Track Record & Performance Highlights
What first-year tax deductions can your investors expect?
Shalehaven delivered a 90.7% deduction for the 2024 Fund. The 2025 Fund is currently projected to exceed a 90% deduction, maintaining our commitment to maximizing the immediate tax benefits for our partners. We anticipate being able to provide a 90%+ first-year tax deduction in 2026+.
What is Shalehaven's cash distribution history and historical returns?
The 2024 Fund delivered a 42% annualized Q4 cash distribution, resulting in a full-year 40% annualized cash return for investors. The 2025 Fund is on track for its first distribution by the end of March 2026 and is projected to deliver over 30% cash-on-cash distributions in its first year.
How much capacity remains for new investors in the 2026 Fund?
Due to an unprecedented 76% reinvestment rate from 2024 to 2025, we expect the 2026 Fund to hit its hard cap much earlier than the end of the year. Unlike many "AUM-focused" managers who raise as much capital as possible to maximize fee income, Shalehaven strictly adheres to a disciplined deployment model.
How does Shalehaven’s reinvestment rate compare to the broader industry?
Shalehaven’s 76% reinvestment rate is significantly higher than industry averages for retail-focused and even many institutional energy funds. Our high retention is a direct reflection of our ability to deliver on targeted tax benefits and cash distributions.
How many wells is Shalehaven currently invested in?
About 90 as of March 2026. The 2024 Fund consists of 9 wells across 3 basins and 3 operators, all of which are currently producing. The 2025 Fund was finalized with 68 wells across 7 basins and 10 operators.
Asset Selection & The Diligence "Funnel"
How selective is Shalehaven compared to other funds?
While many retail funds acquire a high percentage of deals to fill their capital buckets and provide a tax benefit, Shalehaven operates with institutional-grade scrutiny. In 2025, our team reviewed $4.36 billion in gross opportunities.
Why is direct asset selection better than a 'Fund of Funds' approach?
A Fund of Funds manager simply aggregates capital and places it with other managers, adding an extra layer of fees and losing control over the underlying assets. As a direct asset manager, Shalehaven underwrites every single well at the ground level.
General Energy Investment & Strategy
Why invest in oil and gas?
Investing in domestic energy offers significant tax advantages and the potential for above-market returns while supporting national energy independence. The industry is supported by a century-old tax code and is essential for global energy stability.
What is a 'non-operated' interest and what are the risks?
A non-operated working interest means the fund owns a portion of a project but does not control daily drilling operations.
Why are non-operated investments attractive?
They allow an investor to participate in the upside of oil and gas development without the day-to-day management and high overhead costs.
What does 'proven' mean in the context of oil and gas?
"Proven" generally refers to PUD and P1/P2 Reserve classifications as defined by the Society of Petroleum Engineers.
What are the differences between exploration and proven funds?
Exploration funds have a higher risk/reward profile, as they seek to turn cheaper acreage into proven status; however, an investment could go to zero if no economic hydrocarbons are found.
What operators and basins does Shalehaven work with?
We invest alongside prominent companies such as Chevron, Devon, EOG, Hunt, ConocoPhillips, Admiral Permian, and Aethon.
Comparative Due Diligence: The Shalehaven Edge
How does Shalehaven’s leadership compare to other retail-focused funds?
Most retail oil and gas funds are led by sales-heavy teams. Shalehaven is led by a Chief Investment Officer (CFA) with extensive experience, a Professional Engineer (PE), and a Chief Legal Officer certified in Oil, Gas, and Mineral Law.
How does Shalehaven avoid hidden 'Acquisition' and 'Affiliate' fees?
Many fund managers charge 'acquisition fees' just to purchase an asset. Shalehaven acquires all assets at cost and does not charge acquisition fees, markups, or "cost-plus" margins.
Does Shalehaven use debt or issue capital calls?
Shalehaven’s annual funds do not use leverage or debt. Additionally, our funds do not have the ability to issue capital calls, ensuring your liability is capped at your initial investment.
What is the "Activity Trap" vs. "Productivity Alignment"?
"Turnkey Operators" often profit on drilling activity margins even if a well results in a dry hole. Because Shalehaven is a Non-Operator, we only profit on the actual productivity of the wells.
Tax Benefits & IRS Provisions
What are the primary tax benefits of a Shalehaven investment?
A significant benefit is the deduction of Intangible Drilling Costs (IDCs) in the year they are incurred. The tax code allows for 100% of these costs to be deducted in the year they are incurred.
Can I use oil and gas deductions to offset my active (W-2) income?
Yes. A working interest in an oil or gas well is specifically excluded from the passive activity loss rules, allowing investors to use the deductions to offset active income.
What is a GP/LP Flip structure and why is it used?
Investors initially enter as General Partners (GPs) to qualify for the non-passive tax exception required to offset active income. Once the fund's capital is fully deployed, investors convert to Limited Partners (LPs) to reduce liability.
Technical Underwriting & Risk Mitigation
How does Shalehaven use hedging to protect my investment?
We implement opportunistic hedging programs to lock in prices once production thresholds are achieved.
What is the strategy for regional "Price Differentials"?
We track realized prices basin-by-basin to optimize offtake and transportation for better-realized returns.
How front-loaded are the returns?
A typical horizontal well generates approximately one-third of its total lifetime cash flow in the first two years.