Located in the middle of the Horizontal Wolfcamp play, the assets include 1,762 net contiguous acres (34.5% is held by production) with an average 76% working interest (57% net revenue interest).
The upside part of the play includes 19 Horizontal Wolfcamp B locations and two uncompleted vertical wells.
Kerns Resources said the sale includes the option to purchase a 3D seismic license over the leasehold.
The assets include five producing wells with average net cash flow of $64,688 per month and total net proved reserves of 378,000 barrels of oil equivalent.
Approach Resources, Apache, Pioneer Natural Resources, Devon Energy, EOG, El Paso, Laredo Energy and others are the several operators active in the Wolfcamp play.
Bidding for the oil assets is due on 24 May and closing is expected by 29 June.
