Permian Basin, Midland, TXTHE MILD HiGH YIELDER WITH A TAX BREAK AS BIG AS TEXAS,
Leeb claims, 11% monthly yield? Any insight?
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I’ve been here in the Permian Basin my whole life….66 years…..and have worked in the oil and gas industry most of my life. I don’t know of any individual company operating in this area that is producing 11% monthly yield and has a big tax break advantage built in.
Across Texas there are now over 1000 saltwater disposal wells in operation…..and although drilling is slowing down, the Railroad Commission requires by law the disposal of all produced saltwater, drilling fluids, and accumulated tank bottoms. The small independent producers as well as the majors all have to pay to dispose of the products to produce salable oil and gas. So, disposal of those materials is a guaranteed industry…..and there are some emerging major players. MTN Energy, Inc based in
Midland is one such company. Wildhorse Investments Operating LLC is another. A friend of mine who owns Energy Equity Company in Montana is becoming a major player in the saltwater disposal business.
This is the only guaranteed growth business in the Permian Basin I know of right now.
Everything else depends on the price of crude oil and can move up or down on the whims of politicians.
ol’ Lawrence