Gas and Oil Investment

In this economic crisis, is there any safe or at least a reasonable place to make a dividend income of between 10% and 45%? You may think of investment in oil and gas well but you need to know some things about investing in this arena.

Do Your Homework:

Know about the oil companies in Tennessee and the management team and their relationships in order to assess their chances for success. Ask the following questions:

1. Which company (s) is/are involved with making this investment a success?

2. How many wells are successfully produced?

3. Where is the actual well being drilled?

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4. What is the success rate of this area?

5. How many years’ experience of the management team has?


Location is the mantra of retailers, and it is the same for this type of investment. The location can tell you a lot about its potential success. Of course, this is part of your homework, find local produce and how much production Wells in the area produces.

Know the Risks and Benefits:

There are many tax benefits, including a tax rate of 85% after all expenses are deducted. As far as the risks, the company's background and location will provide clues about the potential success rate of production wells.

Make sure that you verify all information with third parties without the pile in the deal.