How are properties chosen for inclusion in a Mineral Vault offering?
1 minute read- Recently updated on May 14th, 2024
Property Selection
The properties selected by Mineral Vault for inclusion in each SPV (prior to offering and issuance of tokens to investors) are selected in such a way that:
There is healthy cash flow already coming from development efforts on the properties
There is ample additional acreage around the existing wells where new wells could be drilled in the future, giving future upside
They are extremely diversified in terms of geographic location, well operator(s), well type, and natural resources being produced
They are largely mineral & royalty interests, not working interests, which ensures they are not cost-bearing to the SPV and token holders
These factors are intended to keep investment income healthy for the duration of the token’s 15-year term while also mitigating property centralization risk as much as possible. Take a look at our latest token offering for more information about properties included as well as target performance metrics.