Invest in oil and gas by Elle Wood

   Investing in Oil and Gas Ventures can provide any investor with a large window of opportunity. Today's investor can choose among numerous projects that offer very high financial rewards, and an investment in oil and gas is definitely one of them. You can expect Return of Capital in 6 to 12 months with greater than average Annual Rate of Return. Risk inherent in an average well is less risky than what it was10 years ago with the probability of success to be better than 90%, however, available projects would be economically attractive if oil prices would fall 50%. There are various advantages associated with drilling. In the United States, Congress has instituted tax incentives to promote domestic natural gas and oil production financed by private resources making involvement in oil and gas ventures to be a considerable tax advantage. The availability of Small drilling prospects is better than ever. Since Oil companies are not as anxious to renew expired leases making lease costs low. Long-range projections of price forecasts are up and since Rig activity is lowest in 50 years, drilling costs are low. In addition, recent advances in oil finding technology has improved recovery and reduced risk with some companies reporting 85% success on wildcat wells. Natural gas is now one of the most deregulated commodities. Since traditional sources of drilling money are no longer available, it is considered a bonanza for independent investors. One of the simplest way to bet on the price of oil is by investing in shares of USO (the U.S. Oil Fund) which is an asset created to track the price of oil. Investors can buy it like a stock. A handful of exchange-traded funds (ETFs) relating to oil are available as well such as OIH, IXC, IYE, XLE, and VDE. Some people prefer to invest in ETFs rather than mutual fund because the cost of ownership is lower, and you can buy and sell them any time through the day. If you are wary of the market, discuss your options with a true Oil and Gas Operator. Discover your possibilities, and weigh the advantages of becoming a true Oil and Gas investor.