Reese Energy Consulting works with producers and midstream firms to create financial tools with sensitivity toggles to evaluate the strengths, weaknesses, opportunities and threats of strategic alternatives so leadership teams can make risk-sensitized choices.
These tools incorporate industrywide issues plus client-specific issues, such as operational risks, contractual terms, commodity profile, capital structure, and available liquidity. We also help clients customize the tools and run multi-dimensional “war games”. Since new producers and midstream firms are in the negative cash flow investment phase in the early years, the ability to forecast timing of liquidity needs gives clients more time to plan and execute capital-raising transactions.
REC also helps clients perform financial due diligence on acquisitions and creates economic alternative models to help answer critical questions such as: