Our valuation process at Greenstar involves a meticulous examination of every asset considered for purchase. The primary objective is to estimate the asset's future cash flow stream accurately. This involves locating, collecting, organizing, and analyzing all available information to create precise cash flow models for land and farms, as well as decline curves for oil and gas properties.

​

We understand that haphazardly assigning a value to a property or energy interest based on simple ratios or tax assessments can lead to disappointment for both parties involved. That's why we dedicate significant resources to our valuation process, ensuring a thorough analysis of every aspect of your interest.

​

There's no one-size-fits-all formula in our valuation approach. Similar to appraising a house or car, each asset we value has its own unique characteristics that can influence its true worth. While the process may be complex at times, our commitment to accurately assessing each mineral or real property ensures fair and realistic pricing for both sellers and buyers.

Some of the factors we consider during our valuation process include:

​

Energy Assets

​

• Cash flow history

• Current monthly income

• Type of asset (mineral, overriding royalty, working interest)

• Reservoir features

• Production volumes

• Completion methods

• Production costs

• Taxation

• Terms of current oil and gas lease

• Product type (gas or oil)

• Location

• Operator expertise

• Forecasted decline curve for producing oil and gas wells

​

Farm or Land Assets

 

• Total acreage of land and/or farm 

• Water wells, ponds, and/or creeks

• Revenue generated from crops

• Type of crops (cash crop and/or CRP)

• Solar or wind energy

• Easements

​