Squamish, BC ( Kazor ) June 20, 2011 – The rule for every investor is buy low, sell high. That is the basic tenet of making money by putting money to work. When investors are considering investment in domestic oil and gas wells, it is a primary consideration. Given that the price of oil and gas is predicted to continue to increase at a rapid rate in part because of the crushing increase in global demand, sophisticated and well qualified investors know that the window of opportunity is open.
Because this country’s reliance on foreign oil has sparked wars, economic discomfiture, and political rife, another benefit of domestic oil and gas investment is to stabilize the national economy and reduce reliance on foreign oil and gas. Because the government is aware of the benefits of increased domestic oil and gas supplies and wants to promote investment in the same, the IRS has developed a very alluring set of tax credits and deductions that make it more cost-effective for sophisticated, well qualified investors to invest in domestic oil and gas wells.
If the country can increase its own production of oil and gas while also exploring other options that will supplement the energy supply, it can shift the entire focus of the American economy and future from its reliance on foreign supplies to being more self-sufficient in providing the energy to meet its own demand. The political and economic ramifications of increased investment in oil and gas wells is enormous.
Ed Markey, U.S. Representative for Massachussets 7th District, has made energy policy is number one concern. He says, “People really feel that, when they go to the gas pump now, that the oil cartel is holding them by the legs and tipping them upside down and shaking money out of their pockets.” It’s that precise feeling that sophisticated American investors are hoping to diminish with their efforts to increase the investment in domestic oil and gas wells.