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Frequently Asked Question

Investing In Oil & Gas

Before you invest in oil and gas, we recommend you to do your due diligence. We pride in educating our investors and potential clients. Below you will find a series of commonly asked questions about investing in oil and gas.


 

FAQs

I Am Ready to Invest, Now What?

Before you are ready to pull the trigger and invest, we commend you learn the process of investing in oil and gas joint venture.

It is a helpful tool to know the Flowchart of your Investment in Oil and Gas. Here you will see a step-by-step process of how Joint Ventures are formed, money raised, pre-drilling, drilling, and completion phase, and when to expect your first revenue check. 

When moving forward in the investment stage be sure to always consult a Financial Advisor and Legal Advisor. Make sure you understand what you are agreeing to. Ask questions like:

  • What is the minimum Investment?
  • When do I expect a return?
  • Are there Cash Call involved?
  • What am I responsible for? What is the Company responsible for?

Check out Fossil Oil’s current Joint Venture opportunities, CLICK HERE.

What are the Different Ways I Can Invest in Oil and Gas?

Investing in oil and oil drilling investments are what a growing number of investors are doing these days; however, most of them are unsure of what kind of oil and gas vehicle they should invest in.

  • Purchase stocks or bonds in oil and gas companies.
  • Limited Partnerships
  • Joint Venture Investments
    • Personal
    • Company
    • Self – Directed IRA/401K/SEP/ROTH Account

To see more ways of investing in oil and gas, PLEASE CLICK HERE.

What Are the Tax Benefits when Investing in Oil and Gas?

A direct investment in oil and gas drilling program can be a smart move to reduce one’s overall tax burden. Instead of paying more taxes, money used for oil and gas investments provide a significant amount of write-offs while adding a consistent cash flow and return on your investment.

There are a number of tax benefits investors can receive then they choose to invest in oil and gas. Approximately 75% of the deductions are made in the first year as intangible drilling cost and the remaining would be deducted over time as the well depreciates.

For more information on TAX BENEFITS please CLICK HERE.

What Are the Advantages of Oil and Gas Investments?

There are a number of advantages that come from investing in oil and gas.

  • Tax Benefits
    • Deductions
    • Write-Offs
  • High returns on investments (ROI)
  • Continuous flow of revenue for many years
How Can I Best Invest in Oil Wells?

Potential investors who are looking on how to invest in oil want to know, “How do I make my investment profitable?”. As you may now know, there are NO GUARANTEE that your oil investment will be profitable, but there are different ways to improve your chances.

One way to improve your chances in making a good investment is to diversify. Diversifying the number of projects will help reduce the risk. Consider investing in multiple oil and gas projects to increase your odds. Try not to put “all your eggs in one basket”. Another way to lower your risks is to look for projects that include the use of 3D seismic technology, multiple target formations, and proven formations in the current field.

Read more on Fossil Oil’s investment opportunities, CLICK HERE.

Where Do I Go to Find Oil and Gas Investment Opportunities?

There are an unsurmountable number of places where people can find oil well investment opportunities. Unfortunately, not all places are the best when it comes to making an investment. Potential investors should not go with a company that is hard to research. Check out Fossil’s Tips and Alerts to help protect you in the investment in oil decision process, CLICK HERE.

When researching, take a few things into consideration. Check out the company’s history. Are you able to find a history, past and current companies (vendors), or multiple ways to contact the office? Get to know the staff, and research the president or CEO of the company. Look at their background and resume. Fossil Oil prides itself in transparency. Meet Fossil’s Team HERE.

Learn and find the different ways you can invest in oil and gas.

Fossil Oil Company has a long history of successful oil and gas investments and is highly rated. To see all of Fossil’s References, CLICK HERE.

When is the Right Time to Invest in Oil?

Now, is the best time to consider making investment in oil and gas! Oil and gas prices are slowly rising and are going to continue to rise. You should consider investing now because of the current benefits that are offered. Tax benefits and tax deductions can come from investing oil and gas.

 Time is now of the essence, contact Fossil or CLICK HERE to receive more information.

Is There Risk When Investing in Oil?

If you are thinking about investing in oil, you should understand that YES, this type of investment does have risks, but there are many ways to reduce these risks. Advances in technology, choosing the right area to drill, and having a large educated team of geologists and geophysicists plays a large role in reducing the risk associated in invest in oil and gas.

3D seismic technology combined with analysis and data from surrounding wells helps companies to find areas that may be success which can reduce the risk investors my encounter.

There are NO guarantees in the oil and gas industry. You should always consult a Financial Advisors and/or Legal Advisor. To learn more on how invest in oil risk can be minimized, contact Fossil or CLICK HERE.

Why Should I Invest in Oil?

Investing in oil allows you to diversify your investment portfolio. Diversification of investment portfolios allows you in increase your chances in making a profit. Investing in oil is appealing due to large potential returns and the numerous tax benefits.

Ready To Invest

Can I change or transfer my investment?

Yes! If you want to change the entity or transfer your investment you can. You would just have to fill out a Form 8308 and other legal documents that Fossil Oil Company will provide.

Are there any Cash Calls and am I subject to them?

We reasonably anticipate that Initial Venture Capital will be sufficient to pay for all Initial Operations.  However, it is possible that the Managing Venturer will deem it appropriate to participate in a Workover on the Prospect.  Everything other than Initial Operations should be considered to be a Workover of the Venture and could require financing in excess of the Initial Venture Capital

If Fossil Oil determines that a Workover, for which Additional Assessments will be requested and is necessary to be commenced, written notice of the proposed operation will be given the Investors.  The notice given by Fossil Oil to the Investors will specify the nature, the purpose of the Workover and the anticipated costs. It will describe the effect of not participating in the Workover and estimate each Investors proportionate share of the expenditure necessary to finance the Workover.

Investors will receive a ballot to vote on any major Additional Assessments. Those who elect to Vote to participate in Subsequent Operations will do so by paying their proportionate share of the Additional Assessment required from the Participating Venturers for the expenses for the Subsequent Operation. 

How long will I continue to receive income?

You will continue to receive income as long as the Well continues to produce.

How will I receive Revenue Distributions?

You will receive Revenue Settlement Statement on a quarterly basis. This Settlement Statement will include all revenues and will provide all expenses acquired for the quarter. You will receive a check or funds via direct deposit.

Generally, revenue checks are sent towards the end of the month for the prior month’s production for as long as the well is producing.

When will I start receiving Revenue Distributions?

Once the well has been drilled, tested, and completed, attorneys prepare and file division orders/title opinion. Division orders are mailed to different oil companies for them to sign and return. This process can take up to three (3) months. Once this process has been completed Fossil will start receiving payments from purchaser.

What is the minimum investment?

The minimum investment will vary from joint venture to joint venture. Fossil Oil’s consultants can help you decide which is best for you.

If you are interested in seeing the most current project Fossil Oil has to offer, contact Fossil Oil.

What is the Investment in Oil and Gas Process?

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Please CLICK HERE  to view the Process in its entirety.

What are the Different Ways I Can Invest in Oil and Gas?

Investing in oil and oil drilling investments are what a growing number of investors are doing these days; however, most of them are unsure of what kind of oil and gas vehicle they should invest in.

When and if you decide to invest with Fossil Oil Company, there are three vehicles you can invest with:

If you are interested in investing or wanting more information on investing through your Self-Directed IRA, ROTH, or 401K plan, CLICK HERE.

To see more ways of investing in oil and gas, PLEASE CLICK HERE.

Come Drill A Well In My Back Yard Book

 

To learn more about the benefits of owning oil & gas reserves and to receive a free "Come Drill A Well In My Backyard" book, please fill out the form below!

 

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The public portion of this site contains only general information regarding classes of products and services that are designed to meet the needs of qualified investors. This is not an offer to sell or solicitation of an offer to buy any security listed herein. Such offer may only be made by written memorandum in a jurisdiction where the offering is duly registered or exempt there from. Please see our investor protection page or download our due diligence, which outlines important information from the US securities and exchange commission (SEC) on recognizing and avoiding oil and gas investment scams. For the complete publication see www.sec.gov/investor/pubs/oilgasscams.htm. Prospective investors should be cautioned that prior performance may not be indicative of future results in any investment, and there can be no prediction as to the future production, if any, of any well to be drilled. Energy investments are speculative and involve a high degree of risk. Oil and natural gas wells are naturally depleting assets. Cash flows and returns may vary and are not guaranteed. Past performance is no indication of future performance. Nothing herein shall be construed as tax or accounting advice. Investors may lose money.