Forty years of proven oil. One new well. A write-off you can plan around.
The Bonanza Prospect isn't a bet on a hole in the ground. It's a development well on acreage that has produced over 600,000 barrels across four decades, structured so most of your capital can come off this year's taxable income.
What you'll learn
Why Bonanza isn't a wildcat
Then
How the 2025 tax law changes the math
Finally
What direct participation looks like
Fox Energy gives accredited investors direct working interest in a producing Kansas field, not a fund, not a stock. You own a piece of the well, you receive production revenue monthly, and under current law the drilling costs can be deducted against your active income in the year they're spent.
40+
years of documented production
240K+
barrels produced by the operator
100%
of intangible drilling costs deductible in year one
600K+
barrels produced on the acreage
01 · The problem
Most oil and gas pitches ask you to fund a guess. A lease nobody has drilled, a formation nobody has produced, and a promoter who gets paid whether the well does or not.
That's exploration. It's where the horror stories come from, and it's why most accredited investors never touch the asset class, even while the tax code is practically begging them to.
02 · The answer
Development, not exploration. Bonanza is a new well on acreage that has produced for forty years.
The tax math is the point
Congress wants domestic wells drilled. The 2025 tax law made the incentives for doing it bigger and permanent. Here is what that means for a direct participant.
Intangible drilling costs
100%
deductible against active income, year one
Labor, fluids, rig time, and everything else with no salvage value, typically 70 to 85 percent of a well's cost, comes off your ordinary income the year it's spent.
Tangible equipment
100%
bonus depreciation, restored and made permanent
The One Big Beautiful Bill Act brought full expensing back for qualifying equipment placed in service after January 19, 2025. Casing, pumps and tanks no longer trickle out over seven years.
Production income
15%
of gross revenue sheltered by the depletion allowance
Once the well produces, a slice of every monthly check is excluded from federal income tax for the life of the well.
Why we call it an offset
Put $100,000 into a well this year and, under current rules, most of it can be deducted from this year's income before a single barrel is sold. The production is the upside. The deduction is the floor.
Illustrative only. Deductions depend on the share of costs classified as intangible versus tangible, your tax bracket, and your individual situation. Fox Energy does not provide tax advice. Consult your CPA before investing.
The Bonanza Prospect
A vertical development well in Scott County, Kansas, drilled into a formation that has produced more than 600,000 barrels since before most of today's investors had a 401(k).
- Location
- Scott County, KS
- Formation
- Morrow Sand
- Total depth
- 4,700 ft vertical
- Acreage
- 320 acres
What a participant gets
Monthly production checks
Direct working interest means revenue flows to you from the first sale, not to a fund manager first.
A year-one deduction you can plan around
IDCs and full equipment expensing hit the same tax year you invest. Timing is in your hands.
A hard asset that likes inflation
Oil has historically outrun inflation. A barrel in the ground isn't a line on a brokerage statement.
Full transparency, before and after
Geological reports and projections up front. Operations reports and production data every month after.
From quiz to first check
Four stages. Each one ends with something in your hands, and you can stop at any of them.
Take the quiz
Eight questions on your status, goals and timeline so we don't waste your time or ours.
Discovery call
A conversation with the Fox Energy team about the prospect, your tax picture and your questions.
Review and fund
Geology, financial model and operator history in your hands. Run it past your CPA. Then subscription documents.
Drill, produce, distribute
Monthly operations reports through drilling. Monthly distributions once oil is sold. Annual K-1 for your return.
06 · Who's behind it
An operator who has already done this in Kansas.
Jason Gilbert founded Fox Energy after 25 years in private equity and after overseeing the Lippelmann Prospect, a Kansas lease that has produced more than half a million barrels in five years. Bonanza is the same playbook: proven ground, aligned capital, no hidden fees.
“If it wouldn't make sense with my own capital, it doesn't move forward.”
Two minutes tells you whether this belongs in your 2026 tax plan.
No pitch, no pressure. If Bonanza isn't a fit, the quiz will say so.
Take the Quiz