About Development Drilling


     Example of Multi-Zones

Lower Risk Development Focus

 

Maple Leaf Oil & Gas Royalty Income programs geologists and engineers focus on investing in development or "in-fill" wells and do not finance the drilling on any high risk wildcat wells.

 

Government Regulated Proven Pools

  • Using current government regulated production data from already producing wells, along with seismic reading equipment, it has become much easier to determine the ideal location to drill for subsequent "in-fill" wells.

 

Oil and Gas Companies with a Development Drilling Target

  • Maple Leaf Oil & Gas Royalty Income programs enter joint venture agreements with oil and gas companies that target drilling new wells between already producing "in-fill" wells).
 
 


Well Understood Development Drilling Programs
can Create Value for Investors

Oil and gas companies undertake two types of drilling; exploration or development. Development drilling offers substantially less risk.

 

Key Advantages of Development Drilling

  • Development drilling means drilling into an already existing and producing pool of oil and/or gas.
  • 85% average success rate in development drilling vs. only 10% average success rate for exploration drilling.
  • Infrastructure (i.e. pipelines) and processing facilities are generally already in place to facilitate tie-in of production and paying investors income as soon as possible.

     

Diversification Through Technology

  Multi-zone Development Drilling Opportunities 

Maple Leaf Oil & Gas Royalty Income programs provide diversification through key geographical areas and multi-zone development drilling.

WHAT ARE SOME OF THE RISKS OF THESE TYPES OF PROGRAMS?

  • Drilling  wells can be viewed as risky, however the partnership has mitigated this risk by targeting development wells, which typically achieve a success rate in excess of 85%, rather than exploration wells.
  • Well performance, i.e. the actual daily volume of production achieved from a well and its estimated reserves of oil and natural gas, can vary from pre-drill projections.
  • Commodity price volatility.

One important factor that significantly mitigates risk is the 100% tax deduction (over time) that the investors realize from participation in Maple Leaf Oil & Gas Royalty Income programs.  This tax deduction returns back to investors approximately 40% of their investment from their tax savings.

 

Investment Lifecycle

Investment Lifecycle

Maple Leaf Oil & Gas Royalty Income programs can provide investors up to a 100% tax deduction (over time), monthly income, liquidity and the opportunity to convert income into capital gains.

View Investment Lifecycle