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Analysis of oil and gas property transactions and sales in California

Journal Article · · J. Pet. Technol.; (United States)
DOI:https://doi.org/10.2118/15102-PA· OSTI ID:6978814

This paper documents the collection of data and the evaluation of transfers and sales of oil- and gas-producing properties in California during the period 1983-85. The purpose of the study was to determine the fair market value of the oil- and gas-producing properties purchased during that period and to derive the oil and gas price projections, inflationary expectations, investment requirements, remaining reserves, payout, and the rate of return expected from the acquisition by purchasers. While originally used as a basis for property taxation analysis, the study has been expanded to include the trend of change in evaluation criteria over the 3-year time span during which oil and gas prices and corporate economic and investment policies have undergone significant changes. The time relation of specific evaluation criteria derived from actual sales and purchases by a cross section of independents and major operators gives a clear picture of the attempts by operators to make sound investment decisions in times of economic uncertainty. The data used for the study are actual evaluations of the properties used by the purchaser in making the acquisition decision in the form of engineering reports or other sources, including personal conversations.

Research Organization:
Pacific Resources Management Inc. (US)
OSTI ID:
6978814
Journal Information:
J. Pet. Technol.; (United States), Journal Name: J. Pet. Technol.; (United States) Vol. 40:3; ISSN JPTJA
Country of Publication:
United States
Language:
English