OIL LEASE & WELLS FOR SALE 42% OWNERSHIP 1031 ELIGIBLE 16% ROI / 42% WORKING-INTEREST / PROVEN STEADY INCOME Start Price USD 225,000.00 Current Price USD 225,000.00 Time Left - Bid Count 18 Buy It Now Price - Reserve Price - Start Time Friday, September 19, 2008 End Time Sunday, October 19, 2008 Location Lee County, KY See more about 'OIL LEASE & WELLS FOR SALE 42% OWNERSHIP 1031 ELIGIBLE' Description Oil Lease for SaleUnique and exciting investment opportunity. Own 42% Non-Operating Working-Interest in an oil lease. NOWI is the best kind of ownership. You have an operating partner. He's responsible for the development and daily operations. You don't have to worry about operations, but included in decisions. When oil is sold to the refinery you're paid 42% of the proceeds and your operating partner receives 41.5%. The other 16.5% is held by heirs and other former owners who have royalty-interest, but not working-interest. 4 wells pump sweet crude from an enormous oil reservoir spread across 3 states - West Virginia, Kentucky & Tennessee - which some experts are saying will last 100 years. At $100 a barrel, your net monthly revenue is $3,000 (16% ROI). The wells are scheduled for stimulation and vacuums, which will increase production. Email us and we'll send you a spreadsheet which allows you to calculate your earnings at different oil prices and levels of production.Eligible for 1031 exchange. History & Development                                              The Bill Brown lease is located in Lee County, KY on a 4 acre parcel of ridge top land in the heart of Daniel Boone National Forest. When the price of oil dropped to $17 a barrel in the early 80's the Bill Brown wells ceased operation. A year ago, when sweet crude was selling for $60, we bought a 42% non-operating working-interest in the lease. To get started the operating partner and his crews rebuilt the roads and a bridge so they could get into the wells. Heavy and persistent rains delayed the work. A year later all 4 wells have been refurbished and pumping steadily for two months now. The first year is high hopes and a bit of nail biting, not knowing what you'll get. The 2nd year is about reestablishing the flow, monitoring and tweaking the wells, going deeper or pulling back a bit, getting the timing right on the pumps. As the flow is established, the wells will be stimulated with acid and vacuum pumps added.  A fifth well, started 40 years ago, but never completed, can be developed. It costs about $30,000 to get a well back into production.Oil SalesOil payments are received directly from the refinery. Four loads have been shipped to the refinery to date (80 to 90 barrels per load). We have received 3 checks: $3200, $3900 and $2995. We'll receive payment for the 4th load Oct 25th. The refinery is located in Ohio and pays the contracted rate for sweet crude minus $6.00 a barrel for delivery from the field. The refinery mails our checks on the 22nd of each month for oil delivered the previous month. Why We're SellingWe bought 2 leases. We're selling the smaller lease to finance the development of the larger lease. A great opportunity for both of us.  A Unique OpportunityA year ago, when this opportunity fell into our laps, we hired an oil and gas attorney to represent us. When we told him we wanted to buy 42% interest in an oil lease, he replied: "I can guarantee you haven't been offered a 42% interest ... 42% of 12% ... maybe." He went on to explain that, as a standard, oil companies release 10% to 12% of their leases to private investors to raise money for development, but never a working interest and never 42%. After inspecting our lease he happily recanted his aspersions and congratulated us on "A Great Deal!" We were further elated to hear that our leases were located in one of the largest and best oil fields in the US, expected to produce for a long long time. "You'll likely pass these leases onto your grandchildren" he ventured. He also praised the advantage and virtues of sharing the working interest of an oil lease with the operating partner, as both partners are personally invested and motivated. Disclaimer: Not responsible for inaccuracies. We're not oil and gas experts and, for good reason, are not the operating partner. You are responsible for all due diligence. Come, inspect and research until you are completely satisfied. You accept this lease the same way we bought it, as is. We bought as is, on faith and high hopes. Many obstacles and a year later, it's finally producing oil! We bought it raw and undeveloped. You buy it refined. (Pun intended)  Interested parties should contact us and arrange for a physical inspection as soon as possible. The closest airport is Lexington. Bring proof of funds. We expect to close Nov 1, 2008. Thank you for your interest.We're happy to answer questions or assist in any way:Robert & Christine Smithspongebobsmartypants@gmail.com571-218-0096 Explanation of Pictures: #1-4 The four producing wells; #5 Rebuilt bridge at the entrance to the oil field; #6 The upper holding tank (the water is separated from the oil and both are delivered to larger holding tanks at the bottom of the ridge); #7 The lower holding tanks (500 ft below the oil field, near a good service road, where the oil tanker comes to pick up the oil; #8 Fifth well that has not been developed.                    Place a Bid!