Advantages of a U.S. Asset Trust
Argent Energy Trust operates as a foreign asset trust with properties held in the U.S. therefore the Trust is not subject to the same taxation rules applicable to a Canadian SIFT trust. This structure enjoys an advantage over taxable Canadian products.
Southern U.S. assets typically enjoy higher realized prices for oil and natural gas while benefiting from lower overall costs in transportation, pipeline, labour, drilling and oilfield costs as well as no extra winter costs.
The Trust is strongly focused on long-lived, predictable, productive assets and is driven by the development and exploitation of low risk opportunities to further increase net asset value.