wkly Change Last Week Item Value Wkly Change Last Week
Rig Count 75 -- 75 Oil Differential $3.35 $0.60 $2.75
Permitting Activity 75 (28) 103 Gas Differential ($0.04) -- ($0.04)
6,000
7,000
8,000
9,000
10,000
11,000
12,000
1,000
1,200
1,400
1,600
1,800
2,000
2,200
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17
mm
cf/
d
mb
bl/
d
Oil Gas
1,390
7,978
323257
304267
425 418 401472
387349
486
328
219
Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17
V+D H
-$0.30
-$0.10
$0.10
$0.30
$0.50
Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
-$4.00
-$2.00
$0.00
$2.00
$4.00
$6.00
$8.00
$ /
mm
btu
$ /
bb
l
LLS HSC
--
50
100
150
200
250
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
H V+D
--
$10
$20
$30
$40
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
3 5 2 2 1 1 3 0 2 1 0 3 4 2 0
$ /
bo
e
# Deals
$12.93
--
$50,000
$100,000
$150,000
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
3 6 3 3 1 1 3 1 2 4 2 4 4 3 2
$ /
bo
e/d
# Deals
$59,861
Eagle Ford Snapshot
GROSS PRODUCTION
TRANSACTION ACTIVITY (EXCLUDES CORPORATE DEALS)
PERMITTING ACTIVITY BY MONTH
DIFFERENTIALS RIG COUNT
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, Drilling Info
Note: Current quarter’s data is through the week covered by this issue.
1. Represents total enterprise value. Excludes transactions with deal value <$20 million.
2. Red line denotes average since 1-Jan-15. Calculated as the weighted average of each quarter’s transactions.
3. $/acre multiple not adjusted for value associated with production.
TRANSACTION PROVED RESERVE MULTIPLES(2) TRANSACTION PRODUCTION MULTIPLES(2)
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
11
August 21, 2017
Item Value Wkly Change Last Week Item Value Wkly Change Last Week
Rig Count 46 -- 46 Oil Differential $3.35 $0.60 $2.75
Permitting Activity 17 (13) 30 Gas Differential -- -- --
5,000
6,000
7,000
8,000
9,000
10,000
50
70
90
110
130
150
170
190
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17
mm
cf/
d
mb
bl/
d
Oil Gas
106
7,325134 127
104 98110
148
120
177144
109137
115
65
Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17
V+D H
--
$2.00
$4.00
$6.00
$8.00
$10.00
Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
--
$2.00
$4.00
$6.00
$8.00
$10.00
$ /
mm
btu
$ /
bb
l
LLS Henry Hub
--
20
40
60
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
H V+D
--
$5,000
$10,000
$15,000
$20,000
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
1 3 2 3 0 0 4 1 1 3 1 2 0 1 1
$ /
mcfe
/d
# Deals
$7,242
$0.0
$2.0
$4.0
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
3 2 2 2 0 0 4 0 2 2 0 0 0 0 0
$ /
mcfe
# Deals
$1.67
Ann'd
Date Buyer Seller Asset Description Value(1)
Proved
Multiple
Prod.
Multiple Net Acres
($mm) ($/mcfe) ($/mcfe/d) ($/acre)(3)
01-Aug-17 Rockcliff Energy II LLC Samson Resources II LLC 210,000 net acres in East TX & North LA $525 n.a. $5,833 $2,500
12-Jun-17 GEP Haynesville, LLC Sabine Oil & Gas 5,256 net acres in North LA Haynesville $45 n.a. $16,188 $8,562
08-Jun-17 Black Stone Minerals Undisclosed Haynesville / Bossier acreage in East TX $24 n.a. n.a. n.a.
08-May-17 Black Stone Minerals Angelina Co Lumber; Undisc. 74,000 net mineral acres in Haynesville $51 n.a. n.a. $687
20-Dec-16 Covey Park Energy LLC Chesapeake 41,500 net acres in Haynesville $465 n.a. $9,300 $11,205
Mean $222 n.a. $10,441 $5,738
Median $51 n.a. $9,300 $5,531
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
Ark-La-Tex Snapshot
GROSS PRODUCTION
TRANSACTION ACTIVITY (EXCLUDES CORPORATE DEALS)
PERMITTING ACTIVITY BY MONTH
DIFFERENTIALS RIG COUNT
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, Drilling Info
Note: Current quarter’s data is through the week covered by this issue.
1. Represents total enterprise value. Excludes transactions with deal value <$20 million.
2. Red line denotes average since 1-Jan-15. Calculated as the weighted average of each quarter’s transactions.
3. $/acre multiple not adjusted for value associated with production.
TRANSACTION PROVED RESERVE MULTIPLES(2) TRANSACTION PRODUCTION MULTIPLES(2)
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
12
August 21, 2017
Ann'd
Date Buyer Seller Asset Description Value(1)
Proved
Multiple
Prod.
Multiple Net Acres
($mm) ($/mcfe) ($/mcfe/d) ($/acre)(3)
15-Aug-17 Carbon Natural Gas Co Undisclosed Eastern West Virginia assets $22 n.a. $2,867 n.a.
02-Aug-17 Rice Energy Inc. LOLA Energy 16,500 net acres in the Marcellus Shale $180 n.a. n.a. $10,909
30-Jun-17 Undisclosed CONSOL Energy 11,000 undeveloped net acres in WV $130 n.a. $6,500 $11,818
30-Jun-17 Undisclosed CONSOL Energy 11,500 undeveloped net acres in PA $85 n.a. n.a. $7,391
30-Jun-17 Undisclosed CONSOL Energy Non-core Marcellus Shale acreage in PA $30 n.a. n.a. n.a.
Mean $89 n.a. $4,683 $10,040
Median $85 n.a. $4,683 $10,909
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
Item Value Wkly Change Last Week Item Value Wkly Change Last Week
Rig Count 75 -- 75 Oil Differential $4.37 $1.09 $3.28
Permitting Activity 31 (41) 72 Gas Differential ($1.09) $0.05 ($1.13)
282 259 285319 295
214
389 415 390341
433
264
158
Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17
V+D H
12,000
14,000
16,000
18,000
20,000
22,000
24,000
--
50
100
150
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16
mm
cf/
d
mb
bl/
d
Oil Gas
93
23,144
-$2.00
-$1.00
$0.00
$1.00
$2.00
Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
-$15.00
-$10.00
-$5.00
$0.00
$5.00
$10.00
$15.00
$ /
mm
btu
$ /
bb
l
Brent Dominion
--
50
100
150
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
H V+D
--
$10,000
$20,000
$30,000
$40,000
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
1 2 4 3 0 1 0 0 1 2 2 5 2 5 1
$ /
mcfe
/d
# Deals
$6,941
--
$1
$2
$3
$4
$5
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
0 0 3 1 0 0 0 0 3 0 1 0 0 3 0
$ /
mcfe
# Deals
$1.25
Appalachia Snapshot
GROSS PRODUCTION
TRANSACTION ACTIVITY (EXCLUDES CORPORATE DEALS)
PERMITTING ACTIVITY BY MONTH
DIFFERENTIALS RIG COUNT
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, Drilling Info
Note: Current quarter’s data is through the week covered by this issue.
1. Represents total enterprise value. Excludes transactions with deal value <$20 million.
2. Red line denotes average since 1-Jan-15. Calculated as the weighted average of each quarter’s transactions.
3. $/acre multiple not adjusted for value associated with production. 4. $450 million deal value in 2Q16 removed due to incomplete proved reserve information.
TRANSACTION PROVED RESERVE MULTIPLES(2,4) TRANSACTION PRODUCTION MULTIPLES(2)
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
13
August 21, 2017
Item Value Wkly Change Last Week Item Value Wkly Change Last Week
Rig Count 51 (2) 53 Oil Differential $0.10 $0.05 $0.05
Permitting Activity 13 (15) 28 Gas Differential ($0.37) ($0.02) ($0.35)
107
7079 76
31
83
45
96
62
114 112 108
65
Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17
V+D H
1,000
1,250
1,500
1,750
2,000
600
700
800
900
1,000
1,100
1,200
1,300
1,400
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17
mm
cf/
d
mb
bl/
d
Oil Gas
1,049
1,886
-$0.80
-$0.60
-$0.40
-$0.20
$0.00
$0.20
Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
-$8.00
-$6.00
-$4.00
-$2.00
$0.00
$2.00
$ /
mm
btu
$ /
bb
l
Clearbrook CIG
--
50
100
150
200
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
H V+D
Ann'd
Date Buyer Seller Asset Description Value(1)
Proved
Multiple
Prod.
Multiple Net Acres
($mm) ($/boe) ($/boe/d) ($/acre)(3)
15-Aug-17 RimRock Oil & Gas Whiting Petroleum 29,637 net acres in ND $500 n.a. $64,226 $16,871
11-Jul-17 Bruin E&P Partners LLC Halcon Resources Corp 105,900 net operated acres in Bakken $1,400 $13.35 $48,611 $13,220
26-Apr-17 Resource Energy Partners Blue Ridge Mountain 45,000 net acres in Williston Basin $35 n.a. $23,133 $771
31-Mar-17 Crescent Undisclosed 8,500 net acres in Williston Basin $100 n.a. $304,878 $11,765
10-Mar-17 Energy 11 LP Kaiser-Francis Oil Company Purchase of additional WI in ND $53 n.a. n.a. n.a.
Mean $418 $13.35 $110,212 $10,657
Median $100 $13.35 $56,419 $12,492
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
--
$100,000
$200,000
$300,000
$400,000
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
4 2 6 2 0 0 1 4 0 3 3 3 1 1 2
$ /
bo
e/d
# Deals
$57,934
--
$10
$20
$30
$40
$50
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
3 1 4 1 0 0 1 2 0 2 1 1 0 0 1
$ /
bo
e
# Deals
$17.24
Bakken Snapshot
GROSS PRODUCTION
TRANSACTION ACTIVITY (EXCLUDES CORPORATE DEALS)
PERMITTING ACTIVITY BY MONTH
DIFFERENTIALS RIG COUNT
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, Drilling Info
Note: Current quarter’s data is through the week covered by this issue.
1. Represents total enterprise value. Excludes transactions with deal value <$20 million.
2. Red line denotes average since 1-Jan-15. Calculated as the weighted average of each quarter’s transactions.
3. $/acre multiple not adjusted for value associated with production.
TRANSACTION PROVED RESERVE MULTIPLES(2) TRANSACTION PRODUCTION MULTIPLES(2)
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
TBU – Friday post close
14
August 21, 2017
--
$5
$10
$15
$20
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
1 7 3 0 1 0 2 3 0 1 0 0 1 3 2
$ /
bo
e
# Deals
$5.70
# Deals
Ann'd
Date Buyer Seller Asset Description Value(1)
Proved
Multiple
Prod.
Multiple Net Acres
($mm) ($/boe) ($/boe/d) ($/acre)(3)
24-Jul-17 Pinedale Energy Partners QEP Resources Inc 16,530 net acres in Pinedale Anticline $740 $4.61 $18,974 $44,767
24-Jul-17 Undisclosed QEP Resources Inc Non-core southern Wyoming gas assets $38 $14.80 $56,222 n.a.
12-Jun-17 Undisclosed Titan Energy LLC Working interest in Piceance Basin $105 n.a. $42,000 n.a.
09-Jun-17 Caerus Oil and Gas LLC EnCana 550,000 net acres in Piceance Basin $735 $5.42 $17,426 $1,336
30-May-17 Denbury Resources Inc LINN Energy LLC 5,000 net acres in Powder River Basin $72 n.a. $34,048 $14,300
Mean $338 $8.28 $33,734 $20,134
Median $105 $5.42 $34,048 $14,300
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
GROSS PRODUCTION
TRANSACTION ACTIVITY (EXCLUDES CORPORATE DEALS)
TRANSACTION PROVED RESERVE MULTIPLES(2) TRANSACTION PRODUCTION MULTIPLES(2)
PERMITTING ACTIVITY BY MONTH
DIFFERENTIALS
Rockies (excl. Bakken) Snapshot
RIG COUNT
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, Drilling Info
Note: Current quarter’s data is through the week covered by this issue.
1. Represents total enterprise value. Excludes transactions with deal value <$20 million.
2. Red line denotes average since 1-Jan-15. Calculated as the weighted average of each quarter’s transactions.
3. $/acre multiple not adjusted for value associated with production.
--
50
100
150
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
H V+D
-$0.80
-$0.60
-$0.40
-$0.20
$0.00
$0.20
Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
-$8.00
-$6.00
-$4.00
-$2.00
$0.00
$2.00
$ /
mm
btu
$ /
bb
l
Clearbrook CIG
--
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
4 9 3 4 2 0 4 4 1 6 0 0 2 5 2
$ /
bo
e/d
# Deals
$35,515
Item Value Wkly Change Last Week Item Value Wkly Change Last Week
Rig Count 75 (1) 76 Oil Differential $0.10 $0.05 $0.05
Permitting Activity 197 (279) 476 Gas Differential ($0.37) ($0.02) ($0.35)
832 843 833 737570
709933 874
1436
1081855
750957
Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17
V+D H
10,000
11,000
12,000
13,000
14,000
15,000
--
200
400
600
800
1,000
Jan-14 Aug-14 Mar-15 Oct-15 May-16 Dec-16
mm
cf/
d
mb
bl/
d
Oil Gas
570
12,528
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
TBU – Friday post close
TBU – Friday post close
TBU – States to include
TBU – Friday post close
15
August 21, 2017
--
$50,000
$100,000
$150,000
$200,000
$250,000
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
2 2 5 4 0 3 1 2 1 6 4 2 4 2 2
$ /
bo
e/d
# Deals
$88,143
--$5
$10$15$20$25$30
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
1 1 4 1 0 3 0 0 0 2 0 1 0 1 2
$ /
bo
e
# Deals
$12.79
Item Value Wkly Change Last Week Item Value Wkly Change Last Week
Rig Count 96 2 94 Oil Differential -- -- --
Permitting Activity 47 (37) 84 Gas Differential ($0.34) $0.04 ($0.38)
--
5,000
10,000
15,000
--
200
400
600
800
Jan-14 Aug-14 Mar-15 Oct-15 May-16 Dec-16
mm
cf/
d
mb
bl/
d
Oil Gas
452
9,516
268225 245 244
313278
330365
301
369 370342
173
Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17
V+D H
-$0.50
-$0.30
-$0.10
$0.10
Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
-$0.40
-$0.20
$0.00
$0.20
$ /
mm
btu
$ /
bb
l
Cushing Panhandle
--
50
100
150
200
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
H V+D
Ann'd
Date Buyer Seller Asset Description Value(1)
Proved
Multiple
Prod.
Multiple Net Acres
($mm) ($/boe) ($/boe/d) ($/acre)(3)
08-Aug-17 Undisclosed Continental Resources Inc 26,000 net acres in Arkoma Basin $68 $10.01 $38,031 $2,615
08-Aug-17 Undisclosed Continental Resources Inc 6,590 net acres in STACK $73 n.a. n.a. $11,002
02-Aug-17 Undisclosed Chesapeake Mid-Continent assets $360 n.a. n.a. n.a.
22-Jun-17 Undisclosed Jones Energy 6,250 net acres in Arkoma Basin $65 n.a. $20,524 $10,400
04-Apr-17 Unit Corp Undisclosed 8,335 net acres in Anadarko Basin $57 $17.73 $41,514 $6,809
Mean $124 $13.87 $33,357 $7,706
Median $68 $13.87 $38,031 $8,604
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
Mid-Continent Snapshot
GROSS PRODUCTION
TRANSACTION ACTIVITY (EXCLUDES CORPORATE DEALS)
PERMITTING ACTIVITY BY MONTH
DIFFERENTIALS RIG COUNT
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, Drilling Info
Note: Current quarter’s data is through the week covered by this issue.
1. Represents total enterprise value. Excludes transactions with deal value <$20 million.
2. Red line denotes average since 1-Jan-15. Calculated as the weighted average of each quarter’s transactions.
3. $/acre multiple not adjusted for value associated with production.
TRANSACTION PROVED RESERVE MULTIPLES(2) TRANSACTION PRODUCTION MULTIPLES(2)
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
TBU – Friday post close
TBU – Friday post close
16
August 21, 2017
--
$5
$10
$15
$20
$25
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
5 2 0 0 0 0 1 0 0 0 1 0 0 0 0
$ /
bo
e
# Deals
$9.06
# Deals
Item Value Wkly Change Last Week Item Value Wkly Change Last Week
Rig Count 16 (1) 17 Oil Differential $3.35 $0.60 $2.75
Permitting Activity 3 (2) 5 Gas Differential -- -- --
6
16 1419 18 20 19 17
0
31
24 26
13
Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 2,000
2,500
3,000
3,500
4,000
4,500
5,000
1,000
1,200
1,400
1,600
1,800
2,000
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17
mm
cf/
d
mb
bl/
d
Oil Gas
1,765
3,316
--
$2.00
$4.00
$6.00
$8.00
$10.00
Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
--
$2.00
$4.00
$6.00
$8.00
$10.00
$ /
mm
btu
$ /
bb
l
LLS Henry Hub
--
20
40
60
80
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
H V+D
--
$20,000
$40,000
$60,000
$80,000
1Q
14
2Q
14
3Q
14
4Q
14
1Q
15
2Q
15
3Q
15
4Q
15
1Q
16
2Q
16
3Q
16
4Q
16
1Q
17
2Q
17
3Q
17
5 2 0 0 0 0 1 1 0 0 2 0 0 0 0
$ /
bo
e/d
# Deals
$19,234
Gulf of Mexico Snapshot
GROSS PRODUCTION
TRANSACTION ACTIVITY (EXCLUDES CORPORATE DEALS)
PERMITTING ACTIVITY BY MONTH
DIFFERENTIALS RIG COUNT
Source: BMO Transaction Database, Baker Hughes, BMO Commodity Products Group, Bloomberg, Drilling Info
Note: Current quarter’s data is through the week covered by this issue.
1. Represents total enterprise value. Excludes transactions with deal value <$20 million. 2. Red line denotes average since 1-Jan-15. Calculated
as the weighted average of each quarter’s transactions. 3. $/acre multiple not adjusted for value associated with production. 4. Permits include
directional and unidentified drilling permits.
TRANSACTION PROVED RESERVE MULTIPLES(2) TRANSACTION PRODUCTION MULTIPLES(2)
Asset descriptions are all hard-coded and need to be
adjusted if new deals are added
(4)
Ann'd
Date Buyer Seller Asset Description Value(1)
Proved
Multiple
Prod.
Multiple Net Acres
($mm) ($/boe) ($/boe/d) ($/acre)(3)
12-Sep-16 Anadarko Freeport-McMoRan Inc Deepwater GOM assets $2,000 $15.88 $25,000 n.a.
29-Aug-16 EnVen Energy Ventures Shell Brutus and Glider fields $425 n.a. $17,000 n.a.
09-Nov-15 EnVen Energy Ventures Marathon Petronius and Neptune fields $205 n.a. $20,500 n.a.
01-Jul-15 Undisclosed Energy XXI East Bay field $21 $2.23 $10,244 n.a.
Mean $663 $9.06 $18,186 n.a.
Median $315 $9.06 $18,750 n.a.
Blue = BMO provided transaction advisory services Green = BMO provided acquisition financing or related services
Purple = BMO provided both transaction advisory services and acquisition financing or related services
TBU – Friday post close
17
August 21, 2017
Upcoming Industry Events
November 2017 Nov 1 SPEE-Houston Luncheon
Nov 6-7 Hart’s Executive Oil Conference (Midland)
Nov 6-8 AICPA Oil & Gas Conference
Nov 8 IPAA Annual Meeting
Nov 8 IPAA/TIPRO Leaders in Industry Luncheon
Nov 8-10 IADC Annual General Meeting
Nov 17 ADAM-Houston Monthly Luncheon
Nov 29 Houston Producers Forum Luncheon
Nov 29 SPE Business Development Study Group
January 2018
Jan 16 Houston Producers Forum Luncheon
Jan 19 ADAM-Houston Monthly Luncheon
Jan 23-25 SPE Hydraulic Fracturing Technology
Jan 30-Feb 1 Hart’s Marcellus-Utica Midstream
Jan 31 SPE Business Development Study Group
February 2018 Feb 7-9 NAPE Summit
Feb 6-7 IADC HSE & Training Conference
Feb 16 ADAM-Houston Monthly Luncheon
Feb 20 Houston Producers Forum Luncheon
Feb 27-Mar 1 Enercom Dallas
Feb 28 SPE Business Development Study Group
March 2018
Mar 5-9 CERA Week
Mar 6-8 IADC/SPE Drilling Conference
Mar 18 ADAM-Houston Monthly Luncheon
Mar 20 Houston Producers Forum Luncheon
Mar 25 SPE Business Development Study Group
Red text indicates events featuring a speaker from BMO’s A&D Group
Disclaimer: The foregoing links are for convenience only and relate to materials that were not prepared or reviewed by BMO Capital Markets. BMO Capital Markets takes
no responsibility for and makes no representations with respect to the contents thereof. These materials may be inconsistent with the views of BMO Capital Markets.
Click event to open
October 2017
Oct 3 IPAA OGIS Chicago
Oct 4 SPEE-Houston Luncheon
Oct 9-11 SPE Annual Technical Conference
Oct 11 IPAA/TIPRO Leaders in Industry Luncheon
Oct 17 Houston Producers Forum Luncheon
Oct 17-18 IADC Human Factors Conference
Oct 20 ADAM-Houston Monthly Luncheon
Oct 24-25 IADC Advanced Rig Technology Conference
Oct 25 SPE Business Development Study Group
April 2018 Apr 9-11 OGIS New York
Apr 14-18 SPE Improved Oil Recovery Conference
Apr 17 Houston Producers Forum Luncheon
Apr 20 ADAM-Houston Monthly Luncheon
Apr 24-25 DUG Bakken & Niobrara
Apr 30-May 3 Offshore Technology Conference
Apr 25 SPE Business Development Study Group
August 2017
Aug 22-23 IADC Asset Integrity & Reliability Conference
Aug 22-24 COGA Rocky Mountain Energy Summit
Aug 23 SPE Business Development Study Group (Social)
Aug 29-31 DUG Eagle Ford
June 2018 Jun 15 ADAM-Houston Monthly Luncheon
Jun 19 Houston Producers Forum Luncheon
Jun 19-21 DUG East
Jun 25-27 IPAA Midyear Meeting
Jun 19-20 IADC World Drilling Conference & Exhibition
Jun 27 SPE Business Development Study Group
May 2018 May 15 Houston Producers Forum Luncheon
May 17 IADC Drilling Onshore Conference & Exhibition
May 18 ADAM-Houston Monthly Luncheon
May 20-23 AAPG 2018 Annual Convention & Exhibition
May 21-23 DUG Permian
May 30 SPE Business Development Study Group
September 2017 Sep 6 SPEE-Houston Luncheon
Sep 13 IADC Shale Energy Workshop
Sep 13 IPAA/TIPRO Leaders in Industry Luncheon
Sep 13-14 SPE Liquids Rich Basins Conference
Sep 15 ADAM-Houston Monthly Luncheon
Sep 19 Houston Producers Forum Luncheon
Sep 19-21 DUG Midcontinent
Sep 21 Ryder Scott Reserves Conference
Sep 27 SPE Business Development Study Group
Sep 6-7 Hart’s A&D Strategies and Opportunities Add July 2018?
July 2018 Jul
December 2017
Dec 5 SPEE-Houston Luncheon
Dec 13 IPAA Leaders in Industry Luncheon
18
August 21, 2017
This
Week Change
Last
Week
Last
Year
Total Rigs 946 (3) 949 491
Oil 763 (5) 768 406
Gas 182 1 181 83
Miscellaneous 1 1 -- 2
Directional 81 5 76 45
Horizontal 799 (2) 801 382
Vertical 66 (6) 72 64
Basin
Arkoma 8 -- 8 2
Barnett 7 -- 7 5
Cana 67 4 63 32
DJ-Niobrara 30 -- 30 18
Eagle Ford 75 -- 75 36
Fayetteville 1 -- 1 --
Granite Wash 14 (1) 15 9
GOM 16 (1) 17 18
Haynesville 45 -- 45 14
Marcellus 46 -- 46 24
Mississippian 5 (2) 7 3
Permian 377 -- 377 196
Utica 29 -- 29 14
Williston 51 (2) 53 27
Other 175 (1) 176 93
This material is prepared by the BMO Capital Markets’ Investment and Corporate Banking Department, for distribution to BMO Capital Markets’ clientele. It is not a product of
BMO Capital Markets’ Research Department. The views of the Investment and Corporate Banking Department may differ from those of the Research Department.
BMO Capital Markets is a trade name used by BMO Financial Group for the wholesale banking businesses of Bank of Montreal, BMO Harris Bank N.A. (member FDIC), Bank of Montreal
Ireland p.l.c, and Bank of Montreal (China) Co. Ltd and the institutional broker dealer businesses of BMO Capital Markets Corp. (Member SIPC) in the U.S., BMO Nesbitt Burns Inc.
(Member Investment Industry Regulatory Organization of Canada and Member Canadian Investor Protection Fund) in Canada and Asia and BMO Capital Markets Limited (authorised
and regulated by the Financial Conduct Authority) in Europe and Australia. “Nesbitt Burns” is a registered trademark of BMO Nesbitt Burns Inc., used under license. “BMO Capital
Markets” is a trademark of Bank of Montreal, used under license. "BMO (M-Bar roundel symbol)" is a registered trademark of Bank of Montreal, used under license. ® Registered
trademark of Bank of Montreal in the United States, Canada and elsewhere.™ Trademark of Bank of Montreal in the United States and Canada.
Bank of Montreal or its subsidiaries (“BMO Financial Group”) has lending arrangements with, or provide other remunerated services to, many issuers covered by BMO Capital Markets.
The opinions, estimates and projections contained in this report are those of BMO Capital Markets as of the date of this report and are subject to change without notice. BMO Capital
Markets endeavors to ensure that the contents have been compiled or derived from sources that we believe are reliable and contain information and opinions that are accurate and
complete. However, BMO Capital Markets makes no representation or warranty, express or implied, in respect thereof, takes no responsibility for any errors and omissions contained
herein and accepts no liability whatsoever for any loss arising from any use of, or reliance on, this report or its contents. Information may be available to BMO Capital Markets or its
affiliates that is not reflected in this report. The information in this report is not intended to be used as the primary basis of investment decisions, and because of individual client
objectives, should not be construed as advice designed to meet the particular investment needs of any investor. This material is for information purposes only and is not an offer to sell or
the solicitation of an offer to buy any security. BMO Capital Markets or its affiliates will buy from or sell to customers the securities of issuers mentioned in this report on a principal basis.
BMO Capital Markets or its affiliates, officers, directors or employees have a long or short position in many of the securities discussed herein, related securities or in options, futures or
other derivative instruments based thereon. BMO Capital Markets may act as financial advisor and/or underwriter for the issuers mentioned herein and may receive remuneration for
same. The reader should assume that BMO Capital Markets or its affiliates may have a conflict of interest and should not rely solely on this report in evaluating whether or not to buy or
sell securities of issuers discussed herein.
All values in this document are in US$ unless otherwise specified.
Geoff Roberts
MD & Head of U.S. A&D
713-518-1268
Howard Barnwell
Director & Transactions Mgr.
713-546-9767
TRANSACTIONS NEWSLETTER
Contacts
Disclaimer
Source of rig count stats: Baker Hughes
Rig Count Summary
MAPS IN
MASTER VIEW
Rob Priske
Director & Transactions Mgr.
713-546-9727
Legend
Current
Change
Arkoma
Barnett
Cana
DJ-Niobrara
Eagle Ford
Haynesville
Fayetteville
Granite Wash
GOM
Permian
Marcellus
Mississippian
Utica
Williston
8
--
7
--
67
4
30
--
75
--
1
--
14
(1)
16
(1)
45
--
46
--
5
(2)
377
--
29
--
51
(2)
Chelsea Neville
Transactions Coordinator
713-546-9703
Rob Priske
Director & Transactions Mgr.
713-546-9727
Geoff Roberts
MD & Head of U.S. A&D
713-518-1268
Marshall Soper
Analyst
713-546-9706
Aaron Moeller
Analyst
713-518-1262
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