In part one of this two-part blog series, we went over some basics on how to spot and avoid potential oil investment scams. Sadly, like many other industries where high-value investments are often made, there are unscrupulous individuals or even companies who will attempt to bilk or outright scam investors in several ways in the oil industry.
At Legacy Exploration LLC, we’re here to provide numerous reputable oil investment and related services, from assistance for accredited investors to oil and gas terminology and much more – including ensuring that you never run into scams or related malpractice at any point in your investing experience. Today’s part two of our series will dig into the warning signs that often indicate an oil investment scam, plus a basic checklist we’ll help you work through to ensure there are no such risks afoot.
Whether via unsolicited calls, spam emails, internet message boards, or any other kind of sales pitch from a prospective investment opportunity, keep an eye out for certain kinds of claims being made. These claims include:
These and related sales pitches are so common among scammers that individual state securities regulators regularly advise potential investors to look out for them. If you hear any of these phrases, at an absolute minimum you should be following up on them with detailed questions, and you should be on alert for other signs of a scam.
Here are some other basic items we recommend to clients for avoiding oil investment scams:
For more on how to avoid oil investment scam risks, or to learn about any of our upstream oil and gas company investment opportunities, speak to the staff at Legacy Exploration LLC today.