19: Meet Jim Kinnear, who built a “Big Thing” $5bn gas business returning investors 14% annually over 20 years.
On this occasion, we are not talking to a prospective “Next Big Thing”, but to Jim Kinnear, who is already an established “Big Thing” in the highly profitable Canadian Oil and Gas industry.
You will hear how Jim Kinnear built up a $5bn company. Investors were paid a 14% return over 20 years, including reinvestment of distributions.
Jim’s now looking to raise a relatively small amount, 20m USD. It’s to fund acquisition of additional “proven producing reserves”, which represent the least risky way to take advantage of extremely attractive current asset prices. During this podcast you will learn:
- Jim’s story and how he got to be where he is now:industry;
- Why now is the time to acquire assets which are cyclically very favourably priced;
- What the risks are and how to mitigate them, including competition from renewables;
- That natural gas is the cleanest hydrocarbon fuel;
- That pipelines are now flowing in reverse directions between Canada and the US and how that could put upwardly pressure on prices;
- How these assets produce LNG and sulphur, which means that even if the gas price were to drop to less than $1 mcf, the business will be still profitable.
Jim explains that investors will receive convertible notes paying a 9% coupon, secured against proven producible reserves.
If you want to know more, email david@nextbigthing.show, writing “Jim Kinnear” in the subject line and your query in the email’s body.
The Next Big Thing Show is not qualified, nor regulated to give investment advice. As such, it is not endorsing what Jim says. The purpose of this podcast episode is to ask Jim questions, so listeners can get the measure of Jim and hear him discuss the opportunity.