A non-operator investor group engaged AGR to provide an expert opinion on three North Sea assets in its portfolio. The client wanted AGR to determine whether stated reservoir report claims were justified and whether the existing development concepts were suitable and, if so, whether they could be improved.
• Resolution and analysis of inconsistent operator-provided datasets required
• The building of dynamic models in a short time-frame was required
• Issues associated with the assets highlighted but were not satisfactorily addressed
The evaluation established that the value of the opportunity was highly sensitive to the existing range of uncertainty around several of the valuation input parameters. This information gave the client a greater ability to make a considered decision regarding the opportunity, plus the issues requiring negotiation were clearly flagged.