Since 1983, the Energy Exchange has served the financial and energy industries, providing the connection between financial sources and quality energy investments. The Energy Exchange has established a bridge between the petroleum industry and the financial community and has enabled many financial professionals to provide their clients with rewarding energy investment portfolios. The Exchange been responsible for hundreds of millions of dollars in energy transactions. The Energy Exchange takes the guesswork out of deciding which of all the available energy investments are suitable for a client’s needs. The Exchange coordinates the activities of two nationwide networks of professionals — the Technical Network and the Financial Network. The Technical Network consists of degreed technical professionals (geologists, petroleum engineers, geophysicists, etc.) and the Financial Network is made up of financial professionals (CPAs, Broker Dealers, Investment Bankers, etc.) who connect the owners of the listed projects with funding sources. The members of both networks work together to find the best possible energy project for the investor client. The Energy Exchange was established to serve the energy industry in much the same way that real estate’s Multiple Listing Service (MLS) connects home buyers with home sellers. The Houston office is the “hub” of the network and coordinates the activities of the professional affiliates around the world. The Exchange has hundreds of technical reports on file describing producing properties and drilling prospects available for acquisition. Energy companies wanting to sell assets or finance drilling projects may list them with the Exchange for a nominal fee. The Exchange also maintains the acquisition criteria of hundreds of financial sources in its computer database. The Exchange matches buyers and sellers, always protecting the identity of all parties until a project description matches a purchaser’s criteria. Access to the technical reports and funding sources are available only to members of the Exchange.
The Technical Network
The Energy Exchange Technical Network is a professional association of petroleum engineers, geologists, geophysisists, and petroleum landmen. These technical professionals, because of their close association with oil and gas drillers and operators, are in a position to become aware of outstanding oil and gas projects. These technical professionals then submit the projects to the Exchange for posting on the Internet Website (www.enex.com). When funds are found by members of the Exchange, these technical members earn a listing fee, very similar to the way a Realtor earns a listing fee when a home that he has listed, sells through the Real Estate industry’s Multiple Listing Service. The members of the technical network also earn fees by using their expertise to evaluate projects listed on the Exchange. These technical members determine a project’s probability of success and its potential to produce sufficient quantities of oil and/or gas to make it an outstanding investment for the clients of the Energy Exchange’s Financial Network. As professionals, only projects of the highest quality receive their endorsement. When an investor earns a high rate of return on a project, he will return again and again to use the services of that same technical professional.
The Financial Network
The Energy Exchange Financial Network is a nationwide association of financial professionals, including CPAs, financial professionals, investment bankers, broker dealers and energy financial consultants. Members of this network have access to the projects listed on the Exchange and offer their expertise from a financial or tax viewpoint. After determining the investment criteria and suitability of their clients, members of the Financial Network can offer the best possible energy projects to satisfy their client’s portfolios. Only projects with the highest ratings (low risk, high potential return, favorable tax advantages) are recommended by the Technical Network to the Financial Network.