Oil and Gas is one of the most scare resources in our world today. Those who control the present sources of oil and gas wield considerable economic and political clout in the world. That is why the search for newer sources of oil and gas is being carried out throughout the world. And that has given rise to the need for oil and gas finance.
The larger sources of natural resources like oil are located very deep inside the earth’s crust, and not all sources are economically viable to extract and use. That is why oil and gas companies spend a lot of time in prospecting for the right sources which can provide long term source of fuel and energy. There could be several hits and misses while looking for good sources. Second, after a good vein has been located, there is a huge amount of cost involved in extracting oil and gas. That is why it is not easy for every company to put in the kind of money, time, and effort that is needed for a sustainable source of natural resources.
This has made it important for such companies to look for good sources of oil and gas equity. One of the biggest names in this kind of financing is Kapok Capital. They have been involved in financing such projects for more than a decade. They have a rich network of long term investors who are keen to get associated with viable projects. These projects could be for completely new exploration sites, or extension of existing sites, or projects which seek renewable energy finance.Interested high net worth investors can enter the projects of their choice through their home offices or family funds. This is possible through both the debt route (where the investor lends the required amount and takes it back with interest) as well as the equity route (where the money is not returned but the investor becomes part owner of the project). The reason Kapok Capital has been so successful in raising infrastructure equity funds, as well as debt funds for their clients is that they have a very dependable network of investors. This has helped Kapok to play an important role in a number of oil and gas projects. Apart from their fundraising activities, they also provide consultation and due diligence for mergers and acquisitions. They also provide regulatory compliance services to their clients.
