- Royalties provide owners with the
benefits of sharing in production without the responsibility of normal
operating or capital costs associated with typical oil & gas
- A royalty is a registered titled ownership interest
(%) of oil or gas production from a well.
- Royalties provide a
stream of income for the owner for as long as the well produces.
are paid out of top-line revenue before any operating expenses are
Utilizing the WCSB
investment structure, Limited Partners receive flow-through deductions
tax deductions while at the same time earn a royalty or a percentage
interest in the oil & gas production revenue that the wells
Investors can expect to see the commencement of cash
distributions within approximately 6-9 months from the closing date of
the offering to which they invested. These cash distributions are
directly deposited into their investment account.
The liquidity of each WCSB Limited
Partnership is estimated to take place within 2.5-3 years of investment.
Generally it takes about 12-15 months for new wells to settle into a
reliable production range and once the wells have been on stream for
12-15 months then WCSB will commence the process of packaging them for
sale. This process typically takes an additional 12 months or so. As a
result, it is reasonable to consider a 30-36 month time horizon from the
date of investment to anticipated timing of a liquidity event.
The Western Canadian Sedimentary Basin (the ”WCSB”) is a vast sedimentary basin underlying 1,400,000 square kilometres of Western Canada.
oil & gas company incentives
WCSB provides much needed capital for oil & gas companies on typically better terms than those available through markets or banks...
frequently asked questions
What are gross over-riding royalties (GORR’s)?