Sign Oklahoma Banking Month To Month Lease Computer

Industry sign banking oklahoma month to month lease computer

so first i just want to thank everybody for joining us today um my name is tyler winnett i'm the ira business development manager at eckerd enterprises i'm joined by my ceo and good friend troy w eckerd and business operations manager brendan walsh of rocket dollar thank you guys for joining us no problem and so first today we are going to troy is going to teach us a little bit about mineral rights the oil and gas industry and kind of what that all looks like from an investment standpoint and then we'll hand it off to brendan he will kind of show you what rock and dollar has done with the checkbook control ira uh opening up your own llc and what all that looks like from an alternative investment standpoint so and then after brendan's presentation uh we'll actually turn it over for q a so any questions you guys have uh please type them into the q a box and uh we'll get started with troy first sounds good so you're gonna hand the screen over to me tyler yes sir okay uh says i can't so there you go you're good man thank you sir all right and i believe this is the right one we hope well first off uh good afternoon everyone i appreciate you taking the time out of your busy schedule to join uh brendan and myself and tyler um i find that the the airwaves are extremely busy with everyone trying to communicate their message in a very different world the last 90 to 120 days i find myself really looking at a lot of zoom meetings and participating a lot of podcasts and webinars and really it's kind of interesting it's almost facilitated making information more accessible it's just a matter of choosing your time of day and that information so brendan and i are really grateful that you guys have joined us and what we'd like to do is make it worth your while by talking about an alternative asset such as mineral rights here in the united states and of course brendan will show you some of the ways their company can help you facilitate that so i'll get started first off uh to a little background on our company uh eckerd enterprises has been around at least i have since 1985 in the oil and gas industry i started my career off as an investment counselor and broker with a small firm out of dallas texas i was born and raised in south texas currently i have about 15 employees we're investing in pipeline businesses natural gas pipelines we have a lot of oil and gas exploration and production we own a fabrication business and so we're pretty diversified and integrated in the u.s energy space for us the good news is that we were not part of the last 90-day crash because we were in the right position with the right asset so it's always good to be in the right spot when everything else falls apart so today we're going to take advantage of giving you information on mineral rights and what you as a individual investor may find in value from personally looking at and considering mineral rights they are an alternative investments and i'm going to show you exactly what they look like so let's see if i can make sure this crap clicks here we go so first off as i mentioned i am the owner and ceo of eckerd enterprises and i have uh had a great career for 35 years in the u.s oil and gas industry and let me tell you it's like a roller coaster at six flags it's from 145 dollars a barrel 10 years ago to negative 37 a barrel 60 days ago so there is a lot that goes on both in technology commodity pricing different ways in which you can invest in energy space but my career and the exposure that i've had both in drilling and seismic and exploration and production have all kind of brought me to a pinnacle of my career where minerals is what i believe is the best asset in the energy space to own and i also believe that it gives an investor the greatest opportunity for cash flow asset growth with the least amount of liability exposure so what i want to do is just walk you through what it looks like first off what are mineral rights and i think the answer is most people really don't know when you start talking about mineral rights they start asking themselves are we talking water or salt are we talking about gold or precious metals and the answer is yes mineral rights basically are talking about the rights below the surface and it pertains to natural resources that can be extracted from below the surface so back in the land grant days when real estate was issued or given us real property the forefathers and those that granted those land rights really were not paying attention or at least they were unaware what the future might hold in fact the way it works today is most real property owners have three different rights they have surface rights everything attached to the surface they have air rights everything not attached to the surface but directly affecting the geometrical dimensions above your property so that would include air rights uh windmill air currents etc and then you have mental rights everything below the surface and so there has been a real uh change or evolution over the last 20 years in which real estate owners started to understand that they owned a lot more than just that apartment building or that house or that industrial park that sometimes that property actually sat on minerals that worth a lot of value they just were unaware of it so let's go through and show you how this works first off the united states has roughly 3.8 million square miles of territory it's a lot of land and for us as a country we have very few people covering that land so there's a lot of open spaces and in that open spaces just happens to be an enormous geological pool of oil and gas buried 3000 feet to 20 000 feet below the surface when you look at 2.43 billion acres of land the key thing about the united states is one of the only countries in the world that allows private ownership of the mineral rights most countries keep the mineral rights for the government itself and you can only develop those mental rights through concessions or government approval so we have a very unique opportunity here in the united states to own mineral rights directly whereas other countries do not allow that well by pure luck or happenstance those that were farmers ranchers they were originally the ones who settled the territories they had no idea what laid below their feet they didn't know if it was gold or silver or copper or oil and gas or any other type of natural resource but as modern technology began to advance the discovery of these natural resources effectively certain areas of the country became more prolific for different natural resource development well in the oil and gas industry there are certain areas of the country that for 75 to 100 years have been notorious for oil and gas exploration texas oklahoma louisiana mississippi even california and so in the uh evolution of developing those mineral rights a lot of rules and regulations were put in place but the key thing that always bothered investors about mineral rights is one they were scarce hard to find hard to invest in but more importantly it was almost like picking the winning ticket at a lottery it was difficult to know which mail rights to buy well the industry itself has changed so much in the last 15 to 20 years that the risk of knowing or finding mineral rights in my opinion has diminished by 80 or 90 percent i mean in other words i'm not so worried about dry holes it really has become a economical asset that follows along the same kind of parameters as let's say real estate because mineral rights are in fact real estate so what we want to do is kind of just give you some visuals as to what's going on and that way you can get your your head around what a mental right looks like first of all mineral rights are just like real estate because they are they're classified as real estate so when you do a 1031 real estate exchange you can exchange out of selling a piece of real estate right into mineral rights in fact middle rights are deeded and titled just like real estate so you go to the courthouse you have a legal description and i can in fact buy minerites below somebody else's building if they in fact did not own the surface the air and the minerites they can effectively either sell me those i can buy those metal rights from somebody else who retained them in a previous transaction what is really interesting that if you can understand that not only above the surface but below the surface there's tremendous value the first oil and gas shale play in the united states occurred underneath the city of dallas and fort worth here we have this mega metroplex with eight or nine million people living high density industrial development and a discovery is made south of fort worth that was in what's called the barnett shale it's a reservoir about five these five thousand feet below the surface 500 foot fixed it's like a 50-story building loaded with oil and gas sitting below the surface and yet it's sitting with the surface being constricted by shopping malls highways and buildings but many of those real estate owners didn't realize when they bought their real estate that they never had the mineral rights peeled away so they in fact owned the mental rights of those natural gas reserves in the barnet shell below so you have homeowners associations today that 15 years ago the oil company came to that homeowner association board and said hey we want to lease your minerals underneath your subdivision we're going to drill a horizontal well and you guys are going to get checks every single month for however much you own of this section of land that's producing oil and gas you have homeowners out there with a small home you know 2 000 square foot home that's been getting revenue checks every single month for the last 15 to 20 years so it truly is a dual revenue generator depending on where you're located and how much oil and gas reserves are in place it's opened up the eyes to many across the country because it's not just a texas thing you have ohio pennsylvania you have wyoming north dakota you have illinois you have michigan you have florida you have massive number of states in fact if you look at the previous map everything in light brown or dark brown covers big buried uh basins loaded with organic material if i were to put a topography map on on top or a surface cultural map you're going to find enormous amounts of cities and population aggregations sitting on top of these minerals there's a lot of money being made there's probably the highest growth in millionaires in the united states as a result of owning mental rights and having oil and gas developments take place on their property so let's take a look just so you can get a visual this you know unfortunately i've done this business so long i talked fast unfortunately my brain works 90 miles an hour i assume that most people kind of understand what i'm saying that's not true so i'm learning to use visual analogies to try to help you understand what's going on below the surface in this case i'm using the modern day grand canyon and when you take a look at the grand canyon i believe this the number i heard was it's like uh nine atmospheres from the surface to the bottom of the grand canyon which you're changing atmospheres as you go down well if you took this same visual and go back to the map that i showed you previously all the brown and dark brown represents buried grand canyons that effectively have been developed because of tectonic movement geological faulting and erosion millions of years ago well when those canyons were filled up over time the the ocean tides moved without giving you a geology lesson they were compacted with dead plants and animals over time that through thermal energy cooked and all that organic material turned into what we use today as oil and gas so what the geologist what the engineers what the oil companies are looking at they're not trying to find a seven inch hole in the ground and get lucky that maybe what's down a mile and a half happens to be commercially viable with oil they're saying we're dealing with probably in the neighborhood of over 100 million acres with 15 buried grand canyons where it's loaded with oil and gas and that's exactly why the united states in the last 10 years has gone from being almost out of oil and gas in 2008 when oil prices ran to 145 dollars a barrel today we're the number one oil producer in the world how did we do that in a decade because we took the risk out the geology was no longer an issue it was more about developing mineral rights and i'm going to keep hammering on this this is expiration but we don't participate in expiration we're minimums we're the landlord of the property that oil companies or the tenants want to come in and spend all their money and take all the risk to make us rich that's why i like minerals so let's talk about technology technology has what has changed the entire oil and gas industry in fact what we've done is we have been able to use much of the information used in other industries such as nasa we use a lot of their technology for guidance of our drill bits in the ground we use triangulation we use satellites so when that drill bit goes straight down the ground it's able to stay and go horizontally two to three miles in distance and stay within a zone that may be two or four foot thick so we've taken the speculation we've taken the uh unanswered questions away and through computer software and hardware the only gas industry is using all that technology to perfect not only the finding of oil and gas but the maximum extraction of oil and gas so let's show you an example this is what they refer to today as a walking drilling rig now some of you may think what is a walking drilling rig this drilling rig probably sits 140 feet high off the ground to the top of the mast it has all these moving components and parts and when that drilling rig is finished in order to move it to the next location they used to have to take it completely apart pick it up and transport it to the next location it might take two to four days and it might take 200 000 worth of time and equipment to disassemble it and move it to another location it could cost as much as a half a million dollars if you went to a completely different drill site what they've done is they've taken the star wars component of saying we now have a walking rig in the front of your screen at the bottom you'll notice there's this nice little foot and what they've done is they created one long pad site and they said when we're finished drilling the first well we'll disconnect we'll use these walking feet and we'll walk it 50 to 100 feet to the next drill site and they can do that in four to six hours it's it's enormous the amount of advantages the technology has had when we go to the actual extraction process remember you and i are minerals we're only concerned about one thing we own the oil and gas under the ground where that rig was located we own the oil and gas in the ground without any liability we take no drilling rest we take zero cost exposure zero environmental liability the oil companies take 100 of the risk so we're getting a free ride for somebody developing only gas we have underneath our property and what we get is 15 to 25 of all future revenue for free it's called a royalty distribution so as i'm pointing out the technology the advantage to you and i as middle owners is as the oil companies continue to improve their extraction processes they add technology to that process they're simply getting more oil out of the ground faster which makes us wealthier higher income higher return on investment minerals if we buy the right minerals that's why it's really kind of a evolving market in the last 10 years it's gone from being not such a big deal to be in minerals to now if you have access to minerals it can be an incredible wealth builder as an alternative investment so what you're looking at on the screen right now is horizontal drilling and frac stimulation these big rigs are get put up in the air they go down anywhere from five to seven nine thousand feet vertically and then they have equipment that turns that drill bit and they actually bend that pipe and they go sideways one to two to three miles when they're finished drilling the well they'll prepare the well for comp etion all the completion is put the media aside it's very simply this it is the ability for the oil companies to take sand and water and they go down and they inject it like a sand blast they go in and take this tight shell rock that's been cooked over years and they crack it if you go back to the visual that i had of the grand canyon what it effectively is you're taking the sidewall of that grand canyon and you're blasting water and sand to crack it and create natural crevices so those oil and gas molecules can expand and come to the surface so it takes horsepower so what you see in the right hand screen is all these big trucks all they're doing is they're giving us pressure they're allowing us to inject the sand and water natural material back into the well and what it does is takes my minerals your minerals those of us who own the minerals and it says look you've got a million barrels all in the ground if i don't frack it you have a hundred thousand barrels i can get out if i frack it i might get out 500 000 up to a million barrels of your reserves because all i'm doing is inducing the formation of which you own the minerals to give us what it has the only gas don't do everything gold mining or copper mining or any other type of natural resource so let's give you what i like which is the numbers you and i mostly those are investors we're not geologists i mean i think i'm a geologist i've done this for 35 years but i'm always a numbers person my background was economics and finance and i want to know how things work from a monetary perspective so when you look at minerals the key thing to remember is is that the oil gas is in place the safest place for our oil and gas investment the last 90 days as oil prices drop was in the ground we want the oil company to keep it there like a safety deposit box until it's time to produce that oil and gas whenever price of oil and gas are at its peak so what i've learned is that when you have a mineral asset that asset is forever it's like real estate it's in perpetuity until you decide to sell it the extraction process is up to my tenant i'm the landlord my tenant is exxon or marathon or continental resources so it's a billion dollar company and they're developing and drilling and extracting the gas and they're making all the financial decisions knowing very good and well they're only getting maybe eighty percent of the revenue twenty percent of revenue belongs to me because i'm the mineral owner and i get paid that twenty percent every month so i'm gonna give an example how far the technology has really improved and this again is mineral owners economic advantage in upper right hand corners shows you a 2012 vintage weld that was drilled using old technology you see the little yellow bar that's on the screen that's the intended reservoir they were trying to drill horizontally in and you see the black line that's the horizontal displacements all up and down it's all over the place and very little of it was actually in the yellow formation that well as an example was on 87 months it's made about 2.3 billion cubic feet of gas very good well and it generated about 4.7 million dollars in revenue in 87 months now we look at the advancement in less than five or six years of how that technology has improved it now what we see is a 2019 vintage well in the bottom left-hand corner that same well same formation you notice the black horizontal line going through the yellow reservoir it's in zone 90 of the time because they use triangulation in modern technology with motherboards in the drill bit guiding that drill bit the more your wellbore is in the zone the more of our minerals they are going to be able to successfully develop and so what we end up with is a well that made basically 2.6 billion almost the same amount quantity of gas but they got out 5.3 million dollars in less than five months five months versus 87 months let's show you how it works out for the minimum okay so this is you and me we're the mineral mineral owners are the real winners because why in the 2012 well if we own the minerals out of that well we made 940 thousand dollars for 45 000.87 months in 2019 we would have made a million dollars in five months i don't know about you but i'll take my million dollars in five months versus taking it over 87 months now the key to this is both wells both reservoirs have the same potential economic life they'll both last 25 to 50 years the modern technology that's developing the minerals that you and i can own as private investors it simply means they've learned how to extract what's in the ground safer faster in larger quantities and a lower price of recovery it's all to our advantage as a minimum when i give you a comparison of what i call traditional real estate and i only say traditional minerals are traditional but if you ask a thousand uh real estate owners or real estate investors they're thinking apartment complexes duplex industrial parks they're not thinking about mineral rights because it's essentially a brand new sector of real estate when i give you the the pros and cons you can read it on the screen i don't have to read it for you we don't pay any property taxes some states like texas have a small property tax where i'm buying my minerals in oklahoma there's no property tax i have no holding cost i don't have any monthly expenses i never get a bill everything to me as a middle owner in oklahoma where i develop my minerals that i buy i basically have a win-win i get a free royalty check every month for 15 to 25 of every profit dollar made i never pay a bill i never pay expenses i never get cash calls i have no liability for environmental i have no liability for plugging wells i don't have to make any decision i have marathon exxon big major oil companies who are out there developing with hundreds of millions of dollars the minerals that they've leased at least for me i'm the i'm the landlord they said we want to lease your minerals they give me a check once the bills come online they say every month top of the line first one paid that record guy he's got uh 20 of our royalty so send him a check every month it's never going to be subordinated because it is first off the top of the line when it comes to distribution both for expenses taxes and liability this is why minerals are such a phenomenal alternative investment now let's talk about the extraction potential so here's the big big kicker that happened in the last decade when they started horizontal drilling on minerals they realized that the first well being drilled was probably the only well they were going to get when the engineers came in and started looking at the extraction how much oil gas was being taken from one single well they started doing the calculation wait a minute we thought we were getting 70 of the reserves in that particular mineral section or not we can tell by the pressure we can tell by the rate of return we can tell by the amount of extraction so they drilled a second one then a third one and a fourth one some of these particular sections of land many of them are now a minimum of four to five wells per section and some have as many as 24 to 36 wells on one mental section of land so i call it horsepower for me i grew up raising quarter horses and i ride and i roped and i did all the things you do as a young cowboy from south texas and what i essentially was able to do was understand that you know if i have one buggy in one horse that's great if i get myself eight clydesdales and put them in front of that buggy it's a whole different ball game well mineral right ownership is the same thing i don't want to own minerals where i might have one well drilled it still can be very profitable to make me money but i'm really looking as an alternative investment something that can give me long-term low-risk really truly deep value that can add an enormous change in my profile i want a needle move or something that's going to give me some real movement so as this case goes on the oil companies have so perfected their drilling expiration extraction they're now clearly demonstrating what somebody five or six years ago saw as a one or two well mineral holding now maybe five to 25 wells 24 wells per minute holding and that's changed economics off the scale many many private equity groups and large financial institutions i invested billions upon billions of dollars since 2008 into minerals about a year and a half ago they said we've eaten at the trough we've got all we can handle and yet there's still 100 million acres left it was perfect timing for me to take a real focus on mental acquisitions two years ago and that was the game changer i'm going to give you just an example this is just a random example of minerals that we've acquired to show you the economics of it because i think it's important as you look at it as a retirement investment decision in alternative investments oil and gas varies based on commodity prices and extraction but this is an example of a little package that we did as a company so i'm not going to promote the package i just want to use it as an economic example we're showing you a 60-month interval if you bought the minerals today you got about a half a year's worth of income left by the time we buy the minerals put them into notice to the oil company we're the new owner we might get one or two months revenue this year by the time it goes to the process i mean we're dealing with billion dollar welcome hey excellent i'm a new owner excellent says great i'll put up my file and we're going to have you notified in 60 or 90 days i get it but once the wells are online and producing if you look at like the second year 2021 rate of return it's 47 you go through the entire 60 month interval including half a year in year 2025 that's still an annualized return of over 12 percent i made 100 return on my invested capital i've done it all through cash flow and i still own the mineral i own that piece of real estate free and clear so like a rent property i buy the property i would like a rate of return i still want to own that property when i pay off the mortgage in 15 or 20 years in this case the there is no mortgage it's a cash purchase of a mineral right and i'm just looking at the royalty every month every year giving me a return on my principal investment and then i now have a free and clear asset that's continue to generate revenue for 25 to 50 years and i might have 10 20 30 additional wells which could carry my rate of return out for the next 15 or 20 years when i go to the bottom this is one of the things that we always look at which is what's my terminal value in other words if i held this mineral ownership for five years got my rate of return but i decided man i'm gonna take my money because the real estate market's depressed i could buy some great traditional real estate so i'm gonna go sell what i bought in 2020. if we give it just a one or one and a half value meaning it's one to one and a half times more than we paid for it we end up with a terminal value of 251 percent in five years it's over 30 return per year this is not in every mineral case but it gives you an example how you benefit you benefit when you lease your mineral and you get a payment up front for your lease payment they don't pay monthly they pay you all of it one time up front you get revenue every single month for every drop of one gas sold and then you have a value because it is a true legally titled asset in real estate that you can sell now one of the things that we look at is as a major valuation consideration in minerals is can you make money in mineral acquisitions if oil is twenty dollars a barrel can you make money when it holds it eighty dollars a barrel and the answer is yes from our standpoint i like disruption in the market when there's a downturn in oil and gas minerals and oil and gas industry like we've seen the last 90 days it is a perfect time for me because all the competition has disappeared so the question i have to use is is what do we as a company as an energy expert what do we see is the market going forward so you'll see an example of what we see for the market we see 40 oil average for now at the end of the year including the downturn we see 50 next year and we're looking at 60 as kind of a template for the next three years and then natural gas also has its variable prices the reality of it is in the last 10 years that i've seen all as high as 148 dollars a barrel i've seen all this negative 37 dollars a barrel i've seen natural gas at 1.65 per thousand cubic feet i've seen it almost 14 per thousand cubic feet so as a natural resource that every single american unless you're living out on top of a mountain in the middle of the wilderness not even living in a tent you're living on the rocks every single thing you do every single day is based on a barrel of oil the phone you use the computer you use the carpet you stand on the clothes you have on the wood that brought the truck of wood delivered to your house to make the house you're in so we're looking at a sector of the economy that no matter what happens with cover 19 coba 20 21 24 it's irrelevant it's a supply and demand issue so what i like about minerals is an alternative investment i own an oil and gas metal rights with producing wealth the very substance that drives the u.s economy so the reason why we have such a great economy for the last eight years uh or let's say the last four years is because since we started having a real business growth-minded kind of uh forward motion it's been also complement because we had very low oil and gas prices and very low energy costs so our current president loves oil cheap he doesn't want so cheap to go out of business he likes it cheap but he also understands that it is what drives the economy so as far as supply and demand minerals are going to be in heavy heavy demand the next 10 to 20 years as our economy grows and very few people are going to own the minerals because the oil and gas industry has imploded less money coming into the industry means whoever owns producing wells whoever promotes producing minerals are going to own the very resource that drives this economy going forward regardless of who wins the white house it is a fundamental asset so i'll wrap up by saying this that oil and gas mill rights are the core number one asset exxon does not drill a single well in the united states without first negotiating the rights with the middle owner to develop that minimum and the first check written every single month whether it's oil and gas a marathon or exxon or a small johnny brown geologist the very first thing that happens every single month regardless is a check written to oil and gas mental owners and at this point there's 8.5 million millimeters the united states the projection is in the next 10 years there'll be 22 million mineral owners receiving a check every 30 days i hope you become one of those as an entire retirement investment decision it is a great asset to put in your ira because there's no cash drawdown no capital cost no reduction in value from the standpoint you're not being pounded by holding costs or expenses so i'm going to turn it back to tyler we'll let brendan have a go at it i'll take a drink of water and i'll sit back and listen and thanks again tyler and brendan for allowing me to go first hey thanks chris thanks so much yeah so i'll turn over to you brandon you can uh okay your powerpoint slide there and get going waiting for the notification there you go buddy all right screen [Music] all right try can you confirm you see everything here yeah i can see it i can see it clear it's perfect all right awesome thank you all right guys uh thank you troy uh so there's some questions in there but we'll definitely get them all uh after we finish up here so my name is brendan walsh i work for rocket dollar uh we're located in austin texas um you know so just the story of oil and gas and mineral rights you know we have a lot of people in texas here and and investors elsewhere that are interested in it always asking me questions even as a financial advisor i get people trying to ask me questions about mineral rights and oil and gas not really understand it so that's why i really wanted to uh you know excited abo t the partnership and bring troy and the whole crew of eckerd in here uh so about myself uh you graduated from the university of wisconsin grew up in the midwest in chicago uh started got started as a financial advisor there and then educating people in 401k um and i decided to come down to austin texas to join our ceo henry yoshida because i really felt there was a growth of alternatives and opportunity in the side of the self-directed industry uh so what do we offer uh we offer three main products a traditional ira a roth and a solo k and a few others uh but the main point is we offer checkbook control uh and i'm to briefly go into what that is and what is a checkbook control self-directed ira versus a direct custody checkbook uh direct custody ira that allows you to invest in alternatives um so this is what's called the ira llc or checkbook control so a lot of uh you know alternatives lingo already coming at you but what really makes it different from a standard ira that you're used to is that it has an llc and a bank account in it and this structure ends up providing a lot more flexibility because for each one of our customers uh we create an llc and appoint them as the manager of it and then with a checkbook bank account they get full control over where they're sending their money so as long as you're following the irs rules the great part about this is that you don't have anyone else telling you what to do if you see something at eckerd and you're ready to move uh you can sign paperwork that day send a wire next day and start getting that investment uh and the great part is is that you know you're not limited to a certain asset class uh you know the irs only bars a few uh few assets like uh collectibles like baseball cards and insurance and some really uh you know weird tax situations but past that you know the sky is really the limit uh so a lot of our customers will come in to us with a really good specialty you know maybe they that they're not the biggest stocks and bonds investor that's not their favorite thing but they really understand something like mineral rights but they really want to work with their friends and partners like eckerd uh to get into an asset like that okay so checkbook control uh just some quick pro cons about you know us and i'll jump into direct custody uh you know which uh some customers at eckerd have been using for a long time already uh you know usually if it takes a little bit uh you know a little bit longer to set up for a checkbook ira but after it's done very easy to use uh you have a bank account you can send wires and transfers out to to manage any of your investments um you get you know the whole wide world of asset classes to invest in uh we have customers you know doing mineral rights uh someone invested in a play in houston hope that's you know closed up before covid but uh you know timber and portland uh we have farmers uh investing in farms and equipment renting that out and you know the sky is really the limit we have a lot of experts even beer brewers and distillers coming to us that they don't know stocks and bonds but or just investors that have been in stocks and bonds for a long time and really want to diversify out of the stock market especially with recent market chaos you get a lot more direct ownership of the asset as the manager of the llc so there's no custodian at rocket dollar as long as you're following the rules we we custody your llc but the custodian isn't constantly bugging you about which investments that you're picking if you've got something you love you're in it and there's no one really holding you back and pulling you back in a tight leash uh so again you don't have to wait for any times for a custodial approval so something like if a drilling is happening uh you know if someone really needs to sell their land quickly or real estate you do not have to wait for someone at rocket dollar to release that funds or approve that investment sometimes that two weeks or even a few days can be really brutal and lose you an investment opportunity um again everything allowed by the irs and with a bank account you know some people have to get used to a bank account their ira and what that really means but that bank account acts very similarly to a money market account in your stock trading account uh you could put that cash out and purchase an investment then once you sell that investment you can bring that back and redeploy that quickly to another asset it allows you to very quickly uh you know buy assets manage assets or you know even uh send money to improve them uh some just quick cons of checkbook control you know sometimes it has been more expensive to set up rocket dollar i'll get that a little bit we've really tried to bring that cost down sometimes lawyers were selling this for thousands of dollars we thought hey that's that's really unfair um and also you know it just takes a little bit of time a little bit of a learning curve to pick up but once you get used to this part of triple control we feel that uh majority of our investors really find it to be a great advantage okay and so this is direct custody and uh you know the the graph on the right side is obviously a lot simpler here but uh just like td ameritrade just like fidelity there are trust companies and alternative uh custody companies that will help you buy alternative assets like mineral rights uh you know sometimes they're easier set up for a first time alts investor someone learning how to use a self-ejected ira uh and sometimes the initial setup is less expensive for at least the first asset um and so you usually have to go through uh a deal review process and you have to get this reviewed by the custodian this is where that advantage of that checkbook control really comes in if you're working with a self-directed uh provider in oklahoma you know texas maybe pennsylvania they've probably seen mineral rights before uh you know they're very familiar their team will understand what you're talking about um you know but if you put an investment in front of an alternative uh trust custodian that they will actually take direct ownership of that asset and then send money out for you so they have kind of an invested interest to make sure they understand the asset they know what's going on and that they feel comfortable with you owning that asset on their books um so sometimes you know this can be really tough for a hard to value asset uh you know so there's you know eckerd here has the funds and opportunities that they're working on and they can value but if something strange comes in that you know is a very good idea but you maybe can't vocalize that probably bring together a ton of paperwork to really show and convince a team that's unfamiliar with it you may get that investment request denied and sometimes that's really frustrating for customers that have rolled money into a custodian they're all ready to go then all of a sudden they lose that investment opportunity or get barred from it because the custodian says no and with direct custody first investment usually not too bad at many providers but if you start racking up lots more investments into your uh direct custody ira without that llc and that bank account efficiency there sometimes custody partners can really uh explode the fees in there and sometimes you know with these weird assets uh alternative assets niche assets they could just say no we don't handle any of these in that assets and if it's it's no fault of yours it could just be a bad experience that custodian had uh with a certain uh customer or maybe a certain investment provider that really wasn't doing their due diligence um and so you know the checkbook control product was really our flagship product we launched first but uh rocket dollar will be launching new direct custody products you know in the fall here and we're already kind of demoing those and soft launching those for our customers so more to come and just one thing with the pricing we've really tried to make it a lot simpler here we have our entry level checkbook ira so the first one i went over our flagship product for 360 bucks then 15 bucks a month that kind of netflix style pricing no asset fees you can have as many investments as you want to really make that a lot simpler to understand and clear expectations of pricing and we just have a code here you know fifty dollars off with sign up just made one for ela or eckerd either one and uh you know these fees on the right here that's from some of our competitors directly from their fee sheets and this is why you know just a lot of customers have come to us just hey clearly present the fees let me understand what i'm getting in the beginning the middle and end of the investment um so now uh you know just go to questions and uh you know troy you can pop back on here i think we had some uh great questions on uh i will let them come in but one was on uh how do you actually acquire a mineral right because we know uh the new york stock exchange doesn't quite exist for mineral rights so how does one go and actually go buy and acquire mental rights on the market well what i think is very simple a lot of people think it's very difficult but when you're able to uh understand the exploration side of a business and you kind of are able to put the parts of the puzzle together it allows you to follow the leaders the experts the industry experts within the only gas industry to be able to know where they exxon marathon the majors have decided out of these millions of acres where they believe they should go spend 10 to 20 million to drill a single well so we use an integrated uh system of subscriptions based software uh 35 years of drilling and said all right we've got 25 drilling rigs in 10 different counties we then look at a number of things we look at uh the reserves that have been historically produced we look at the reserves that are being produced today we look at the extraction and quantity we look at all this really complex information we say we've got this wide open sunday morning on easter sunday eggs are all over the field but which egg's got the winning ticket in it and so what we've done is we've narrowed it down to very strict economic parameters and so the answer your question is it takes a lot of expertise to know which mineral is better than another and i think that's where our companies have a massive advantage over anybody else because we're now buying minerals from guys who are buying minerals two years ago who don't have a clue what they were doing they just were buying with the idea of flipping it and now they're stuck with minerals that don't make money they have no idea what they paid for it they have no idea how to get rid of it and we see a lot of investors who've invested in minerals who didn't find the right expert to give them that direction so yeah so yeah it's like anything it's like real estate brandon it's it's really it looks easy but you gotta find right right expert you gotta find a rocket dollar to help you with the right uh ira and the right checkbook account because everybody else says they can do it but they really don't it's massive you know um here so just looking at some of the other questions here and now if anyone has more feel free to pop them into the chat or the question and answer um yeah i saw quite a few on here myself tyler you want to ask him or you want me just to answer it as i see him up on the chat oh yeah so i'm put to you there um i know there's a couple about you know um how do you find yours where are they listed for sale at i know you you love that story about the uh the gas station well let me tell you i think everybody will get a kick at this literally um people post minerals for sale like on the truck stop on the bulletin board and go to the men's restaurant says you know i got three minerals for sale it's not hard to have now every one of you on this on this webinar has a house 90 chance you own the minnows underneath the ground so buying minerals is not hard you can buy them on craigslist truck stop i mean you know it's easy but reality is like the questions that are being asked on on the chat is all right how do i know the price is right how do i know that this green initiative isn't going to make hydrocarbons less favorable how do i know that the oil and gas company drilling the wells are not going to pull all my oil out and go sell it for ten dollars a barrel you know these are all really good questions but i'll try to capsulize the answer in one simple answer so the smartest oil companies on the planet or who are drilling in texas oklahoma north dakota pennsylvania louisiana in fact these companies that are so smart the majority of most other countries like saudi arabia have asked us to come develop their fields through concessions so what we know is two things there's not a single oil well that would be drilled in this country if it didn't have a chance to make a profit commensurate with the risk that's taken what you've seen in the last 90 days was a prime example and so everybody can be a little bit more familiar the only gas industry started having a major downturn in april of 2019. we went from 1200 active rigs down to 700 drilling rates that's a 40 implosion in less than 12 months so all cova did was took a boxing competitor that was already on the ropes and gave it the punch and knocked them to their knees it's a good thing by the way it takes all the riff raft the sloppy managers the poor run companies the over in debt companies it removes them now what happens is as a mineral owner now i have the most proficient economically professional companies like exxon marathon the people that we buy minerals under we don't buy minerals under joe will the oil company we buy them under majors because here's the deal when it came time to curtailing production and cutting back on what they produced to allow the lower demand because of cobin 19 to be absorbed guess who's the one who cut back the majors continental resource put in all their production north dakota said i'm not selling my oil for 20 a barrel i shut my wells in i got plenty of cash and equity who are the ones that were crying who went to the state of texas and said we gotta make everybody shut in so we can play fairly there's all the broke over-debted companies that shouldn't be in the business so to answer your questions is first off the green initiative's a joke and let me tell you why i hope i don't offend anybody i probably do but here's why it's a joke the reality is when oil prices get down into that 55 range like it was last year when solar and the other alternative energies are no longer economical if they were not subsidized with billions of dollars from the federal government not one single little bitty source of energy would ever come from a windmill again the reality is that when you have cheap oil prices it destroys the economics of all other types of alternative energy so the green initiative only works if every single person turning on their car electricity at home says i'm willing to pay three times the price i'm paying today just so i can have a green initiative that's not an issue the second thing is oil and gas companies have become so proficient what they're doing they have this carbon exchange they're completing bigger wells one thing to keep in mind it used to take on average maybe 25 to 50 oil wells people what one horizontal well produces today so we got rid of nine wells nine locations nine tank batteries nine pipes nine everything so now it's one well equals 10 wells worth of former exploration explosion so it's very environmental friendly compared to what it was 10 years ago so oil is in favor it's the cheapest lowest source of energy across the planet the whole globe burns all every day and most importantly is if i is the mineral buyer and owner if i just give myself kind of like buying bonds i only buy triple a insured bonds i never want to lose my money but i'm going to buy minerals under exxon marathon continental chevron i'm not buying under joe willie oil so i should answer all three of those questions to a certain degree but i'm more than willing to have you email me later on and ask me any question you want i have a wealth of information i sleep four ours a night and all i think about is making money off oil and gas and energy so i pretty much as a name insomniac so i can't see the other questions tyler and brandon if there was more that's the only ones i saw yeah yeah that was my fault i yeah there's a i mean you kind of see you kind of cover this a little bit but when someone the difference between real estate when it comes to uh fighting you know raw land or land and uh does it include the mineral rights does it not include the mineral rights uh well for those look the the ira the self-directed ira uh organizations out there have done a fantastic job getting people to put lazy underutilized money that's in their retirement camp to work and brendan's company is one that's made it super easy it's your check your control rocket dollar says we are going to give you that control so it's really really good i think the biggest issue is tyler is that with um with oil and gas mineral rights it is like real estate except for one main thing um you can have millions of acres it's like going into you know downtown austin saying you know i got a drone i flew over the city i see all this raw land well i should easily be able to go develop that raw lot in between those two buildings when you get on the ground it's got a big creek in it can't be developed it's bad right so the idea is is that you're not trying to be the smartest guy in the room you're trying to be a partner with the smartest guy in the room i want to be a landlord underneath you know neiman marcus bad example i know they found bankruptcy but i'm just saying you know a traditional big name right i want to be a landlord underneath exxon's wells so you you essentially approach it like real estate are you more speculative where you want to buy land where you think the new highway is going to go or do you want to go get right in between home depot and lowe's and take that piece of land and pay a higher price knowing there's no chance of the value going down we are a value driven mineral buyer which means i'm not looking to be a speculator i'm not guessing where they're going to go i am literally going underneath minerals and i'm going to give you this example so it helps brendan and his audience we will look under the records and we'll find where there are actual sections of producing property and through the courthouse and through our team we will notify all the middle owners that are of record just like real estate records and we'll contact nancy smith who lives in seattle washington who got an inheritance of mental rights in oklahoma 20 years ago and she has no clue grandpa smith gave her minerals and we'll call her and say we understand you on minerals in oklahoma at this section would you like to sell your mental rights i didn't even know i owned them well you do would you like to sell them i don't have a clue what are they worth we think they're worth eight thousand dollars an acre we can send you a check for forty thousand dollars we've already won title and you'll have a check in your hand in 30 days oh my gosh forty thousand i'd love to have that right you think it's unheard of it's not i've been in the business for 35 years i got a call 10 years ago a group in colorado said mr eckert you own minerals in the ground i said i do i felt as dumb as some of the people i called because i had no clue i don't so many minerals and effectively it's just because people lose sight of their assets it's like finding a raw lot in the middle of downtown austin it's got weeds on it brendan you drive by it every day go what's wrong with that lot and nobody else's call because they assume it's some smart real estate developer you finally call and go i know that was my uncle's property i live in seattle he died i'd like to get rid of it hell i don't know how to do it i'll give you an offer and also you just brought yourself one heck of a piece of real estate for 75 percent of the value or 25 percent of the value 75 off yeah we are working through the known information to identify the right minerals with the right value and we're finding those off the radar asset opportunities it's just because 35 years we've been doing this yeah and and try so i live with uh i live with two geologists and just hearing about how ancient the records processes and mineral rights it seems shocking in 2020 but compared to uh many alternatives that have a lot less sophisticated um markets and records are way ahead of mineral rights just because of the old school things are in dusty courthouses down in file cabinets um as you're saying grandma doesn't even know she owns anything and that's why i really thought you know obviously oil and gas people could try and figure it out but turning to experts to help navigate that market uh because you know how are you going to find something in a dusty courthouse or of oklahoma or texas without some maybe extra expertise or some knowledge so lots of uh really cool ways to drive value into an old system yeah and i think you hit it right on top of the head brandon on one hand the oil companies do not want to have knowledgeable or sophisticated manual owners because they can negotiate a really cheap lease and they can give a really low royalty i'm going to give you a 10 royalty when the market's really 25 that could be millions of dollars in differences right so there's a few companies out there online that are trying to promote minerals but when you really look at their website what they're really doing is they're trying to trick mineral owners to think they're going to give them great advice so they get maximum dollars no they're not they're just trying to they're creating a fly traffic when everybody else gets stuck and sells the minerals cheap right so one of the things that that your your audience is looking at our audience is looking at from an investment standpoint is is there a a reliable fair transparent way in which you can do mineral acquisitions one of the ways that we do we have a small private high net worth group of clients about 300 investors something with me for 20 years the way we do it is i literally will use my team geology seismic everybody all the components land legal i actually go out and find the minerals that i want and i buy and pay for them when my investors decide to invest they're actually buying minerals i've already owned and paid for so i'm still confident i've bought them and the idea there is is that it's hard to find somebody with with my level of expertise i'm willing to educate him you don't ever have to invest me at all you don't ever have to write a check to my company you say i just want to learn about we have so many videos and educational uh platforms out there to teach you and train you and show you what's going on not only as a mineral owner but as a mental investor because here's why the smarter you are the more educated you are the more serious you'll take minerals as a possible alternative investment then you can decide is it my regular income is it my retirement account do i want to check bank account with rocket dollar how do i want to do it we are all about making you smarter so you can navigate a very good investment sector but do it with really good people like rocket dollar with eckerd or whoever else you may choose it's about making you a smarter investor that's why we do this stuff that we do okay yeah i'm really happy that uh you know you tuned in for the education here today uh so yeah by the way closing closing comments and then we'll probably i think wrap it up yeah well i wanted to uh share one slide real quick with uh hopefully you don't hate me brennan's hearing your extension here but just who you can follow up with at rocket dollar uh there's brenda's contact information david days our business development manager um and you know after after the webinar concludes we'll be sending this out to the reported version but please reach out you know if you have any questions when it comes to oil and gas about eckerd um you know rocket dollar anything about the checkbook control i know i'd definitely like to have a conversation with you brandon offline with the the direct custody and kind of hear more about that roll out um definitely sounds pretty interesting when it comes to that um you guys appreciate it yeah thank you everyone definitely you guys have a great day thank you take care