Sayer Energy Advisors

Sayer Energy Advisors has been engaged to assist the directors of Southern Exploration Inc. ("Southern" or "the Company") with a corporate sales process.Southern is a private corporation with four shareholders, very low overhead, no debt, no employees and no long term office lease or severance obligations. Southern was founded in December 2005 by t... he four shareholders who currently provide management services to the Company.All of the Company's oil properties are located in southeastern Saskatchewan. Southern has a number of joint venture participants who have participated in the Company's land acquisitions and drilling activities. n the event of a divestiture by Southern, a "drag along" provision to the joint venture agreement compels all participants to sell along with Southern, with 10 days notice. his structure means that the current divestiture is effectively a divestiture of the shares of Southern and the working interests of the Company's working interest joint venture partners.Due to the fact that there are only four shareholders of Southern and with the "drag along" provision of the joint venture agreement, the transaction can be concluded very quickly. Unless otherwise noted, any operational references to the "Company" refer to the interests held collectively by Southern and its joint venture partners. Prior to initiating its 2012 drilling program, the Company was producing a stable total of approximately 605 barrels of oil per day along with 150 Mcf/d of solution natural gas sales (total of approximately 630 boe/d) from its working interests in three producing oil properties in southeastern Saskatchewan.Production has recently increased substantially from this stable base of approximately 630 boe/d to its recent level of approximately 855 bbl/d and 190 Mcf/d (887 boe/d), as the Company has recently brought five new oil wells on stream. he Company anticipates that once the production from these new wells completely stabilizes it will be producing at a stable rate of approximately 800 boe/d. The ...Read More