Investment Criteria & Disclaimer
Wandoo Energy, LLC. markets oil and gas drilling investment opportunities to certain high net worth individuals and oil and gas companies regularly investing in such opportunities as a sophisticated participant in the domestic U.S. upstream (exploration and production) oil and gas business, requiring such investor to rely upon its own expertise and/or professional staff and/or consultants knowledgeable as to evaluation of and investment in such drilling opportunities for all investment decisions. Wandoo requires that the investment conditions herein be met by each such investor, regardless as to whether Wandoo or another party has brought the investor into a drilling project. Wandoo reserves the right to require that any investor acknowledge and/or execute an appropriate disclaimer as a condition of its participation, and meet any regulatory requirements.
It is the intention of Wandoo not to make public offerings of investment opportunities that would require any securities certification or registration or filings under the laws of the U.S. or of any State therein. Any investment opportunity provided by Wandoo has not been approved or disapproved by any regulatory agency.
Participation in oil and gas drilling projects may not be suitable for all investors. Although investors are attracted to such projects by the opportunity to reap high rewards compared to the historical rate of return for many other types of investments, investment in oil and gas drilling projects is considered highly speculative such that the risk of loss of a significant portion or all of the investment in a particular project is possible, given the risk that a particular well may not produce hydrocarbons or may be capable of production only in non-commercial quantities, and additional risks less likely found in many other types of investments that do not involve the drilling of wells and operations with heavy equipment in high pressure environment to locate and produce hydrocarbons thousands of feet subsurface, often with surface issues regarding location of wells and other facilities. In addition, substantial further investment may be required due to events such as cost overruns on drilling, completion or other operations not anticipated.
In making its financial evaluation of any drilling opportunity, an investor must also consider that even if a particular well should achieve commercial production, initial production rates may decline significantly over time, and that participants may be required to make additional investments for well interventions or repairs from time to time during the life of production to sustain production in commercial quantities or to recomplete in other potentially productive geological formations. An investor must also consider the volatility of product pricing for oil and gas production over time; currency fluctuations; market demand; competition from alternate energy sources or product substitutes; actions of competitors or of other participants in the investment, including failure to or inability to fund future operations; magnitude and timing of further exploration or development expenses in the investment; technological developments; results of operations; project delays; acts of God; production quotas; environmental or other legal liability; and/or taxation or accounting changes. The enumeration herein of certain particular types of investment risks inherent in oil and gas investing should not be considered to be exhaustive so as to cover all potential risks of such investment. Moreover, certain risks are difficult to predict and/or beyond the reasonable control of Wandoo.
Wandoo has not considered any investor’s particular financial circumstances, investment objectives, risk tolerance, citizenship or tax benefits in making available any particular drilling opportunity. An investor must do its own due diligence in determining whether to participate in any drilling opportunity and its financial exposure. Regardless of Wandoo’s past track record or success, past performance may not be a reliable indication of future success. Prospect and well data of various types acquired by Wandoo will be provided promptly to each participant after execution by a prospective investor of an appropriate confidentiality agreement, continuing after the investor’s participation commitment in accordance with all participants’ formal participation agreement; however, each participant must make its own investment decisions based upon such shared data. Wandoo makes no warranty or guarantee as to accuracy or completeness or results. Expression by Wandoo as to the quality of a drilling prospect, anticipated reserves or anticipated results in any particular well must be treated as merely Wandoo’s opinion and not be relied upon as fact by the investor, which is to use expertise of its own and/or its professional consultants to provide its own evaluation and make its own investment decisions. Any evaluation or communication by Wandoo is subject to revision from time to time as new drilling or other data becomes available.Wandoo requires that potential investors acknowledge the investment requirements herein and meet the following requirements:Represent that the investor has a minimum net worth, or for a corporate investor a minimum market capitalization, in an amount to be determined by Wandoo on a project by project basis; Represent that the investor is a sophisticated oil and gas investor regularly investing in upstream oil and gas drilling prospects, using expertise of its own and/or its consultants who provide professional services with petroleum engineering, geological and geophysical, financial and legal experience and training to provide the investor with its own evaluation to determine whether to participate in any particular investment opportunity and its financial exposure; and, Satisfy any additional requirements made by Wandoo, which reserves the right to conduct a background check on any prospective investor using various sources of financial and other information, and to decline to enter into a participation agreement with same for any reason.Wandoo and Operator and additional participants may be subject to regulatory requirements, whether within or outside of the U.S., including but not limited to requirements of various stock exchanges. Investors in any investment opportunity with such participants acknowledge that the participants may be required to make certain regulatory filings and/or public disclosures that include information regarding such investment. Regulatory requirements (governmental or otherwise) may be an exception to requirements in any confidentiality agreement that otherwise may be binding upon participants.