RGR`s doesn`t purchase leases itself. Instead, we partner with lease holders who are looking for capital for their exploration projects. Potentially interesting projects range from single drilling projects on small oil fields through projects on heavily over-drilled fields where many deposits have probably been missed due to the fact that wells were historically only drilled to very shallow depths, all the way to minority stakes in large-scale projects.

The first step is that our geologists and petroleum engineers review a summary of the prospective project where they look at specific criteria, such as regional geology, suitability for GeoSpectra IPDS®, historical production data, etc. If the analysis shows a promising prospect RGR then negotiates a letter of intent with the prospective partner.

These agreements allow prospective partners to provide RGR with all available data, public and confidential, about a prospective project (geological, geophysical, economical, etc.), which are then evaluated further by RGR. If a minimum set of criteria is met, RGR undertakes a survey using GeoSpectra IPDS® at its own expense.

GeoSpectra IPDS® surveys are carried out by a small specialized team from RGR’s partner GeoDynamics S.r.l., leader and patent owner of passive seismic technology, who have proven track record in the field of oil exploration.

If the results of the GeoSpectra IPDS® survey are positive, RGR suggests a profit sharing agreement for a potential cooperation which is then negotiated.

The bandwidth for possible profit-sharing agreements ranges from:

• A royalty agreement with land owners who are not engaged in any oil production on their property (i.e. farmers, ranchers, etc.), where RGR covers all costs
• First in - First out agreements, where RGR also covers all the costs and where the lease holder only begins receiving a share of the profits after the costs have been recouped
• Cost-Splitting models, where all costs and profits are permanently shared on a negotiated basis

If an agreement is reached, RGR not only provides the capital for the development and production as agreed in the profit sharing agreement but also provides all data produced with the GeoSpectra IPDS® to its partner. This allows both parties to accurately calculate the profitability of a project.

If you are seeking investment for oil exploration projects in North America and are interested in a partnership with RGR, please do not hesitate to contact us using our contact form or by sending an email to our project coordinator Sebastian Samek at ss@rescue-gas.com