{
  "assumptions": {
    "brand": "Phoenician Royalties",
    "label": "Fictional example — synthetic data only",
    "valuationDate": "Illustrative start of Year 1; not a current market date",
    "property": "Example Unit A — fictional onshore oil property",
    "owner": "Example Owner A — fictional",
    "offer": 65000,
    "netMineralAcres": 10,
    "pooledUnitAcres": 1000,
    "leaseRoyaltyFraction": 0.25,
    "revenueDecimal": 0.0025,
    "referenceOilPrice": 70,
    "oilDifferential": -3,
    "realizedOilPrice": 67,
    "gasAndNglModeled": false,
    "totalTaxAndPostProductionDeductionFraction": 0.08,
    "deductionBasis": "gross owner royalty revenue, fixed synthetic assumption",
    "personalIncomeTaxIncluded": false,
    "currentProducingFirstYearGrossOilBbl": 100000,
    "currentProducingAnnualEffectiveDecline": 0.15,
    "discountRate": 0.1,
    "valuationYears": 20,
    "paymentTiming": "year-end",
    "terminalValue": 0,
    "developmentNewWellCount": 1,
    "developmentFirstProductionYear": 4,
    "developmentFirstYearGrossOilBbl": 120000,
    "developmentAnnualEffectiveDecline": 0.25,
    "illustrativeDevelopmentProbability": 0.5,
    "developmentProbabilityBasis": "hypothetical scenario weight only; no empirical probability assessment",
    "preAdjustmentNewWellGrossOilBbl": 150000,
    "analogAdjustmentFraction": -0.2,
    "capitalAndOperatingCosts": "Excluded for this assumed royalty interest; post-production deductions are included as stated",
    "economicLimit": "Fixed 20-year truncation; no well-level economic limit modeled"
  },
  "results": {
    "existingFirst": 15410,
    "newFirst": 18492,
    "pvExisting": 61284.86993473868,
    "pvConditional": 39636.14666136442,
    "pvRisked": 19818.07333068221,
    "pvTotal": 81102.9432654209,
    "annual": [
      {
        "year": 1,
        "existingCash": 15410,
        "newCash": 0,
        "existingPV": 14009.090909090908,
        "newPV": 0
      },
      {
        "year": 2,
        "existingCash": 13098.5,
        "newCash": 0,
        "existingPV": 10825.206611570246,
        "newPV": 0
      },
      {
        "year": 3,
        "existingCash": 11133.724999999999,
        "newCash": 0,
        "existingPV": 8364.932381667915,
        "newPV": 0
      },
      {
        "year": 4,
        "existingCash": 9463.666249999998,
        "newCash": 18492,
        "existingPV": 6463.811385834298,
        "newPV": 12630.284816610883
      },
      {
        "year": 5,
        "existingCash": 8044.1163124999985,
        "newCash": 13869,
        "existingPV": 4994.76334359923,
        "newPV": 8611.557829507421
      },
      {
        "year": 6,
        "existingCash": 6837.498865624999,
        "newCash": 10401.75,
        "existingPV": 3859.5898564175864,
        "newPV": 5871.516701936876
      },
      {
        "year": 7,
        "existingCash": 5811.8740357812485,
        "newCash": 7801.3125,
        "existingPV": 2982.410343595407,
        "newPV": 4003.306842229688
      },
      {
        "year": 8,
        "existingCash": 4940.092930414061,
        "newCash": 5850.984375,
        "existingPV": 2304.5898109600867,
        "newPV": 2729.5273924293324
      },
      {
        "year": 9,
        "existingCash": 4199.078990851953,
        "newCash": 4388.23828125,
        "existingPV": 1780.819399378249,
        "newPV": 1861.0414039290902
      },
      {
        "year": 10,
        "existingCash": 3569.217142224159,
        "newCash": 3291.1787109375,
        "existingPV": 1376.087717701374,
        "newPV": 1268.8918663152886
      },
      {
        "year": 11,
        "existingCash": 3033.8345708905354,
        "newCash": 2468.384033203125,
        "existingPV": 1063.34050913288,
        "newPV": 865.1535452149695
      },
      {
        "year": 12,
        "existingCash": 2578.759385256955,
        "newCash": 1851.2880249023438,
        "existingPV": 821.6722116026798,
        "newPV": 589.8774171920246
      },
      {
        "year": 13,
        "existingCash": 2191.945477468412,
        "newCash": 1388.4660186767578,
        "existingPV": 634.9285271475253,
        "newPV": 402.1891480854713
      },
      {
        "year": 14,
        "existingCash": 1863.1536558481498,
        "newCash": 1041.3495140075684,
        "existingPV": 490.62658915945127,
        "newPV": 274.2198736946395
      },
      {
        "year": 15,
        "existingCash": 1583.6806074709273,
        "newCash": 781.0121355056763,
        "existingPV": 379.1205461686668,
        "newPV": 186.96809570089056
      },
      {
        "year": 16,
        "existingCash": 1346.1285163502882,
        "newCash": 585.7591016292572,
        "existingPV": 292.956785675788,
        "newPV": 127.478247068789
      },
      {
        "year": 17,
        "existingCash": 1144.2092388977449,
        "newCash": 439.3193262219429,
        "existingPV": 226.37569802219974,
        "newPV": 86.91698663781067
      },
      {
        "year": 18,
        "existingCash": 972.5778530630831,
        "newCash": 329.4894946664572,
        "existingPV": 174.9266757444271,
        "newPV": 59.26158179850727
      },
      {
        "year": 19,
        "existingCash": 826.6911751036207,
        "newCash": 247.11712099984288,
        "existingPV": 135.17061307523912,
        "newPV": 40.40562395352769
      },
      {
        "year": 20,
        "existingCash": 702.6874988380775,
        "newCash": 185.33784074988216,
        "existingPV": 104.45001919450293,
        "newPV": 27.54928905922342
      }
    ],
    "sensitivity": {
      "low": 34147.356909905284,
      "base": 61284.86993473868,
      "high": 102044.74863708584
    }
  },
  "formulas": {
    "decimal": "10 / 1000 * 0.25 = 0.0025",
    "producingCash": "100000 * 0.85^(t-1) * (70-3) * 0.0025 * (1-0.08), t=1..20",
    "developmentCash": "0 for t<4; otherwise 120000 * 0.75^(t-4) * (70-3) * 0.0025 * (1-0.08), t=4..20",
    "pv": "Sum(CF_t / 1.10^t)",
    "probabilityWeightedIllustration": "0.50 * conditional development PV; zero development cash flows for other 50%"
  }
}