Case Study: Red Leaf Resources achieves clear long-term financial risk insight with Palisade's @RISK

RISK Aids Innovative Oil & Gas Producer Red Leaf Resources in Development of New Shale Extraction Technology

Red Leaf Resources, Inc., a Salt Lake City start-up developing EcoShale® oil-shale extraction technology, needed a clear way to quantify and communicate long-term financial uncertainty to private-equity stakeholders while still in R&D. To model risks from variables like CapEx, OpEx and volatile oil prices, Red Leaf engaged Palisade and its @RISK software to produce rigorous, presentation-ready analyses.

Using Palisade’s @RISK integrated with Excel, Red Leaf ran Monte Carlo simulations (including regression-based oil-price projections) to generate probability distributions for outcomes such as Net Present Value and Internal Rate of Return. The Palisade solution produced clear ranges of NPV and IRR, improved board communication with visual curves and enabled Red Leaf to demonstrate and plan around quantified uncertainty in its long-term project economics.

Red Leaf Resources

Dan Rakovan

Manager of Strategic Planning