How to Become an Oil and Gas Investor
The American oil revolution is creating an oil boom that stretches from the Bakken Shale of North Dakota to the deep South of Texas. Thanks to new technologies, it’s not surprising that more investors are interested in becoming oil and gas well partners and taking part in the lucrative opportunity for ownership of oil and gas wells in South Texas.
How do you become an oil and gas investor?
Step One: Educate your self about the oil and gas industry. Understand the risks, the opportunities, the technologies, and the benefits of partnering with owner-operators who have an established record of production.
Step Two: Determine your eligibility. Investors who wish to invest in joint ventures or ownership of oil and gas wells must meet specific accreditation requirements set forth by the SEC. Investors should be able to show an income of $200,000 per year; married investors must have an income of $300,000 per year or more.
Step Three: Make sure to invest with an established, trustworthy, and experienced owner-operator who not only knows the Texas oil fields but can demonstrate to you a history of success in oil and gas well drilling and production. New investors are often so excited to become a part of the American oil revolution that they hand over their money to the first broker who comes along, but the best opportunity for success in oil and gas investing is to partner with an owner-operator whose experience and previous success will lead you to profit.