Pawnee Energy Limited (ASX: PAW) is committed to acquiring producing oil and gas properties in the USA and in particular the Rocky Mountain regions. The Company is seeking to secure both non-operating and operating interests with reputable operators, with a view to increasing production over time by focusing its efforts on proven basins with robust and reliable production and upside with opportunities to participate in development programs that will be carried out by the operators.
In particular, the Company is targeting robust cashflow production assets with substantial operating margins and further production potential, with behind pipe and further field density potential. By seeking current cashflow production with proven undeveloped acreage at a discount pricing to value, PAW believes it can accrue growing production and increasing value and acquire attractively priced properties. This should provide both internal cash generation for further acquisitions of cashflow properties, as well as revenues to sustain the Company's continued growth and overheads. This should also underpin further energy-related activities and initiatives enabling a mechanism by which the company can increase its planned reserves over time. The Company will also look to partner into appropriate properties, with seasoned and reputable experienced operators, and seek smaller minority interests with larger operators where appropriate.
Pawnee is planning to issue a Prospectus to raise funds to underpin and support these oil and gas plays and the Company's initial acquisitions this quarter.