About Buccaneer

At the same time, small producers have been unable to generate the prospect inventory, maintain the operational efficiency or attract the capital necessary to optimally acquire and exploit mature GoM fields. As a result, numerous opportunities exist for further exploitation and consolidation for companies that can execute a focused, disciplined strategy.

Within its niche, Buccaneer acquires and exploits properties with large, multiple pays, that can be rapidly developed and produced at low cost. It also looks for properties that are near to and similar to those already in its portfolio, thereby lowering geologic and operating risk, and increasing efficiency and repeatability.

Operating model

A significant point of difference with the Buccaneer model to other E & P companies of a similar size is that Buccaneer takes large working interests in the projects it seeks to develop. Therefore a successful project development has meaningful effect on both cash flow and net reserves.

Buccaneer’s operating model is to aggressively replenish its inventory of drillable prospects so that rapid decline assets can be continually drilled out and to maximise operational uptime on producing fields. In this regard, Buccaneer’s “target pipeline” and acquisition strategy has focused on (a) acquiring low-cost, low-risk properties left-behind or passed-over by large producers and (b) leveraging an increasingly tight market for oil and gas hardware and development resources.

Consistent with this approach, Buccaneer has found that many shallow water and onshore GoM properties are not being developed at all, or development is being significantly delayed purely because of “bottlenecks” arising from the shortage of critical resources, including acquisition and development capital, oil and gas services, completion hardware and drilling rigs. Buccaneer’s ability to de-bottleneck valuable projects through its “Preferred Provider” relationships, means it can access opportunities rarely seen by other operators. The Company’s Preferred Provider relationships also allow the Company to maintain a small staff and low overhead.

Personal relationships

Finally, Buccaneer’s strategy relies on the personal relationships and networks maintained by the officers of the Company. Each key individual within Buccaneer has specific contacts and experience that further enhance the Company’s operational and technical capability. These personal networks and experience allow Buccaneer to identify and access opportunities before many other operators even become aware of the prospect.

Using this model, Buccaneer has built an impressive portfolio of near-term exploration and development properties, medium-term acreage positions and long-term acquisition opportunities and well positioned to rapidly establish a large and stable base of production and cash flow with relatively minimal geologic risk. Such a foundation can then be leveraged into higher risk-return opportunities through targeted exploratory activities.