Peterson Energy Operating, Inc.

General information

Andy Peterson started in the oil business in 1975 as a roustabout in Winfield, Kansas; graduated from the Colorado School of Mines in 1979 with a BS degree in petroleum engineering; started an engineering consulting company (Peterson Energy Management) in 1989; and began operating wells in 1994. In 2005 the oil well management functions were spun off into an operating company, Peterson Energy Operating. Peterson Energy Operating is a licensed and bonded operator of approximately 200 wells in Colorado, Wyoming and Nebraska, with over 400 BOEPD of operated production. Our working interest in these properties ranges from 0% to 100%. We enjoy an excellent credit rating and maintain good working relationships with all the major service companies and at least a dozen different drilling contractors. We employ six office professionals including two degreed accountants and a document administrator. Field operations are handled by contract pumpers and contract production foremen. In addition to the wells it operates, Peterson also provides various types of contract services for ten different operating companies, helping them as needed with pumper supervision, production allocation and reporting, joint interest billing, revenue accounting, tax escrow and reconciliation, contract review, and year-end reporting. The scope of contract services provided for the various companies range from startup back-office help to complete spud-to-abandonment support. Peterson Energy Operating can provide specialized custom joint interest billing services including: invoice coding, checking and approval; invoice entry into the accounting system (using the Integra accounting program developed by Avatar Systems); cutting checks to vendors; generating joint interest invoices and statements; revenue collection, allocation, distribution and accounting; all the way up to full operator-of-record and financial accounting services. Company highlights include drilling a horizontal Niobrara well with a 3000' lateral in Weld County, CO in 1997, and designing and drilling an 18-well directional pad and producing facility in Windsor, CO in 2011. In 2012 Peterson Energy Management sold its consulting engineering business to Integrated Petroleum Technologies, Inc. of Lakewood, CO. Andy Peterson currently serves as Vice President of IPT and President of Peterson Energy Operating.