Here are some things you should know about the oil & gas drilling programs offered by our affiliates:
- According to the Energy Information Administration (EIA), the world’s daily consumption of oil has increased by 10% over the past 10 years; from 85 million barrels of oil per day in 2005 to 93 million barrels per day in 2014 and is projected to grow another one million barrels per day in 2015 and again in 2016.
- U.S. drilling technology has exploded over the past 10 years. We can drill faster, farther, and into oil and gas reserves we couldn’t get to before.
- The objective of most of these types of programs is to establish long-lived oil and natural gas reserves via a developmental drilling program. Developmental wells are wells drilled in proven oil and gas areas where the risk of drilling a dry hole is unlikely.
- Oil and Gas investment programs can provide exposure to numerous horizontal wells in prime drilling areas within the U.S.
- Many of these programs offer a significant tax deduction. These deductions can vary, depending on how the program is structured. You should consult your tax professional if you have questions about how this works.
Click here to learn more about investing in oil and gas and why it might be right for you.
The following video is a good representation of modern horizontal drilling technology and how it works.
Horizontal Shale Drilling – Crude Oil
Every investment has risks. Click here for information about the risks associated with this type of investment opportunity.
The securities are subject to legal restrictions on transfer and resale and investors should not assume they will be able to resell their securities; the investment is highly illiquid. Investing in securities involves risk, and investors should be able to bear the loss of their investment.