BigStockWe have seen oil prices go up and down, up and down over the 100 years my family has been in the oil business. Let’s discuss some current market factors impacting economic performance of oil and gas investments:1) Supply & DemandWhen it comes to natural resources, oil remains one of the most hunted assets on the planet. Prior to the COVID-19 pandemic, in February, oil production in the United States was approximately thirteen million barrels per day. b) Deductions for intangible drilling costs (IDCs):All intangible drilling costs, including labor, are deductible when incurred. Because of lower oil prices, excellent opportunities exist right now for an investor to buy low and sell high once oil and gas commodity prices recover from increased demand.

Source: Forbes September 11, 2020 16:41 UTC