I’m new to the site and interested in knowing experiences, positive or negative, about being a participant in drilling a new well.
Generally speaking, working interests are not for the beginner, or the faint of heart or light of wallet.
There are many risks involved with taking a working interest. Cost overruns are common. Ongoing operating expenses for the life of the well, plus abandonment costs when the well stops producing. Oil and gas prices are very volatile. There is no guarantee you will ever recover your investment.
Are you wealthy enough to pay your share without concern that you might lose it? If so, then you would want to review nearby wells to get an idea of what sort of revenue stream you might expect and look at the expected return on your investment. A trip to Vegas might have better odds. An engineering analysis would help you with the decision.
Thanks Steve. This is helpful.