The American Oil Industry for Investors w/RJ Burr
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Episode Description
Welcome to the Freedom Point Real Estate podcast! Join Jeremy Dyer and oil investor & specialist RJ Burr for a fascinating discussion on harvesting the oil others leave behind, adapting to changes in oil extraction technology, understanding the oil industry in 2020, knowing how individuals can invest in the oil industry, and more.
RJ Burr is a third generation producer of American oil. Born into the industry, Mr. Burr was on his first location before he could walk and has been fascinated by the production of oil his entire life. Within 3 months of graduating high school, Mr. Burr funded his first partnership and never looked back. RJ is the Sr. VP Corporate Operations at Panex. With a main focus on the Gulf Coast, Mr. Burr’s companies have raised and deployed over $300 million in upstream development and have partnered with some of the largest oil and gas companies, namely Shell, BP, and Marathon, to develop several million barrels in reserves.
CONNECT WITH RJ BURR!
Website: https://www.panex.us/
LinkedIn: https://www.linkedin.com/in/rj-burr-06a609162
Facebook: https://www.facebook.com/PanexOil/
CONNECT WITH JEREMY DYER!
Website: https://startingpointcapital.com/
Instagram: https://www.instagram.com/startingpointcapital/
LinkedIn: https://www.linkedin.com/in/jeremydyer
Facebook: https://www.facebook.com/startingpointcapital
Book a Call! https://calendly.com/startingpointcapital/discuss-investing-with-jeremy-dyer?month=2023-12
Summary
Tip #1: Learn the History of Oil Fields
"Understanding the history of oil fields is crucial for identifying overlooked reserves and maximizing their potential." RJ emphasizes the importance of studying previous drilling activities and production trends to uncover hidden opportunities.
Tip #2: Leverage Technology and Data Analysis
"With the right technology and data analysis, we can uncover reserves that were previously overlooked or underestimated." RJ discusses how advanced tools and techniques, such as 3D seismic imaging and digital data integration, enhance the accuracy of reserve assessments.
Tip #3: Embrace Transparency and Trust
"We prioritize transparency by providing detailed breakdowns of revenue and progress, allowing investors to monitor operations through live cameras." RJ underscores the importance of building trust between sponsors and investors through open communication and accountability.
Tip #4: Understand Investment Structures and Tax Benefits
"Our partnerships offer opportunities for investors to benefit from tax advantages, including above-line deductions and passive income offsets." RJ explains the investment structures and tax benefits associated with passive oil and gas investments, empowering investors to make informed decisions.
Tip #5: Assess Risks and Manage Expectations
"While oil and gas investments offer lucrative returns, it's essential to understand and mitigate risks associated with drilling operations and market fluctuations." RJ highlights the importance of risk management strategies and setting realistic expectations for investment outcomes.
Tip #6: Focus on Long-Term Value Creation
"We aim to build a sustainable business by acquiring reserves and maximizing their potential over the long term." RJ shares his company's vision of becoming a significant player in the oil industry through strategic acquisitions and responsible resource management.
Tip #7: Prioritize Due Diligence and Research
"Before investing, conduct thorough due diligence and research to assess the viability of potential opportunities and the track record of sponsors." RJ emphasizes the importance of evaluating geological data, financial projections, and the reputation of investment partners.
Tip #8: Diversify Your Investment Portfolio
"Consider diversifying your investment portfolio by allocating a portion to passive oil and gas investments, alongside other asset classes." RJ discusses the benefits of diversification for mitigating risk and maximizing overall returns in a well-balanced investment strategy.
Tip #9: Stay Informed and Engage with Experts
"Stay informed about market trends, regulatory changes, and technological advancements in the oil and gas industry to make informed investment decisions." RJ encourages investors to engage with industry experts, attend conferences, and leverage educational resources to enhance their knowledge.
Tip #10: Evaluate the Sponsor's Track Record and Values
"Assess the sponsor's track record, integrity, and commitment to transparency and ethical business practices before committing capital." RJ advises investors to align with sponsors who prioritize the best interests of their partners and demonstrate a long-term vision for value creation.
