Navigating Rough Waters
Recent advances in analytics now make it possible to characterize this risk and more accurately structure finance vehicles for oil and gas projects.
Our proprietary PA Hybrid-Risk™ models and uniquely structured financial instruments protect investors by minimizing downside risk and maximizing return on capital, regardless of commodity price fluctuations and actual production decline.
This technology is currently being used to qualify and price insurance for production-based oil and gas loans. PetroAlpha Energy Principal Protected Return Fund I, LP, has been created to take advantage of this unique knowledge for the exclusive benefit of our investors.
Strategy & Operation
Using the proprietary PA Hybrid Risk TM model, the Fund’s capital investments are protected by an insurance policy from an A to AA rated global re-insurer for the reserved-backed lending product. At the same time, investments participate in the potential upside in production and forecasted price escalation.