How Lario Permian achieved a 3.3x exit multiple and transformed operations with AI-powered forecasting — running a high-performing asset base with 50% leaner staff.
Challenge
Lario Permian faced a classic problem of scale:
- Quantifying inventory in the Midland Basin's less-developed shallow benches
- Leveraging vast datasets for optimal development planning
- Running a two-rig program while preparing for an exit — without increasing headcount
Siloed data, manual workflows, and rigid off-the-shelf software created bottlenecks just as Lario needed better tools to guide strategic decisions. Traditional tools and custom solutions couldn't keep up.
Solution
Lario partnered with AlphaX Decision Sciences to deploy Sky, an AI-powered forecasting platform built for asset intelligence at scale.
Sky enabled Lario to:
- Blend public and proprietary data in one unified environment
- Run rapid, reproducible forecasts across hundreds of wells
- Empower non-specialists through an intuitive, web-based interface
- Leverage basin-specific AI models for consistent accuracy and transparent results
By combining the speed of cloud computing with the foresight of AI, Lario eliminated key workflow bottlenecks and gained real-time insight into development potential.
Results
- 3.3x multiple achieved in Lario's $1.55B sale to Diamondback
- 50% leaner staff operating efficiently through digital workflows
- Minutes instead of days to generate validated forecasts
- Unified decision-making across engineering, production, and finance teams
Sky provided the decision intelligence layer that allowed Lario to run a high-performing asset base with precision — and confidence.
Takeaway
"Incremental changes lead to incremental results. Significant results demand significant change."
By embracing AI-powered forecasting, Lario transformed operational complexity into clarity — proving that the future of asset performance isn't about more data, but smarter, unified intelligence.