EB5 Energy: 8 oil wells projected to create 309 jobs for U.S. workers
In the U.S. EB-5 immigrant investor program, the job creation requirement is a critical criterion. According to USCIS, each investor must meet the requirement of creating at least 10 qualifying jobs.
What is the EB5 Energy project?
EB5 Energy Fund I is an EB-5 investment fund for oil and gas drilling and production activities in Major County, Oklahoma, USA, within the Anadarko Basin. The current phase focuses on eight horizontal oil and gas wells in the Mississippi Lime geological formation, on approximately 1,280 acres that the project claims to hold. Investors contribute capital to the fund, which controls the entity that owns and operates the project; this is indirect ownership through fund equity, not direct ownership of an individual oil well.
Key highlights for investors to consider
- EB-5 rural designation: The project claims to qualify as rural, falling into the group reserved for 20% of annual EB-5 visas and receiving priority processing according to regulations, though no guaranteed approval timeline exists.
- I-956F project petition approval: The fund announced a decision dated September 3, 2024; this is a project approval, not an approval of any individual investor's application.
- Proven geological base: The target area has a history of oil and gas extraction, providing investors with neighboring well data for due diligence; however, future production output remains uncertain.
- Rights tied to fund equity: Unlike a loan structure for a project developer, EB5 Energy investors hold equity in the fund that controls the operating entity. According to the fund, the projected repayment plan is based on production cash flow and does not rely primarily on selling or refinancing the project; repayment time and returns are not guaranteed.
- Infrastructure and implementation: The fund claims to have mineral rights for the first eight wells, locations near pipeline connections, and private capital participating in the funding; documentation, actual progress, and cost obligations must be verified.
- Job buffer based on economic model: The eight wells are projected to create 309 qualifying jobs, compared to the requirement of 250 for 25 investors, creating a projected buffer of approximately 24%. This is an economic modeling result, dependent on actual implementation.
For investors, the distinction worth exploring is the combination of an oil and gas business project with physical assets and specific mining operations, the fund equity ownership structure, and the EB-5 job creation plan derived from drilling costs and production revenue. However, it is necessary to perform due diligence on the offering memorandum, capital sources, oil price risks, well progress, and each individual's immigration status before making a decision.
Jobs are not limited to direct employees
For an EB-5 project through a Regional Center, jobs can include direct and indirect employment identified through an appropriate economic methodology. Oil and gas drilling and production activities can generate demand for labor, equipment, transportation, and technical services.
How many jobs does EB5 Energy expect to create?
According to data provided by EB5 Energy for the first phase of eight oil wells, the project is expected to serve 25 investors, corresponding to a requirement of 250 jobs. The fund's economic impact study forecasts 309 jobs, which is 59 jobs above the requirement, equivalent to approximately 24%.
The figure of 309 is a forecast from an economic model, not the number of staff actually hired.
Where are jobs calculated from?
The fund describes two main groups of economic impact: costs for drilling and completing oil wells; and operations related to the extraction and sale of oil and gas. The assumed oil price used in the economic study does not imply a guaranteed selling price or revenue.
What should investors evaluate?
Investors should request updated economic and legal documentation, verify the job calculation methodology, implementation progress, capital structure, costs, and operational risks. Information regarding the project's I-956F approval should be verified with official documents. Project approval does not mean that an individual investor's I-526E petition is automatically approved or granted a green card; the investment still carries the risk of loss of capital.
Related products
- EB-5 Energy – Oil and Gas Investment Project in the U.S.
- EB-5 Immigrant Investor Program – U.S. Immigration through Investment
- U.S. Immigration Consultation with Immigration Attorneys
Contact for EB-5 oil and gas project consultation: (+1) 647-993-9654 (WhatsApp, Zalo).