Kansas Oil Income I: A structured investment product designed by Deter & Rasche Investment Consulting and issued by Chartered Opus enables investments in environmentally friendly oil and gas production technologies.
A joint project between Deter & Rasche Investmentberatung, Baader Bank AG, and Chartered Opus allows institutional investors to invest in bonds that are used to finance environmentally friendly extraction technologies on oil and gas fields in Kansas.
The bond was issued on December 17, 2021, with a volume of up to US-$15 million and a maturity of five years. It is being distributed by Deter & Rasche in the form of a private placement.
Demand for crude oil and natural gas from secure sources has risen dramatically worldwide, not only since the Russian attack on Ukraine. Production in the USA, for example in the fields in the east of Kansas, is benefiting in particular. Fossil resources have been extracted for almost one hundred years, more recently also with the help of fracking techniques.
Now, environmentally friendly methods offered by leading specialist Somerset Energy Enterprises are scheduled to be applied to a large number of wells to improve source exploitation and to increase production volumes. In contrast to frequently criticized water injection, Somerset uses nitrogen as a medium, currently the most environmentally friendly fracking technology according to experts.
The method has already been successfully tested on a number of wells. In these trials, the specifications are created and carefully applied on the basis of valid data of the geological formations and the history of production volumes. Experience shows that investments in this form of oil and gas production have generated significant returns in a short time.
Thanks to the bond issued in December 2021, institutional investors are now able to benefit from the application of the environmentally friendly method at wells in eastern Kansas.