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Investors in Reef Oil & Gas Income Funds May Be Able to Recover Losses

Investors in Reef Oil & Gas Income Funds May Be Able to Recover Losses 150 150 Rex Securities Law

According to filings made with the Securities & Exchange Commission investors in the most recent Reef Oil & Gas Income & Development Funds have not fared well. Cumulative distributions on invested capital ranges from just 5% to 31% on Funds I-IV and the 2010-A Fund.

As reported in Amendment #5 to the Form S-1 Registration Statement for Reef Oil and Gas Drilling and Income Fund, L.P. , filed July 12, 2013, as of December 31, 2012, the cumulative distributions  investors have received in the various Reef Funds are not spectacular when compared to the capital invested.

Fund                  Investor Capital          Distributions          %

Reef O&G        $22 million                      $6.7million            31%

Reef  O&G II   $20 million                       $3.2 million         16%

Reef O&G III   $88.8 million                   $4.2  million        5%

Reef O&G IV    $11 million                      $2.4 million        21%

Reef 2010-A    $4 million                          $.5 million         12%

Since the product being sold (oil and gas)  is a depleting asset, there is less to sell with each passing day and these returns suggest that investors may have to wait a very long time to recover their invested capital or worse yet, investors may never recover their initial investment.

Investments like this are risky and brokers have a duty not to make investment recommendations that are not suitable, taking into account the age, health, prior investment experience of the investor and ability of the investor to sustain loss.

If you believe you that your investment in the Reef Oil & Gas Income and Development Funds was unsuitable for you, call to discuss options for recovery of damages through FINRA arbitration.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.

Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

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Rex Securities Law

TollFree: 877-224-3199

Florida-561 391 1900 

Texas-512-329-2870

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