Types of Investment Programs

International Energy Network (IEN) can provide a variety of investment programs, depending upon the needs of the selected investor group.

Drilling Programs

Drillng Programs Drilling programs designed for low-risk and relatively predictable returns are available. Currently, our programs are focused on two main areas:

    • First, on the development of oil and gas reserves from multiple zones in relatively shallow wells located in Oklahoma, Texas and Kansas. These kinds of programs are usually referred to as development programs, meaning that they are designed to further develop an already-producing reservoir or geologic formation
    • Secondly, on balanced risk drilling programs that feature a mixture of low risk projects mixed with medium to high impact ventures, which can be tailored to the risk profile requirements of a specific group of investors. We have developed relationships with specialist firms who have proprietary expertise and technology to reduce the risks of dry holes and increase the potential for discovering highly significant quantities of oil and gas reserves.

ACQUISITION & VALUE ENHANCEMENT PROGRAMS

The current global economic situation is creating a number of opportunities to acquire existing oil and gas fields at excellent prices. Furthermore, IEN focuses only on fields that have considerable potential for value enhancement through development of known – or proven – reserves. This enhancement can be achieved through:

• Well work over activity
• Equipment changes
• Secondary or tertiary recovery techniques
• Drilling
• Seismic and other technologies

Once the production capacity of the field has been increased, its value is thereby enhanced. Investors can then elect to either sell the asset for a profit or to retain it for a high cash flow rate of return.

IEN is currently very active in locating such assets.

Mineral Land Syndicates

Historically, European investors have related well to real estate investment and understand it. A Mineral Land Syndicate, which is not at all a typical oil and gas venture, has many parallels or similarities with real estate investments.

As its primary activity, a Mineral Land Syndicate (Syndicate) will purchase mineral lands, sell them to oil and gas companies and participate in the revenues generated on any wells that are drilled on the leased land. In a typical case, a Syndicate will acquire mineral leases on behalf of oil and gas operators who wish to tie up a property months in advance of actually beginning to develop the property through drilling and need a financing mechanism to do so. The Syndicate will also provide capital to acquire leases and to undertake scientific studies in conjunction with top quality proven prospect generators. Once the prospect is ready for development, it will be sold to oil companies, and the Syndicate will retain a share of the profit interest in any wells drilled, at no cost or risk to itself.

IEN has direct experience of assembling such Mineral Land Syndicates. Based on highly conservative assumptions, we forecast that European investors can more than double their initial investment, over a five year period, after all taxes! Given that such mineral land investments are very rarely available to Europeans, are genuinely a low risk entry point to gaining exposure to the oil industry and the oil price, and are designed to exploit the current state of the oil industry, we believe this is a very attractive and unusual investment opportunity.

For further information on Mineral Rights Ownership - what is it and why is it so unique to the USA - please download pdf file here

European investment firms interested in learning more about this unusual investment activity, please contact Chris Tate at ctate@ieneurope.com.

Non-Drilling Programs

We have several programs that do not depend upon drilling for a return on capital invested. These include programs organized as follows:

     

    • Projects for reworking existing wells which are currently marginal.
    • Pipeline construction or water disposal investment activities
    • Equipment leasing programs.

The Next Step

If you would like to receive further information as to how we can assist your organization in introducing to your clients an investment in high-quality oil and gas projects, please complete this form.