The upstream oil and gas sector, commonly referred to as the exploration and production sector, involves searching for crude oil and natural gas fields, drilling exploratory wells, and subsequently drilling and operating the wells that recover and bring the crude oil and/or natural gas to the surface. Companies operating in this sector face volatile commodity prices, a constantly evolving regulatory environment, and a depleting asset base. Reserve replacement and production rates must be carefully monitored in the face of shifting market conditions and technologies. BVA Group’s professionals have a deep understanding of the issues faced by participants in the upstream oil and gas sector enabling us to provide our clients with insightful and efficient consulting regarding valuation, economic damages, and various corporate finance issues.
Below are a few representative examples of BVA professionals’ experience in the upstream oil and gas sector:
- BVA provided financial advisory services related to the purchase of the majority of the assets of a Texas-based oil and gas exploration and production company by a publicly traded Chinese conglomerate, for $535 million. The assets included oil and gas reserves located in the Woodbine and Eagle Ford shales.
- BVA provided numerous financial reporting valuations for a 40+ year-old, Chicago-based private investment firm including the fair value of financial assets under ASC 820 and stock based compensation. The investment portfolio included equity interests in private companies with oil and gas reserves across Texas, Oklahoma, and Utah.
- BVA provided consulting services to an international integrated oil company in a multi-million dollar litigation matter pertaining to contingent liability claims and alleged asset misappropriation. BVA’s scope included the analysis of various transactions involving the company’s worldwide onshore and offshore oil and gas reserves, investigation of international internal financing arrangements, and assessment of solvency of various subsidiaries and subsidiary groups within the company’s multinational corporate structure.
- BVA provided consulting and expert testimony services to a large, publicly traded independent oil and gas exploration and production company in a multi-billion dollar litigation matter related to valuation and solvency issues. BVA’s scope included the analysis of various transactions involving certain worldwide onshore and offshore oil and gas reserves, midstream operations, and chemical production operations.
Contact the UPSTREAM Team