Buy Oil and Gas
Why Now?
Energy markets are entering a structural shift that favors direct ownership of producing oil and gas assets. After years of under-investment, supply growth is lagging while new sources of global and domestic demand are emerging. Acquiring production now — while commodity prices remain near cycle lows — positions investors ahead of the next up-cycle in both oil and natural gas.
Oil: Tight Supply Meets Rising Global Demand
Global inventories are drawing down as OPEC+ maintains disciplined output and U.S. shale growth plateaus.
New drilling remains capital-constrained; most public producers are prioritizing dividends and buybacks instead of new wells.
With global demand still rising through 2027, analysts expect oil prices to normalize toward $70–$80/bbl, creating a strong uplift for existing production.
Natural Gas: U.S. Demand Growth from LNG and AI
The U.S. is adding over 10 Bcf/d of new LNG export capacity by 2028, nearly doubling current levels.
Data-center and AI infrastructure growth is projected to add 4–6 Bcf/d of new domestic gas demand by 2030.
These trends are transforming U.S. gas into a global commodity — tightening domestic supply and lifting long-term price expectations toward $3.50–$4.00/MMBtu.
The Opportunity
Current valuations are still based on sub-$60 oil and sub-$3 gas, leaving meaningful upside as prices normalize.
Direct ownership in producing wells and royalties offers:
Immediate monthly income from established production
Tax-advantaged returns through depletion and 80 % bonus depreciation (2025)
Leverage to rising commodity prices without exploration risk