Frequently Asked Questions
In the section below you will find answers to some of the most common questions about our business and investment process. If you have additional questions or would like to request more information, click here to contact MPG.
- Who is Managed Petroleum Group, Inc.?
Formed in 1998 and based in Dallas, Texas, the heart of the North American oil and gas industry, MPG is a full-service, independent oil and gas company. MPG partners with qualified potential partners, licensed broker/dealers, and independent oil and gas operators to offer a diverse range of direct investment opportunities that provide substantial tax benefits and income opportunities.
- What makes MPG different?
At MPG, we strive for diversification in our projects. Our partnerships are invested in wells located in various counties throughout the United States. Further diversified by geology – some projects are drilled to shallow formations while others are drilled to deeper depths. Our extensive database of third-party oil field service companies (providers that have established relationships with MPG) also gives us the ability to build the most cost-effective authority for expenditure (AFE) for each project.
- What types of regulatory licenses and certifications does MPG hold?
MPG is registered with the Texas Railroad Commission (operator # 523744) and Oklahoma Corporation Commission (OCC) (operator # 22063).
- What is a direct participation program?
Unlike purchasing stock in a company, a direct participation program (DPP) provides ownership rights that include a streamlined cash flow and clear tax benefits [link to private investor page]. Additionally, this model limits individual liability to the amount invested. Due to our unique position in the oil and gas industry, MPG is able to offer these kinds of investments that are not generally available on the open market.
- What is so unique about investing in the oil and gas industry?
Few other industries offer the income and tax advantage of oil and gas. In addition, with oil and gas serving as a linchpin of world economies for many years to come, North American reserves are ideally positioned for redevelopment. By choosing a variety of projects in proven fields where technological advances have now made new and additional recovery feasible, MPG helps our partners make the most of this timely opportunity. To request a detailed brochure on our direct investment opportunities, click here to contact MPG.
- How are these opportunities made available?
Because the U.S. oil and gas industry is primarily privatized, other participants within the industry are constantly reviewing their holdings – buying and selling sites in response to changing conditions and new opportunities. Through our extensive personal network and inside knowledge, MPG takes advantage of this market-seeking out projects with the potential for cost-effective redevelopment and attractive rates of return. To find out more about the kinds of proven projects MPG selects, click here.
- Why choose an independent oil and gas operator instead of the major players?
Since the large “major” oil companies have considerable overhead expenses, they must aim for production levels in excess of 1,000 barrels of oil per day to remain profitable. While these companies are drilling offshore and internationally in search of huge discoveries, it is the independent – the small- to medium-size companies – that will target redevelopment within North America.
- What factors should U.S. investors consider?
U.S. investors should consider that few other industries offer the tax advantages and potential revenues of oil and gas. However, while MPG takes considerable measures to reduce risk, no investment is totally without risk. Before you begin, you must verify that a direct participation program with MPG is suitable for your needs and understand the inherent risks involved. To find out more about qualifying as investor, click here.
- What factors should foreign investors consider?
A direct partnership from MPG offers foreign investors the chance to enter a privately owned oil and gas market – an opportunity that is unavailable in many countries where these resources fall under government control. However, like U.S. investors, foreign investors must realize that even in spite of careful, conservative practices, no investment is totally without risk. Additionally, you must verify that a direct partnership with MPG is suitable for your needs and understand the uncertainties involved. To find out more about qualifying as investor, click here.
- How can I know if I’m a qualified investor?
The requirements to be categorized as a qualified investor are that you must be able to sustain the loss of all or a portion of your investment and be able to benefit from the tax advantages. There are also two tiers of qualification: A sophisticated investor is an individual who can sustain the loss of all or part of their investment – which must not exceed 20% of your net worth. An accredited investor is someone who has earned more than $200,000 per year individually, or $300,000 jointly, and anticipates similar earnings in the present year. An accredited investor can also be someone with a net worth greater than $1 million, excluding assets like homes, automobiles, and furniture. To find out more about your personal qualifications, contact MPG.
- What if I have more questions?
Please feel free to contact MPG by e-mail or call us toll-free at 1.866.885.3221. MPG offices are open M-F 9 a.m. to 5 p.m. Central Standard Time (CST). Written correspondence can be sent to: Managed Petroleum Group, Inc., 2140 Lake Park Blvd., Suite 208, Richardson, TX 75080. All responses will be returned as quickly as possible.