The FAL Files  

Go Back   The FAL Files > News & Political Discussion > Economics & Investing

Notices

Reply
 
Thread Tools Display Modes
Old June 07, 2012, 17:02   #1
carguym14
Registered
 
FALaholic #: 13162
Join Date: Jan 2004
Location: Iowa
Posts: 6,554
Buy oil well?46% return??

So I got this call a week ago from this company-Ventrum Energy Corp out of Louisiana-looking for investors to buy into existing wells.

Sent me a good size package with all sorts of info.A little over 300 acres with 6 wells-already producing around 7 barrels a day each.Supposedly,when these wells are cleaned up,they will put out at least 40 barrels a day.Course if they get 60 barrels a day out of each well,the ROI will be 60%.


Smells bad to me,but the guy has called twice and seems legit.

Comments??Thoughts?Obscene remarks?


ETA-The wells/property are in Louisiana.
__________________
Anything not under government control is,by definition,out of control.


Don't piss down my back and tell me it's raining.


When is it time to pick up your rifle?
When your conscience cannot abide to see it unused.
1gewehr 8/3/05
carguym14 is online now   Reply With Quote
Old June 07, 2012, 17:23   #2
carguym14
Registered
 
FALaholic #: 13162
Join Date: Jan 2004
Location: Iowa
Posts: 6,554
Ha,no,I get enough of the Nigerian scammers (fun to play with them-thank you scambaiter).


Not finding out much on the internet-good or bad.Just raises my BS flag,but ya never know.

I'm more interested in the return OF my investment,than the return ON my investment,but with zero percent interest,there's no a lot of safe income potential out there.
__________________
Anything not under government control is,by definition,out of control.


Don't piss down my back and tell me it's raining.


When is it time to pick up your rifle?
When your conscience cannot abide to see it unused.
1gewehr 8/3/05
carguym14 is online now   Reply With Quote
Old June 07, 2012, 20:01   #3
Texas Jaguar
Registered
 
Texas Jaguar's Avatar
 
FALaholic #: 6874
Join Date: Jul 2002
Posts: 325
DANGER WILL ROBINSON!!! Your instincts are spot on. Run, do not walk away from this scheme.

There is an extremely minute chance this is legit. If the field is allready producing why are they selling intrests in future output? They are obviously searching for investors willing to put up capitol when no other source can be found. The knowledgable oil business investors feel the risk is too high.

If you can invest the money without comprimising your standard of living and your a gambler then go ahead. Its a gamble pure and simple.

Louisiana is notorious for shaky and down right fraudlant oil field shenanigans. When I did geophysical exploration there in the 80's it was not unusual to encounter properties with 3 different individuals with more or less valid claims to mineral rights beneath the land. If the prospect was very favorable the oil companies would pay leases and if the well came in royalties to all 3.

My advice is to pass on the whole thing. If you choose to invest then the best of luck to you.
Texas Jaguar is offline   Reply With Quote
Old June 07, 2012, 20:10   #4
gates
Registered
 
FALaholic #: 129
Join Date: Jul 2000
Location: phx az
Posts: 11,664
Multiple possibilities - the wells are playing out and they are looking for bagholders, they need new money to drill new prospect holes (about $500k per), OR, it's a total ponzie scheme:-)

My father has interest in some producing wells and his "partners" have spent A LOT of their profits from the producers looking for new oil - it goes VERY fast when you come up dry - I'd stay the hell away from this if it were me - my father's situation was dumb luck - he bot into the few prospects that turned into monthly cash flow - wild catting is a awesome when you get lucky. His deal was $50k for a 1/10th share in the prospective well - he hit 3 for 3 and I think he gets about $10k per month off each...
gates is online now   Reply With Quote
Old June 09, 2012, 08:18   #5
carguym14
Registered
 
FALaholic #: 13162
Join Date: Jan 2004
Location: Iowa
Posts: 6,554
I passed-it just screamed "scam" to me.

Only 25 openings for investors and he was holding the last slot for me.Sent me pics of wells,the land,and some paperwork on how many barrels a day they were putting out,and says "trust me",you wont find a better deal anywhere.


I wouldn't mind getting into something like your dad did gates,but that probably involved quite a bit of luck too.
__________________
Anything not under government control is,by definition,out of control.


Don't piss down my back and tell me it's raining.


When is it time to pick up your rifle?
When your conscience cannot abide to see it unused.
1gewehr 8/3/05
carguym14 is online now   Reply With Quote
Old June 09, 2012, 10:15   #6
Gary104
Member
Contributor
 
FALaholic #: 1949
Join Date: Dec 2000
Location: Louisiana
Posts: 154
You probably chose wisely. Go here
http://www.investmentloss.com/Site/r...estment-losses

The pictures they sent you are probably NOT their wells. their website is private
Gary104 is online now   Reply With Quote
Old June 09, 2012, 10:52   #7
Skilter
Registered
 
FALaholic #: 1021
Join Date: Sep 2000
Location: North Texas
Posts: 3,199
Wait a minute... Yes, this is possible. Here is what you have to do (FYI... I am not an attorney and YMMV, BUT...)

Ask to see the property. Ask to meet the owners. Ask for a copy of a certified audited financial on the company. Ask if it is an investment prospect that is defined by the SEC. There are outfits out there doing this that are producing these type returns. BUT, it is volatile. If you get in with the right people, it can work. However, I would really do my homework.
__________________
Skilter
Native Texan

Illegitimi Non Carborundum
--------------------------------------------
M 7:7-14 tells you all you need to know.
Skilter is online now   Reply With Quote
Old June 09, 2012, 19:53   #8
Sperzuki
Registered
 
Sperzuki's Avatar
 
FALaholic #: 63037
Join Date: Mar 2011
Location: Orlando, FL
Posts: 144
If they call you - Scam!!!
__________________
Just because I'm paranoid, doesn't mean they're NOT out to get me!!!
Sperzuki is offline   Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On

Forum Jump


All times are GMT -5. The time now is 23:32.


Powered by vBulletin® Version 3.8.7
Copyright ©2000 - 2014, vBulletin Solutions, Inc.
©1998-2012 The FAL Files