Investor Portal

COMPANY

Oil & Gas Company

Investment Profile

Sector

ENERGY

Location

CANADA

Financing Period

DECEMBER 2020 - PRESENT

Loan Amount

$5,900,000 NET OF FIRST REFUSAL (ROFR) EXERCISES AND INTERIM PERIOD ADJUSTMENTS

Loan Type

ENERGY WORKING INTEREST ACQUISITION

Challenge

A Canadian-based private oil and gas company sought liquidity for a diverse portfolio of non-operated oil and gas working interests; however, due to the number of working interests, a relatively small well production, the existence of ROFR on select properties, and weak industry conditions at the time, the Company was unable to solicit a variety of interested buyers. 

Solution

Invico acquired a majority of the Company’s non-operated working interests with the exclusion of properties that held marginal value or excessive abandonment liabilities. 

Result

The Company achieved significant liquidity on an expedited basis for its non-operated oil and gas working interests, while Invico was able to diversify its production away from oil with the addition of predominantly gas-producing wells that provided short payback periods and a strong expected internal rate of return.