Decommissioning Liability Due Diligence demo
Buyers test a seller’s closure number well by well from the data room, and see who still stands behind each well, platform and pipeline. 1:08
What the demo shows
Tests the closure liability in a deal’s data room, with citations, for buyers and sellers.
Agents read each box as it lands, rebuild each wellbore, propose a range for every item and draw the chain of past owners, bonds and release wording. An engineer or estimator puts each range forward, the deal lead signs after opening the record, and counsel countersigns the ask.
Transcript
- Decommissioning Liability Due Diligence tests a seller’s closure number for oil and gas deal teams.
- Agents read the last box, 241 scanned workover reports.
- The seller says 148 million, 36 million of security, stands behind it.
- None of it sure.
- 41 wells are not what the seller’s list says.
- D, 41 was carried as a simple job.
- A 1987 report shows pipe stuck at 6,200 feet.
- Its range moves to 3 to 7.4 million.
- The engineer puts it forward.
- The deal lead must open the report before she can sign.
- The seller test shows a $57 million gap, line by line.
- Counsel's rulings write the ask.
- The deal lead signs it.
- Counsel countersigns, and nobody signs their own work.
- Result, a tested $57 million escrow asked for the next call.
- Built on Botminds.
- Agents, data, screens, and governance on one platform.
Transcribed from the film’s narration. Captions are on the player.