Enclosure Energy

Investing with Enclosure Energy has been a great experience. One of the things that stands out from the beginning is how well the team explains both the investment and the oil and gas space as a whole. They do a great job of taking something that can feel complicated and making it straightforward and easy to understand. Communication has also been excellent. The team is responsive, transparent, and easy to get ahold of when questions come up. From the investment and onboarding process to ongoing updates on the fund and the underlying wells, investors are kept informed and have access to the people actually managing the investment. Overall, Enclosure Energy has been very impressive in the way they operate. The team has built a high level of trust through their transparency, communication, and approach to investor relationships. It’s exciting to see the fund continue to grow and to be invested alongside them.

I'm a big fan of Colin and Enclosure. I'm a wealth manager and by the nature of my business, have to review and source a number of investments like this. What impressed me about Enclosure is Colin's experience within the oil and gas sector, the risk management and approach by which they construct their portfolio and most importantly, the results. If I ever have a question, they're incredibly responsive and they communicate at least quarterly with updates to the portfolio. I would move Enclosure to the top of anyone's list to review, regardless if they are seeking energy exposure and the tax benefits that come with the investment since the underlying returns warrant a close look.

When I retired 5 years ago, I needed a basis for a Company, tax shield, a way to write off medical expenses and 401k savings. I settled on non op oil and gas which worked great, but I quickly found finding and administering properties to be a lot. Enter the Enclosure Energy funds. Suddenly I had access to a diverse propriety network of hand picked properties providing all the tax shield and return I needed with none of the burdens. In addition to an efficient, well managed fund with excellent management, I also found a great community of like minded investors all solving similar issues.

As someone who has invested in over 10+ deals across multiple asset classes, I am continually looking for strong operators especially in the O&G space. I’m very grateful to have discovered Enclosure Energy for the following reasons: -Reinvesting 30-50% of the fund’s free cash flows to buy more non-operating working interests to help offset the inherent decline curve. This strategy significantly improves the chance of both return of capital (huge issue in most O&G funds) and a strong MOIC/equity multiple. -A below market one-time management fee means more capital is deployed into cash flowing assets rather than admin -Distributions from O&G production start within a 90-120 days of the fund closing at year-end (already received ~4%) -Diversification of high grade non-operating working interests across numerous operators, wells, and shale basins. (Avg per fund = 4-8 operators / 50-70 wells / 4-5 USA basins) -Focused solely in proven undeveloped locations which lowers dry hole risk -Above average co-investment from GP/Advisory team + favorable LP/GP split which bolsters long term alignment. -Institutional private equity experience that brings expertise and competence to a very complex industry. -Excellent performance and track record thus far on their first two funds (fund 1 & 2)