Funding Alternatives

Tucker Gas Processing Equipment, Incorporated:

  • designs and manufactures systems tailored to the customer's processing requirements.
  • supervises the installation of its plants or equipment at the client's site.

Plant Purchase Pursuant to Contract

Contractual agreements usually require an initial down payment of 50%.  The balance and purchase price is divided into a schedule of payments that are made periodically as construction progresses.  Site preparation and transportation costs are the responsibility of the purchaser.  Upon plant completion, TGPE assists with plant start-up and provides training for the plant operator.

Equipment Lease Packages

Based on the buyers financial status, TGPE can arrange lease/purchase agreements with equipment lease companies.  Leases generally run for a 5-year term with a residual payment due at the end of the lease period.  Lease costs normally run somewhat higher than prevailing interest rates.  Site preparation and transportation funding remain the responsibility of the purchaser.  TGPE offers assistance with plant start-up and provides training for the plant operator.


Join Venture/Partnership Agreements

In a joint venture/partnership agreement, TGPE provides the processing equipment, gathering system, pipelines and tap and handles plant operations.  In return, TGPE receives a negotiated share of the net revenue after all expenses are paid OR a percentage of the gross sales revenue.

Fee-Based Processing Arrangement

With a fee-based arrangement, TGPE receives a set fee for processing OR a set fee plus a percentage of the gross sales revenue.  TGPE provides the processing equipment, gathering system, pipelines and tap and handles plant operations.

Gas-Purchase Agreement

Under a gas purchase contract, TGPE provides the processing equipment, gathering system, pipelines and tap.  It also handles plant operations and gas sales.  Te owner is paid either a fixed price (subject to pro-rata reduction in the event of severe market drop) OR a percentage of the sales price actually received for the gas.


For more information about any of these options contact us.