EAG Helps an Upstream Client Complete an Acquisition
NEW ASSET. NEW OPPORTUNITY.
A Houston-based upstream company closed on a major acquisition, going from 1 Operated well to 760, 25 Non-Operated wells to 2,160, and 199 Land Agreements to 8,722. The company has a rapid growth strategy and intends to create a scalable organization with low overhead costs.
TIME CRUNCH, DATA CRUNCH.
Their systems and processes were unfit to support the new asset, and the team lacked the resources needed to effectively convert the massive amount of new data. Additionally, the Transitional Services Agreement (TSA) period was scheduled to end 6 months from the time they closed the deal on the asset.
WE ACT FAST.
EAG was selected to be the System Integrator for this company and to manage / execute all implementation and data conversion activities within the TSA timeframe. Our team of Acquisition and Divestiture experts quickly and effectively created a multi-layered project plan that incorporated the actions required for deploying four new systems, collaborating with the divesting firm to receive master data, coordinating hand-offs between software vendors and stakeholders, and developing a detailed cutover plan.
WE MAKE IT HAPPEN.
In just three months EAG deployed new state-of-the-art systems, enabling the company to transact, manage their assets, and inevitably scale while lowering overhead costs. The systems support the core Accounting, Land, and Production functions, in addition to Electronic Invoice Receipt and workflow, Document Management, and Reporting. The reports are comprised of EAG’s Gold standard Accounting and Land Report packs, which seamlessly integrate with the company’s ERP, bring the team unmatched visibility into their data, and provide an intuitive structure and format that removes time-consuming, miniscule tasks.
THE 30-DAY SPRINT.
The company further engaged EAG to manage and execute robust system training, a Land and Division Order carve-out that involved 14,905 active lease subtracts, 219 active company owned subtracts, and two active company granted subtracts, a data migration, another system implementation, application support, and month-end close support activities.
EAG staffed additional specialized resources to undertake the complex, cross-functional initiatives which involved software vendor collaboration, crucial stakeholder engagement, and keen time management to meet multiple fixed deadlines. The Land and Division Order carve out involved a thorough design of deck set up changes and expected outcomes, testing and validation of net acreage and net override acreage calculation, and the oversight of the company’s mass Division Order transfer. System training included in-person interactive exercises, and the data conversion and implementation involved critical transactional data that was meticulously overseen by highly technical EAG team members.
EAG’s initial multi-layered project plan to onboard a new asset and implement systems for the company sprouted into a web of new requirements and ever-changing variables, despite the deadlines remaining at fixed dates. The scope of work to complete these initiatives were estimated to take one year of manual effort. However, since EAG team members approach every client engagement with standardized tools and templates prepared, the pre-work required was eliminated, saving the company time from the start.
READY FOR WHAT’S NEXT
EAG’s ability to quickly onboard various expert-level team members, rapidly acclimate to the company’s evolving needs, and deliver real, quantifiable value is unmatched in the industry. The company serviced by EAG looks forward to a bright future with new levels of transparency into their data, a reliable technology stack that unlocks greater efficiency, and greater standardization enabling them to onboard additional assets with ease.