WELDER'S CONTRARIAN APPROACH
"We've found that when drilling is all the rage, acquisitions typically are not and just the opposite. What we usually find most attractive is not what the others in the industry are doing, but what they're not."
-John W. Nichols, Founder of Devon Energy Corp.
"Some Beeville natives, however, refuse to believe the decline here is permanent. Over the years, 'people have called for the death of the oil and gas business in South Texas,' said Raymond Welder, President of San Antonio-based Welder Exploration and Production Inc. 'But it keeps coming back.'"
Womack, J. (2009, Oct. 17-18). The Wall Street Journal, pp. A6
Welder recognizes that the oil and gas industry is dynamic and therefore the individual steps required for critical evaluation of any opportunity are, and should be, mutable. However, Welder understands that accurate assessments regarding the current financial landscape of the energy sector are critical to successfully managing risk, creating value, and making a profit.
Welder believes that financial success in the current energy climate is best achieved by:
- Acquiring producing properties through negotiated transactions using propriety sourcing opportunities.
- Improving and Exploiting producing properties in geological provinces well-known to Welder by placing high emphasis on operational cost controls, introducing production enhancement techniques and technologies, and implementing targeted capital development programs to further enhance field value and increase property cash flow.
- Extending, Deepening, and otherwise Further Developing acquisition properties while preserving and protecting capital investments through joint-ventures, farmouts, and general prospect marketing.