PALM BEACH, Fla., June 25, 2024 — Pytheas Energy, Inc is pleased to announce the addition of three producing oil and gas properties to its growing portfolio, the Andrews Crane Asset, the Bakken Asset, and the Minerva-Rockdale Asset. These represent both working and non-working interests in 620 oil and gas wells, with a combined gross current production of approximately 357 BPD.
Commenting, CEO Josh Zuker said, “We’ve grown considerably over the past three months. Today, Pytheas Energy holds interests in over 600 oil wells, which we acquired at what we believe were below-market prices. This is thanks to our proprietary, AI-enabled asset identification technology.
“In the coming weeks, we plan to start revitalizing dozens of wells, in an effort to increase our existing production by as much as four-fold in the next 12-18 months. We’re also exploring further acquisition opportunities and will continue to use our AI-based platform to identify new targets on existing properties.”
About The Acquisitions
Andrews Crane “AC” Asset
Situated among the Permian Basin, the AC Asset is located in Andrews and Crane counties in Texas. It consists of a 15% membership interest in Andrews Crane SPVI, LLC (“SPVI”), a Wyoming limited liability company, which owns a 16.9% non-operating interest in 113 conventional wells. An agreement is in place for Pytheas to acquire the remaining 85% interest in SPVI. The AC Asset currently generates 128 BPD and has a fair market value of ~$11 million.
Management used the Company’s proprietary AI technology and industry knowledge to identify the Andrews Crane Asset as a neglected asset recently jettisoned by a large company. While no guarantees can be made, Management’s preliminary analysis estimates that the AC Asset’s BPD can be increased by as much as 120 BPD over the next 12 months, to a forecasted 200-250 BPD, thereby potentially doubling its market value.
Bakken Asset
The Bakken Asset consists of a 12% non-operating working interest in 19 wells located in North Dakota’s greater Bakken Region, the source of more than 10% of all oil produced in the U.S. This Asset has a fair market value of ~$2 million and generates an ongoing revenue stream of ~$450,000 per year via the production of approximately 19 BPD.
Management identified the Bakken Asset as having a motivated seller. As such, Pytheas was able to acquire a non-operating interest in the Asset at a discount, and with the aim of increasing the Company’s value.
Minerva-Rockdale “MR” Asset
The MR Asset is located in the Minerva-Rockdale oil field of Milam County, Texas, and consists of a ~50% non-operating working interest in approximately 488 wells.
Based on Pytheas’s fourth-quarter 2023 internal management reports, the MR Asset has a fair market value estimated at ~$9.1 million. It generates an ongoing revenue stream of ~$8.0 million per year via the production of approximately 210 BPD from a portion of the property’s wells.
Currently, only a portion of the property’s wells are in production, producing between 100 – 150 BPD as management begins to stabilize the property and rehabilitate the wells. Management estimates that when all 488 wells are moved into production, and the entire asset is rehabilitated, the MR Asset’s production capabilities could increase by as much as four times.
Corporate Financing Update
Pytheas Energy is currently undertaking a capital raise via Regulation Crowdfunding on https://equifund.com. The offering launched in March 2024, and investors have since filled over $3.7 million of the maximum $5 million allowed in this raise. The financing is open to both accredited and non-accredited investors.
For more information on how you can invest in Pytheas Energy, please visit: https://invest.equifund.com/offering/pytheasenergy/details
About Pytheas Energy
Pytheas Energy, Inc is an oil and gas exploration and production company helping to revitalize America’s energy independence through the rehabilitation of existing wells, using its proprietary AI-enabled asset identification technology.
Contact
Hal Abraham Matheson, VP Investor Relations
620.320.3201
[email protected]
SOURCE Pytheas Energy Inc
