New York — Potential investors in oil and gas ventures should become familiar with the following tax and economic questions to help hedge the investment risk with increased awareness:
* Does the structure support the deduction of intangible drilling costs for limited partners?
* Will prospects be identified and drilling start in 1984?
* What assumptions are being made as to future price trends?
* In programs stressing gas production, what are the supply/demand factors? Is there an assured market? And, is there a gas distribution system available?
* Is sufficient acreage acquired to spread exploration risk?
* What is the mix of exploration and development drilling?
* What economic return does the promoter anticipate?
* Are the drilling costs and overall arrangements competitive?