Why mineral rights are a great investment for generating passive income

Just as we use our medical skills over and over again in our areas of expertise, over time we find ourselves working with more confidence, ease, and even perfection. By the same logic, Ecard Enterprises Knows After years of chasing energy resources, they have developed a unique approach to investing in mineral rights that has elevated them to an industry leader.

I’m not an expert on mineral rights, but the author of this post is Troy Eckard, CEO/Manager Eckard Enterprises, LLC. He does a fantastic job of laying out what energy investing is all about.

Selecting assets that align with strategic planning values ​​and your personal goals is paramount. Just as patients look for the best in medical care based on expertise and experience, medical professionals should look for the same qualities when investing and deciding which professionals to follow and trust. In this article, we will discuss why investing in mineral rights is a smart strategy for building your portfolio.

skills and experience

Eckard Enterprises, LLC And I am considered an industry leader and expert in our field, allowing accredited third-party investors to participate in the direct ownership of oil and gas assets such as mineral rights. Since 1985, I have built a career investing in and working in the US oil and gas industry. I have found no better tool for building and protecting long-term wealth than investing in mineral rights.

Why mineral rights?

Mineral rights are at the top of the food chain in the oil and gas industry. These valuable resources allow investors to own land for large oil and gas companies seeking to develop mineral rights for oil and gas extraction.

There is no better passive investment vehicle in the market today for monthly income than oil and gas mineral rights. Mineral rights provide:

• Portfolio diversification.
• A significant hedge against inflation.
• Decade of monthly royalty income.
• They have zero liabilities, zero holding costs, zero exposure to capital calls and zero environmental risks.

Value of oil and gas mineral rights

Additionally, if mineral rights are acquired in the right locations, such as the Permian Basin and the Oklahoma Anadarko Basin, they experience growth in terms of additional new wells and proven reserve discoveries over time. Imagine collecting monthly rent from a building where you have zero construction liability, maintain full occupancy, no liability from tenants and locked in lease terms with billion-dollar tenants. This is as close to a perfect asset class for generating passive income as one can find.

Learn more about oil, gas and mineral rights by clicking here for the Passive Income MD Podcast, Episode #70

Ownership and Benefits

Mineral rights are “real estate”, but their value is below the ground rather than above. Ownership of mineral rights provides the owner with monthly income through royalty payments made by leases to major billion-dollar oil companies. For example, Eckard Enterprises’ tenants include many large public and private oil and gas exploration companies that have billions of dollars available to acquire proven oil and gas reserves underlying our minerals. These companies spend billions of dollars on oil and gas exploration and production, at no cost to the owner of the mineral rights.

Acquiring mineral rights means owning the real estate that America’s largest oil companies operate, risk-free from liability and capital exposure while collecting revenue every month for 25-75 years. Mineral rights have no property taxes, are exempt from bankruptcy, have zero exposure to future capital calls, and have no drilling or environmental liabilities. Unlike real estate investments, mineral rights do not require ongoing maintenance or management.

A mineral owner pays first for all revenue generated from the minerals they own. They even pay upfront to oil companies that have spent millions on exploration. Mineral owners pay monthly for all crude oil, natural gas and all natural gas liquids extracted from wells. All hydrocarbons extracted and sold are verified through multiple sources such as state tax offices, midstream buyers who collect and sell fossil fuels, and the operators themselves.

Ecard approach

Ecard It has taken almost 100 years to maintain the strict discipline to become an oil and gas resource management expert. Their management team has honed their skills and developed a unique and technological approach to acquiring only the very best mineral rights in two major US mineral basins. Eckard is eager to share this unique real estate opportunity with medical professionals and other accredited investors.

Eckard’s mission is to help its partners build and protect their wealth by providing direct ownership of oil and gas mineral rights. Providing private accredited investors with exclusive access to what Eckard sees as the “best in class” mineral resources available in the market today.

Benefits of Mineral Investment

Here are some specific details about the benefits of investing in minerals:

• Mineral rights are considered real estate and real property.
• Drilling risk and drilling liability are nil.
• No environmental risk.
• A mineral owner owns mineral rights at all depths and in all natural resource locations.
• There are zero holding costs.
• There is zero exposure to future costs or capital calls.
• As long as you own the mineral rights, you are entitled to all revenues from all oil and gas extracted from any wells and formations.
• The oil and gas company that leases and develops your mineral rights will be a major public or private equity-backed exploration company.
• Owners of mineral rights are paid first from all gross revenue generated, regardless of product value.
• Mineral rights can be acquired with traditional investment funds, through a self-directed IRA, and through a 1031 tax exchange.
• I can sell the mineral rights in whole or in part at any time as the holder sees fit – it’s your asset.

off…

Let me be straight: investing in mineral rights for medical professionals is a good strategy to use as the foundation of any balanced cash flow-focused portfolio.

Oil and gas mineral rights can be an admirable asset choice for medical professionals, allowing you to earn money while performing your profession without any extra effort. Owning mineral rights is a smart investment strategy for those looking for true passive income that can deliver above-market returns. Like an appraised medical case, the only final conclusion is that for anyone seeking long-term cash flow for decades of capital and liability-free income in real estate for monthly payments, there is only one solution – mineral rights.

Eckard Enterprises offers a one- and two-punch combination of expertise and experience, and we’re here to help you thoroughly understand mineral rights. We work with investors every day to ensure they get the maximum benefit from their oil and gas minerals at the right time.

Ready to learn more?

Contact our team at EckardEnterprises.com

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