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Sundance Energy is an Australian company that has multiple prospects in the US and is focused on shale. They have assembled 148,000 net acres in the Bakken, Niobrara/DJ Basin and Illinois Basin.
Sundance's business plan is to get in early and cheap and let others derisk the play, selling off interest along the way and having others carry Sundance to production. As land values rise, Sundance continues to sell off interest to finance drilling and more land acquisition.
Company has demonstrated that they can execute this strategy and is in the midst of monetizing their Bakken interests into production with minimal risk.
Here is the latest presentation:
http://www.sundanceenergy.com.au/2010/ASX%20Releases/08.02.10-Corporate%20Presentation.pdf
Here are company basics:
238million shares outstanding
Listed on ASX in Australia as SEA.ax. Fully reporting with qtrly statements as well as monthly updates reviewed and approved by ASX.
Company website: http://www.sundanceenergy.com.au
50 well drill program for 2010. Many of the wells are in the process of being drilled or completed now. Latest report had 28 wells in the process of being drilled, completed or tested.
Sundance started the year at around 350boepd. Should exit at 900boepd. This is company guidance but based on early results, guidance appears conservative. Company is around 750boepd now and JV partner AEZ just reported a big 3000boepd well that should add 100boepd to Sundance's totals and get them to 850boepd. These Bakken wells drop off quickly so Sundance will have to keep drilling to avoid declining production.
Sundance has 8500 net acres in the Bakken and 40 of the 50 wells will be drilled in the Bakken. Most are low working interest wells but are being drilled by Bakken heavyweights like EOG and AEZ/Hess. Sundance secured the land and then sold off majority interest to these bigger players.
Later in 2010, Sundance will start drilling their land in Colorado that is prospective for the newest shale area in the US, the Niobrara. The early results are similar to the Bakken and could become the next big shale area. EOG and other big names are moving in but Sundance has a large land package in good areas. They also hold much higher working interest of 40 to 80%. They will likely sell off some of this interest to help finance the drilling.
Sundance recently updated their reserves. They have PV10 proved and probable of $99 million based on less than 5% of their net acres and NONE of their Niobrara land.
http://www.asx.com.au/asxpdf/20100802/pdf/31rnx3ctd6xx88.pdf
