Revo Oil & Gas Growth Fund 2026 LP (In partnership with G2 TX-26 Energy Fund)

We started investing in oil and gas three years ago because our clients needed bigger deductions, and we kept watching deals deliver the write-off but never pay back the investment. This conversation covers what we changed.

On this week's episode we welcome Cotton Graham, founder and president of G2 Petroleum and Newport Operating, and Joe Stroffolino of G2 Petroleum to walk through the Revo Oil & Gas Growth Fund 2026 LP, our fund of funds investing alongside the G2 TX-26 Energy Fund in North Texas.

What We Cover in This Episode

• $200,000 of stock vs. $200,000 in a well.

• How $100,000 becomes a $91,000 deduction. Of every $100,000 invested, roughly $70,000 to $75,000 pays for the drilling itself: the crews, the fuel and the rig time. That's deductible in year one. When G2 buys a well that's already pumping, part of the price also covers the pump jacks, tanks and pipe already on site, and that equipment can be written off in year one too. Together, that's how the fund targets about $91,000 in deductions on $100,000.

• Old wells still hold oil nobody bothered to pump. Picture a well drilled decades ago. In its first 2,000 feet it passed through 7 to 10 layers of rock that hold oil, but the original operator pumped the best one and moved on. The big companies wanted 50 to 100 barrels a day from a well. With its own rigs and low costs, G2 can go back in, open the layers that were skipped and make 5 to 10 barrels a day pay.

• Owning the rigs keeps the oil flowing. Three years ago, a wet Texas spring turned the fields to mud. The other Texas operators in our first fund, which relied on hired drilling crews, fell about nine months behind waiting for contractors to get to them. G2 owns its rigs and has a crew of about 25 in the field every day, so it went straight back to its own wells. Every day a good well sits idle is money lost.

Chapters

[00:00] Why a deduction isn't a win unless it pays out

[04:06] Meet Cotton Graham and Joe Stroffolino of G2 Petroleum

[09:40] Buying production first, then stepping out 300 feet

[11:35] Behind-the-pipe pay: the oil early operators left behind

[17:19] Buying the equipment: bonus depreciation on top of IDCs

[23:26] Why owning the rigs matters: the rainy spring

[35:06] General partner liability and GP insurance

[38:47] The tax math on a $200,000 investment

[41:12] Royalties, operating costs and the 90/10 split

[52:40] Q&A: material participation, AMT, recapture and exit

Disclaimer: Investment in the Revo Oil & Gas Growth Fund 2026 LP is limited to accredited investors and is offered only through the fund's offering documents. Deduction targets and distributions are not guaranteed. This content is for educational purposes and does not constitute tax or legal advice. Always consult a qualified tax professional for your situation.